OF BUSINESS
COLLEGE
OF BUSINESS
Unit of Study Guide-2206625-3644900Victoria University
First Year College
00Victoria University
First Year College
280035828421000
6169024215130BAO1101 ACCOUNTING FOR DECISION MAKING
ASSIGNMENT BRIEF
DECISION MAKING IN THE SHAREMARKET
SEMESTER 1 BLOCK 4 / 2023
00BAO1101 ACCOUNTING FOR DECISION MAKING
ASSIGNMENT BRIEF
DECISION MAKING IN THE SHAREMARKET
SEMESTER 1 BLOCK 4 / 2023
29654508268335C
ASSIGNMENT TITLE
DECISION MAKING IN THE SHAREMARKET
This assessment accounts for the following proportion of marks for this unit
25%
LEARNING OUTCOMES BEING ASSESSED
Understand how to use accounting information for decision making.
Critically analyse the impact of company information on share price in the Australasian context.
Understand the share market activities and financial analysis.
Gain practical experience in share-market activities, making decisions and monitoring the share market.
Demonstrate knowledge of share market activities and evaluate the impact of the share price on the total value of a share portfolio.
SUBMISSION INSTRUCTIONS:
Assignment teams will be organised in Workshop 1 Week 1. Exchange contact details once your team has been formed and it is your team responsibility to maintain regular contact. The information of team formation can be accessed in VU Collaborate under Communication Groups.
PART 1
You will be required to work with the team members together to complete Part 1 - Share Selection Sheet shown on page 5 (for group of 2) and page 6 (for group of 3). Then each student in the team is required to complete an Individual Submission form shown on page 7 to explain your choice of company. Compile the Share Selection Sheet and Individual Submissions and submit via Dropbox on the Friday of week 1.
PART 2 and 3
You are required to work closely with your team members on these major parts of the assignment. One assignment is required to be submitted on behalf of your team. Each team member is expected to contribute equally to the assignments as the same mark will be given to each team member. Marking Scheme is shown on pages 8 to 11 to inform you on how you will be marked so that you can maximize your assignment mark.
SUBMISSION DEADLINE:
SUBMIT:Part 1Week 1: Friday 2 June 2023 via Dropbox in VU Collaborate
SUBMIT:Part 2 and 3Week 3: Thursday 15 June 2023 via Dropbox in VU Collaborate
DETAILED DESCRIPTION OF ASSIGNMENT see following pages
BAO1101 ACCOUNTING FOR DECISION MAKING SEMESTER 1B4 / 2023
ASSIGNMENT DECISION MAKING IN THE SHAREMARKET
SUBMIT:Part 1 Week 1: Friday 2 June 2023 via Dropbox in VU Collaborate
SUBMIT:Part 2 and 3 Week 3: Thursday 15 June 2023 via Dropbox in VU Collaborate
Company Name Ticker Company Name Ticker
MEGAPORT LIMITED MP1 PILBARA MINERALS LIMITED PLS
AMPOL Limited ALD SEVEN GROUP HOLDINGS LIMITED SVW
TMK ENERGY LIMITED TMK MIGHTY KINGDOM LIMITED MKL
Financial Information and links to these companies may be accessed through https://www2.asx.com.au/.
PART 1 SHAREMARKET ASSIGNMENT SHEET - complete and ONLY submit sheets on p.5-7
Commence a share portfolio choosing 2 companies (for group of 2) or 3 companies (for group of 3) from the six listed above. The total value of your portfolio should be $10,000 for group of 2 students and $15,000 for group of 3 students, based on the closing share prices posted on the ASX (or Yahoo finance) website on Monday 15th May 2023. Check after 6pm to ensure that the latest price has been updated.
The paragraph below provides a brief background for your assignment, it is NOT expected in part 1.
During the tracking period of Monday 15th May 2023 to Friday 9th June 2023, you are to monitor the performance of your portfolio and the overall performance of the Australian share-market (measured by the All-ordinary index). Can you maximize the value of your portfolio?
