Explain why limited leverage is good for business.

Purpose of Assignment


In Week 4, students will have the opportunity to review and analyze a case study. This case study gives students the ability to crunch the numbers associated with Frank’s Plumbing and give Frank the benefit of their education. They will create a spreadsheet and write an analysis of their findings.


Resources Required


Finance Chapter 11; Finance Chapter 12; Finance Chapter 13, Frank’s Plumbing documents


Grading Guide


Content Met Partially MetNot Met Comments:
Develop a 1,050-word analysis. 
Explain why limited leverage is good for business.
Show the profitability of the project so that Stephanie can convince her father to purchase the truck by borrowing money.
Explain how Stephanie should convince her mother that it is inappropriate to call the bank manager and his wife for assistance in getting loan approval.
Analyze whether the investment in the truck is profitable.          
Explain whether it is more beneficial for Frank to close his business.  
Explain what you would do in this same situation.  
Total AvailableTotal Earned
Writing Guidelines Met Partially MetNot Met Comments:
The paper — including tables and graphs, headings, a title page, and a reference page — is consistent with APA formatting guidelines and meets course-level requirements.
The paper includes properly cited intellectual property using APA style in-text citations and a reference page.
The paper includes paragraph and sentence transitions that are logical and maintain flow throughout the paper.
The paper includes sentences that are complete, clear, and concise.
The paper follows proper rules of grammar and usage including spelling and punctuation.
Total AvailableTotal Earned
Assignment Total#10#/10
Additional comments: