Part 3 Information:
The final report and analysis will be comprised of several elements, such as the company’s most recent financial statements (2022 & 2021 only), as well as learning all you can about the companies in terms of products, success within their industry, and any current news that would be relevant to your firm. In your financial analysis, you should be looking at such things as revenue, manufacturing costs, net income, cash, etc. Your analysis will also require you to answer several questions. More information on the questions are below. You will also take into account other factors that would influence your decision whether or not to recommend purchase of this stock. Some items in this category might include a new product or service, recent cost cutting moves, or consolidation or merger with another company. Finding this information will be part of your research for the project.
The final report will include a recommendation to the Board of the Directors of the manufacturing conglomerate as to which of the two should be considered for acquisition purposes and why. Be specific! Part 3 final report written must be a minimum of four pages, a maximum of ten. All summaries and written assessments must be type-written using MS Word or comparable software, no more than double-spaced with margins of no more than one inch.
In the final report assessment, you will support your reasons for purchasing the company by performing the financial analysis and answering the questions below. The more detail and depth that you include in your analysis presents, the better.
Part 3 – Question 1:
Read section 1A-Risk Factors of each company’s 2022 Annual Report or 10-K. What types of
risks did the company face? What was the impact of that risk on the company? Give specific examples including data from the financial statements.
– Complete in MS Word – – Alternatively, you can do the initial part of this in Google Docs. When you save it, make sure you “Save As” and select MS Word. There are YouTube videos that demonstrate how to do this.

Part 3 – Question 2:
Read section 7-Management’s Discussion of each company’s 2022 Annual Report or 10-K – What are management’s concerns? How do they value inventory? What impact does their concerns have on the financial statements? How does the method they use to value inventory impact financial statements?
– Complete in MS Word – – Alternatively, you can do the initial part of this in Google Docs. When you save it, make sure you “Save As” and select MS Word. There are YouTube videos that demonstrate how to do this.

A- Using the answers from parts (2) and (3) – which company showed the most financial success? What data findings, ratios, or information are you using to form your opinion? Provide specific information and details from your findings. Cite all sources.
B- Identify the impact on operating cash flows (increase or decrease) for changes in inventory levels (increase or decrease) for both companies for each of the two most recent years. Cite all sources.

C. Are they using a JIT inventory system? If so, what impact do you think it has on each companies operating income?
-Link the answer to your response for Part 3, Question B . Cite all sources.

D. If they are not using JIT Inventory – Would the move to a JIT system have a one-time or recurring impact on operating cash flow? Cite all sources
Please, make sure if you are going to use numbers please, use the numbers Ratios that I uploaded for both companies only and the final reports that I uploaded too. For other information you can use outside sources

Should be minimum 3-4 pages.
I uploded also the summary that we did just incase if you need it.