In this project, you will find and discern the appropriate data to determine a realistic assessment of the weighted average cost of capital for Honeywell International, Inc.
You will need to search for data from several sources, use subjective judgment to determine which data to use or discard, use subjective judgment to determine which calculation gives a more acceptable estimate and make some simplifying assumptions.
The purpose of the projects is to show some of the sources of measurement errors in financial analysis, to introduce the diverse sources of publicly available financial information and to develop skill in analysis in situations where there are too much or too little data.
Keep the following in mind when choosing a company:
• Publicly traded
• No utilities
• No financial firms
• No all equity firms
• No firms with large amounts of convertible securities or warrants
Organization of the paper should be as follows: