How is it performing? What ethical issues pertain to the company? What are some of its specific financial indicators? What’s something interesting that you’ve uncovered from your analysis of the company’s annual report?
Financial and Economic Interpretation and Communication
Please make sure that only 7 pages is the report about the company and 2 pages are a summary presentation report so it is done after the report is done.
2000 words the report
and 500 words the presentation about the report not including references please note the 500 words summary report presentation only requires 4 references.
if you require additional information ask before you continue thanks.Using the company you have chosen for your third assessment (a company that is
currently listed on the ASX), you
are required to educate your fellow classmates on the following:
What is the company?
How is it performing?
What ethical issues pertain to the company?
What are some of its specific financial indicators?
What’s something interesting that you’ve uncovered from your analysis of the company’s annual report?
.
Assessment Description
.
This assessment requires you to prepare a formal report for a stakeholder of your choice that interprets the
annual report of an Australian company and makes appropriate recommendations.
You will be assessed on the thoroughness of your interpretation, including the conclusions you draw, the
recommendations you make, and the way in which these have been justified by the evidence you include in your
report. Importantly, this report will need to be written based upon the needs and priorities of the stakeholder.
This stakeholder can be the CEO, the regulator, the employees, the media, the shareholders or an altogether
different individual with a vested interest in the success of the organisation.
Task
You need to choose a company that is currently listed on the ASX.
You are required to write a report interpreting the company’s annual report. This report will need to be written for
a specific stakeholder of your choice. Possible stakeholders are listed below:
Potential investor
Creditor
Potential employee
Local environmental group
Union seeking a wage rise
You will also be required to source additional information about the company’s performance, for example, via
credible articles that discuss the management of the company.
Please note that where the annual report may have both group and parent company financial statements, you
should use the group financial statements.
It is important that you refer to financial analysis measures in your report. See “Workbook: The Tools we use”
file which can be found in Supplementary Resources at the bottom of the subject resources page on the portal.
This provides further elaboration and for examples of analysis measures that you can use. These can be
selected from any analysis measures stated in the annual report and/or your own calculations based on financial
statements in the annual report or those provided to you by your workshop leader. It is important to source
financial information relevant to your stakeholder.Assessment Information
COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (‘Act’).
The material
in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of
copyright protection
under the Act. Kaplan Business School is a part of Kaplan Inc., a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86
098 181 947 is a
registered higher education provider CRICOS Provider Code 02426B.
You may also refer to relevant non-financial measures which are outlined in Resource B below.
It is expected that the language and structure of your report will reflect its formal nature and the preference of
the stakeholder for whom it’s intended. Please use Resource A below as a guide.
A modern formal report for business includes:
an introduction (in the form of an executive summary)
a main
body (with sub-headings as appropriate)
a justified conclusion (with recommendations and limitations of the report)
a reference list.
Take care to clearly communicate your ideas.
Resource A – Report content
Introduction (in the form of an executive summary)
The executive summary is usually no longer than 10% of the original document.
It is written for people who may not have the time to read the entire report, and need an outline that presents the
main findings and the conclusions.
Identify the company and its main activities and the reporting period to which the report relates. Outline the
purpose of your report, identifying the specific needs of the stakeholder you’ve selected, and include a brief
summary of your findings, incorporating your recommendation.
Accuracy in re-stating your report’s main points is essential as decisions and strategies may be made by your
intended user even though they have not read the entire report.
For planning purposes, an executive summary should be written after you’ve completed your report.
Interpretation
Interpreting the annual report for an external user involves explaining the relevant financial and non-financial
information, which may be found in the current annual report and other media related to the Australian company.
Your interpretation needs to cover profitability, cash management and liquidity, and any other measure(s)
relevant to the specific needs of the stakeholder.
You should also refer to:
financial and/or non-financial information contained in the annual report
other relevant financial and/or non-financial information collected from other sources that relates to the
company and its economic activities. For example, if the report is for a potential employee, you could look for
aspects of the business that have been closed down in the previous period or new openings.
Provide information about the company’s business activities during the year and the financial implications of
these. Identify business/economic causes for the trends in financial results. Provide evidence of the profitability
of the company and discuss whether or not it seems to be well placed moving forward. Link these individual
aspects together to give an overall picture of the company’s situation relevant to the needs of the stakeholder.
Conclusion
Make a recommendation to the stakeholder tailored towards their specific needs. For example, if the report is for
a potential shareholder, the recommendation should include a market analysis. If the report is for a potential
employee, the recommendation should include specific details of staff relocations, redundancies or changes in
the recent past.Assessment Information
COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (‘Act’).
The material
in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of
copyright protection
under the Act. Kaplan Business School is a part of Kaplan Inc., a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86
098 181 947 is a
registered higher education provider CRICOS Provider Code 02426B.
Include information from commentaries in the company’s annual report or refer to events with wider economic
implications such as natural disasters, economic downturns, changes in government policy, inflation, or
exchange rate movements.
Justify your recommendation by explaining how it will meet the needs of the stakeholder.
In your report and recommendation, identify assumptions you have made and limitations, for example, items in
the accounts or auditor’s report that you do not completely understand due to their complex technical nature.