remember that Beta is a measure of risk that consequently drives the cost of equity number and…

Review the market weights of debt and equity for Tesla
relative to the others in the industry. Is this level of debt
too high, too low, or misrepresented? Why?

Review Tesla’s economic profit trend for the past five
years. Is this trending in the right direction, too high, too
low, misrepresented because of some factor? How or
why?

Remember that strengths are internal to the firm and are
things that allow positive net present value enhancing projects in
the future. What do you believe to be Tesla’s biggest internal
strength? Why?