Financial management Assignment Example | Topics and Well Written Essays - 750 words - 2

Financial management - Assignment Example fording was able to get this money by pledging almost all of its additions as collateral, including its U.S. property, plant, and equipment its equity investments in Ford Credit and Fords foreign subsidiaries and its trademarks, including the Ford brand name and logo.Why did Ford decide to use up all of its financial slack in one gigantic gulp? First, debt financing was available on relatively easy terms in 2006. Second, Mulally must have been aware of the history of restructuring programs in the U.S. auto industry. Some of these initiatives were failures, some partial successes, nevertheless none solved Ford, GM, or Chryslers competitive problems. The companies shrank but did not improve significantly. So Mulally was in effect sending a wake-up call to Fords managers and employees Weve raised all the cash that we can get. This is our sustain chance to reform the company. If we dont make it, Ford is gone.For the final project, you are to c onduct an analysis and evaluation of the capital structures and costs of capital of Ford push Company over a history of 5 years. The examination will be in three parts.1. State the amount of the following in the financial statements for the years 2008, 2009, 2010, 2011 and 2012 using the following table (NOTE Long term debt includes all long term debt regardless of when payable) -Fair value is a standardised of measurement used in financial reporting. It refers to the market price that would be received upon a security if it were to be sold (Warren, Reeve & Duchac, 2014). Ford Motor Company (2008) adopts the January 1, 2008 SFAS No. 157, Fair Value Measurements, definition of fair value, defining it as the price receivable so as to execute the selling of an asset of payment for the transfer of a liability taking place in a orderly transaction among the market participants at the given measurement