FINM4000 Finance: Amazon's Financial Analysis and Capital Budgeting

This report provides a comprehensive financial analysis of Amazon, addressing key aspects of company financing and capital budgeting. Part A delves into Amazon's cash conversion cycle, exploring its impact on the company's financial strategy and assessing financing options such as retained earnings and equity funding. The analysis includes a bond valuation calculation. Part B focuses on capital budgeting, calculating free cash flow, net present value (NPV), and the discounted payback period to evaluate potential investment projects, with a recommendation provided on the appropriate discount rate. Part C provides a personal reflection on the findings. The report uses data from Amazon's annual reports and other financial sources.