Background of the assignment:Publicly listed companies must publish online an annual report. This report includes financial statements and other information as required by the standards set by the AASB and other accounting bodies. Students of ACC202 are expected to be able to demonstrate an understanding of the accounting standards and show how the material studied in this subject relates to the real world.To successfully complete this assignment, you will need to:• Locate company financial reports from the company website• Select and evaluate articles relating to the company and its performance• Prepare a summary of the information with appropriate cross-referencing between sources• Demonstrate an understanding of how companies use accounting standards to discloseinformationImportant requirements for completion and submission of this assignment.• This assignment must be completed in Word format (Single file). The maximum length of thewritten report is 14 full pages plus bibliography (on a new page). APA referencing must be usedboth in the text and the bibliography. Ensure you credit all sources of material.• Each part must commence on a new page. Show the number and topic (e.g. Part 2 – Revenue), your answer in narrative form (in your own words where possible) and appropriate referencing. Any published material you use as a reference (if not too long) must be printed and included in the appendix and the web address cited in the bibliography. If the item is long, take a screenshot of the relevant section and copy to the report or appendix, clearly indicating its source. Number the pages in the appendix so it is possible to cross-reference effectively. On your answer, refer to the appendix page and in the appendix, highlight material where appropriate and indicate which partof the assignment this material relates to. If using a direct quote, reference appropriately.The assignment task:Access the latest available financial report (no earlier than 30 June 2019) for the company you chose. Include the following reports in the appendix section of your report.• Income statement• Balance sheet• Statement of changes in equity• Cash flow statementAnswer the following questions about the company and its financial reports. When quoting numbers, use the group/consolidated data.Part 1 – General information about the companyWhat is the name of the company and its ASX code? Where is its main office located? What is the website address? What is its industry type? Find a chart that shows the share price over the last 5 years. Over this period, have there been any sharp rises or drops in the share price? If there have, can you find an explanation? Copy the chart to your Word document and print any supporting information and include in the appendix.Semester 2, 2020 Page 7 of 16
Part 2 – RevenueWhat is the company’s main source of revenue? If your company sells a physical product, what was the gross profit for the current year and the previous year? Locate at least two articles relating to the company earnings. One of these must be from an independent source. (Include these articles in the appendix). Using these articles, what events or company policies etc have impacted most greatly on company earnings over the last two years? Read the chairman’s report and the CEO’s report. What are the company’s main strengths and weaknesses? Based on these, prepare a forecast of revenues for the next two years. Please give reasons why you have come up with this answer.Part 3 – Property, plant and equipmentWhich group of tangible assets (property, plant and equipment) has increased the most over the last two years? What is the reason for this change? Looking just at the last year, were any assets revalued or impaired? If impaired or revalued, what is the reason for this? Please support your answer with information from the published report and an article or company announcement if relevant (Include in the appendix).Part 4 – Provisions, contingent assets and liabilities and leasesWhat provisions does the company have? Describe them and if possible, the movement or change in them during the year. What is a contingent asset and what is a contingent liability? How does a contingent liability differ from a provision? Does the company have any contingent assets and/or liabilities? Explain, showing estimated amounts.Does the company have any leased assets? If so, what are they and what did these assets cost the company in the last year?Part 5 – Responsibility and sustainabilityDefine “sustainability” as it relates to a business. Looking at your company’s sustainability report, what are some ways in which the company is “giving back” to the community? How do you think this will impact the company’s earnings in the longer term?