Subject Code and Title :- FIN600 Financial Management
Assessment :- Case Study Report
Individual/Group :- Individual
Length :- 3000 words
Weighting :- 50%
Context :-
The purpose of the assignment is to provide you with the opportunity to apply the knowledge and skills acquired in FIN600 Financial Management, to a practical task involving the use of real‐world accounting information. This is intended to consolidate your accounting knowledge and skills.
FIN600 Financial Management Assessment
Learning Outcomes :-
This assessment addresses the following subject learning outcomes:
a) Apply the key theories and principles of financial management with in varying contexts.
b) Critically evaluate the role and content of each of the four main financial statements as sources of quantitative data and their impact on business decision making.
c) Investigate and evaluate the range of issues involved in the different types of funding.
d) Understand and evaluate budgets and their impact on long and short-term business decisions.
e) Critically analyse financial statements using effective strategies and apply accountancy information for informed managerial decision making.
Instructions :-
The basic requirement is to undertake a general financial analysis, comparing financial position and performance over the two most recent financial years of an ASX listed company Your Learning Facilitator will provide the details of the ASX listed company.
The annual report for the chosen company should be available on the company website and/or will be provided by your Learning Facilitator.
Note : Assessment 2 submissions based on the incorrect company or a company not chosen by the Facilitator will be regarded as a Non-Submission and no grade will be allocated.
Non Submissions of Assessment 2 will prohibit a Supplementary assessment for the student.
The analysis should consider each of the following financial ratios:
1.profitability and market performance
2.efficiency,
3.liquidity,
4.capital structure
Note : Please use the ‘consolidated’ data in conducting your analysis.
You are only required to look at the most recent financial report. For those ratios which involve averages, you will calculate an average for the most recent year only the prior year ratio calculation will NOT consider average calculations.
This assignment will contain two elements:
1.Schedule(s) of relevant ratios and other useful calculations
i. The detailed calculation of relevant ratios and other useful calculations should be included as one appendix, prepared using Excel An example template is provided under the assessment 2 information FIN600 Assessment 2 Appendix template.xls.
ii. You will be advised by your facilitator as to which ratios to calculate.
iii. You are advised to show the formulae used in determining particular ratios and other figures.
2. A written report
The written report is the main element of this assessment. A sample template is provided under the assessment 2 information FIN600 Assessment 2 report template.doc.
The written report should:
- Explain what is revealed by the ratios and other calculations, in the context of the company’s profitability asset efficiency liquidity capital structure and market performance.
- In particular any important changes over the two financial years should be identified discussed and, where possible explained.
- Provide an overall assessment of whether the company, over the recent financial year has been better than the previous financial year in the perspective of existing equity investors (shareholders).
FIN600 Financial Management Assessment
In preparing this report students should:
- analyse the financial statements of the business;
- identify key ratios and apply ratio analysis;
- argue the case of why the organisation may or may not succeed in the future and what the business should be doing to help it succeed;
- consider the impact of the political and competitive environment on the business;
- include external factors that need to be taken into consideration and the likelihood of a merger or acquisition;
- provide a recommendation, that is, would you invest in this company after your own analysis or under what circumstances would you buy/save the business?
Points to consider
i. You are encouraged to seek and use additional public information about the company from sources other than the annual report for example the internet journal articles news papers and business magazines).
ii. How ever it is NOT envisaged that you will be engaged in extensive research of this nature and it is expected that the annual report will be the primary resource relied upon in completing the assignment.
iii. You are asked NOT to try and make direct personal contact with the company or its officers (for example by telephone fax letter or email in an attempt to gather further information.
iv. It is important to note that you must NOT reproduce company promotional material from the annual report or company website and represent it as critical analysis.
v. You will be provided relevant share price data for the company by your facilitator so that investment ratios (such as a price earnings ratio) can be calculated.
vi. You may find it useful to consult accounting references, in addition to the prescribed text which deals with the analysis and interpretation of company financial reports.
vii. As this is a Masters-level subject students are expected to engage with high quality credible resources (eg. academic journal articles) to support and develop arguments and position statements using the Torrens University Library:
viii. It is essential that you use the appropriate APA 6th referencing style for citing and referencing research. The assignment is to include in-text citations and a reference list following the appropriate APA 6th referencing style.