BAFN200 :Principle of Finance-Report Writing Assignment

Internal Code: MAS395

Report Writing Assignment:

Question: Write a report to address the following issues: 1. How does credit rating affect an investor’s required rate of return? What actions could a firm take to receive a more favourable rating? 2. How reliable do you find rating agencies’ ratings in general? Also discuss credit ratings from the point of view of social responsibility. 3. Impact of credit rating downgrading on the value per share of company’s stock. 4. At this point in time would you consider buying or selling the BHP stock? Give your reasons.