Find a maximum of 6 persons to form a group. You can also do the assignment individually.
2. Select 2 companies that listed in Main Market Bursa Malaysia as your sample. Register the name of the companies and choose sector based on your Class Section. Detail as below:- a) Section 1AM & 1BM – Industrial Product or Trading Service b) Section 2AM & 2BM – Construction or Properties c) Section 3AM – Consumer Product 3.
Obtain the financial statement (Annual Report) of the companies selected from www. lse. com. my , www. thestar. com. my or the website of the company. REQUIREMENTS: |No.
|Items |Mark | |1. |Table Of Content |1 Marks | |2. |Executive Summary |4 Marks | |3.
Provide a brief introduction of the companies selected |5 Marks | | |Name of the organizations | | | |Nature of business of the organizations | | | |Background of the organizations. | | | | | | |Be concise: It should not exceed 4 pages | | | |Be original: Work copied in verbatim from somewhere (e. g. Annual report, websites etc) results in a penalty.
| | |4. |The students are required to summarize the THREE (3) consecutive years (2010-2012) of Income statement and |10 Marks | | |balance sheet based on the annual report of the organization. | | |5.
Based on the information in annual report (2010-2012), analyze its financial position by calculating the |15 Marks | | |following ratios: | | | | | | | |Liquidity ratios | | | |Current ratio | | | |Acid Test Ratio | | | |Average Collection Period | | | |Accounts Receivable Turnover | | |Inventory Turnover | | | | | | | |Capital Structure Ratio | | | |Debt Ratio | | | |Times Interest Earned | | | | | | | |Asset Management Ratios | | | |Total asset turnover | | | |Fixed asset turnover | | | | | | | |Profitability Ratios | | | |Gross profit margin | | | |Operating Profit Margin | | | |Net profit margin | | | |Operating Return on assets | | | |Return on equity | | |6. |Discuss and explain the result with a diagram (Graph, pie chart or etc. of the Financial Analysis that you |30Marks | | |have expanded by using | | | |Trends Analysis | | | |Cross-sectional Analysis | | | | | | | |The students also are required to discuss and explain the result that related to the current issues of the | | | |organization. | | |7.
|Calculate the Cash conversion cycle of the companies. |15 Marks | | | | | | |Discuss and explain the result with a diagram (Graph, pie chart or etc. of the Cash Conversion Cycle that you | | | |have expanded | | | |Operating Cycle | | | |Inventory Conversion Period | | | |Inventory Turnover Ratio | | | |Average Collection Period | | | |Accounts Payable Deferral Period | | |8. |Do a conclusion. |5 Marks | |9. |Do a recommendation based on the results in part 3, 4 and 5). |15 Marks | | |In recommendations part, students must include the following comments: | | | |From a point of view of a banker, does the company deserve additional working capital loan? Justify your | | | |recommendation. | | | |From a point of view of an investor, is this company considered as a good investment? Justify your | | | |recommendation.
| | |TOTAL |100 Marks | APPENDICES: • All the financial statement and Calculation of the companies ratio must be attached as Appendix GENERAL FORMAT OF THE REPORT: 1. Font – Times New Roman, 12-size 2. Paragraph – 1. 5-line spacing, justified alignment 3. Pages – minimum 15 pages for the report (excluding appendices) IMPORTANT DATES: 31st July 2013 before 3pm – Submission of the assignment WARNING: STRICTLY NO PLAGIARISM!!! Please include a bibliography section to list all the references made. ASSESSMENT: • Total marks for the report is 10%.
All marks are awarded equally for each group member. SUBMISSION: • Hard Copy. (Tape Binding) • Soft Copy. (CD)