The Role of Financial Planning In Making Investment Decisions

Based on a practical example the role of financial planning is analyzed. In a first step the financial situation of KLA-Tencor Corporation was reviewed using public available data of last year's financial statements and press releases. In a second step the data was discussed in comparison to industry peers and financial ratios were calculated. Long term financial planning approaches were reviewed and planning models were discussed. In a last step a percentage of sales' model was applied to develop a potential scenario for KLA-Tencor Corp. over the next 4 years until 2012 based on forecasts of market research institutes. The assignment ends with potential conclusions how KLA-Tencor could use its financial strength for a rapid growth over the next years. Studienarbeit aus dem Jahr 2009 im Fachbereich Wirtschaft - Investition und Finanzierung, Note: 1.3, Fachhochschule für Ökonomie & Management, Berlin, Veranstaltung: Financial Management.