COMPANY ANNUAL REPORT STUDY
Make a report on financial report of Myer Holdings Limited:
Introduction (about 100 words)
Conceptual framework (200 words)
Critical analysis (200 words)
Ethics (not more than 150 words)
Legitimacy (not more than 150 words)
Transfer pricing (not more than 150 words) look at example of transfer pricing
Fair value disclosure (not more than 150 words)
Please relate all the above topics with the company or financial report of the company.
Write remaining 1000 words using the following materials:
(look at the sample: Annual Report Study of Myer Holdings Limited by Sumit Poudel)
SUGGESTIONS REGARDING ASSIGNMENT
USE YOUR INDEX WISELY……
Go to Balance Sheet, Income Statements, NOTE 1 (methods adopted by company) and other notes from the financial reports, Remuneration Report, Auditors Report
REMUNERATION REPORT – SCREEN SHOT OR TAKE ELEMENTS FROM ACTUAL REPORT IN RELATION TO EXECUTIVE REMUNERATION. LINKED TO PROFIT? SHARE PRICE? OR OTHER - consider how this drives culture with organisations including a desire to obtain profit to receive bonus payments.
ISSUES WITH REMUNERATION can be SELF INTEREST – SHORT TERM DECISION MAKING, TELEOPATHY (unhealthy pursuit of goals), manipulation of accounts, not adhering to the conceptual framework, aasb issues like in leases
In your discussion using examples from annual reports (of many companies) will assist however focus should be on your company(ies)
GPFR – general purpose financial reports – for users to make financial decisions
perhaps to affect profit rather than in accordance with AASB or conceptual framework
INVENTORY – OVERSTATE- aasb VALUED AT COST OR LOWER OF COST OR MARKET.
ACCOUNTS RECEIVABLE – OVERSTATE – ESTIMATION OF PROVISION FOR BAD AND DOUBTFUL DEBTS – UNDERSTATE YOUR PROVISION
PPE – OVERVALUE – EXCESS VALUATION (PRUDENCE) – DEPRECIATION – CHOOSE METHODS perhaps to affect profit rather than in accordance with AASB or conceptual framework
LIABILITIES – LEASES – INTANGIBLE ASSETS – NOTES – LOOK FOR EVIDENCE OF ANY LEASING
Contingent legal liabilities – where companies have had to pay out legal obligations due to issues
LEASES HAVE BEEN LEFT OFF BALANCE SHEETS – LIMIT RATIO – ATTRACT INVESTORS
Overstated Revenues, sales returns
Understated expenses
TAXATION
TRANSFER PRICING – FACEBOOK -TAXATION
Eg.TRANSFER PRICING – FACEBOOK -3-5 BN additional tax payments
DISCUSS PRUDENCE – WHAT IS PROPOSED FOR UPDATING THE CONCEPTUAL FRAMEWORK
HOW YOU THINK THIS WILL AFFECT THE REPORTING? BENEFITS AND CRITICISMS (cpa eg)
The inclusion of prudence, then removal and now addition again by accounting.
Or are the issue much more complex than that? Do accountants adhere to the CF? Perhaps addressing remuneration and other issues would achieve better outcomes? Etc etc etc
Please Take screenshot and put it at the end in Appendix
- audit report
- directors declaration
-director report
- notes to account
- remuneration report
Atleast 12-15 References with 10 academics journal articles.