PART 2 COMPANY RESEARCH / GRAPHS / INVESTOR INFORMATION [55 marks]
[A]A brief description of the company in your portfolio. It should be presented in a table and should include: -
Products and Services Provided by The Company [brief outline] 50-80 words for this section
Name of Chief Executive Officer [or Managing Director]
Salary of Chief Executive Officer [or Managing Director]
Profit / Loss after Tax from 2022 Annual Report for the full financial year consolidated figures
Latest Dividend Paid Dividend Per Share and Date Paid
Size Of The Business By Total Assets from 2022 Annual Report consolidated figures
Number Of Employees
Share Price 52 weeks High and Low at the end of trading day Friday 9th June 2023 from the Yahoo Finance Database or other suitable site.
[100 words maximum for each company in your portfolio for this section] [10 marks]
[B]For the tracking period only, using an Excel spreadsheet, prepare your own graphs of the daily share price movements for each of your shares. Information should be shown in a table with separate columns for Date and Closing Price ($).
For the tracking period only, using an Excel spreadsheet prepare your own graph of the daily movement of the All-Ordinaries Index. Information should be shown in a table with separate columns for Date and Closing Value [points] Copy and Paste Excel Tables and Graphs into a Word Document to include in your report. [10 marks]
[C]For your company, provide an overview of the share price performance and describe the overall trend of the Australian share-market over the tracking period. Describe how your share performed against the All Ordinaries Index. Explain major movements in your share prices and the share-market with evidence from newspapers, business magazines, internet information or other relevant sources. Evidence should be included, and news articles should be provided as a screen shot and neatly presented in an appendix to your report. Harvard Referencing is required to acknowledge all sources of information used. Please be aware of penalties for Plagiarism. See Harvard Referencing links on VU Collaborate.
[400 words limit] [25 marks]
[D] Calculate the Gain or Loss in $ and % made on your portfolio during the tracking period. [5 marks]
[E] Provide a recommendation [buy / sell / hold] for your shares. Support your recommendation with relevant information you have found in Part [C].
[50 words maximum for each company] [5marks]
PART 3 IDENTIFICATION OF KEY FINANCIAL DATA AND RATIO ANALYSIS [35 marks]
[A]IDENTIFICATION OF KEY FINANCIAL DATA
For the company you have selected, complete the following table of Key Financial Data. Find the figures from the 2022 Annual Report with results for the full financial year for 1 July 2021 to 30 June 2022. The consolidated figures are required.
(AUD $000s) Company Name Company Name Company Name
(from groups of 3)
Revenue / Sales Interest Expense or Finance costs EBIT Net Profit Before Tax Net Profit After Tax Current Assets Total Assets Current Liabilities Total Liabilities Total Equity References are required to identify the source of all figures in your table. Attach Consolidated Income Statement and Consolidated Balance Sheet for each company with relevant figures highlighted. This must be included in the appendix of your report. [5 marks]
[B]RATIO ANALYSIS
From the Key Financial Data, calculate relevant ratios provide an overview of your companys:
*Profitability*Stability*Liquidity
At least 6 ratios should be used for this overview.
The ratios may vary depending on the availability of information provided in your companys Financial Statements.
For each of the headings listed above, your overview should:
identify the name of the ratio used and interpret your results
provide any explanation of why these ratios may differ between your companies
which do you consider to be the better investment? Explain your reasoning.
Refer to your Subject Resource Workbook or Workshop Notes for formulae and interpretation.
All formulae and calculations must be clearly shown.
[250 words maximum for each company] [30 Marks]
GENERAL PRESENTATION
Bibliography References other than textbook and Subject Resource Workbook
Complete / Alphabetical By Surname/ Proper Format
References Complete / Proper Format 4 marks
Format and Presentation
Report Format / Typed / Cover Page / Table of Contents / Page Numbers / Spelling /
English Expression/ Professional Presentation / Word Limit 4 marks
Appendices
Consolidated Income Statement and Balance Sheet for your company with all relevant figures highlighted 2 marks
LATE PENALTY
Late Penalty of 5% submitted after 15th June 2023 for each day late. The standard penalty for late submission without an approved short extension will be 5% of the total possible mark per working day. If submission is overdue by more than ten (10) working days the work will not be assessed. 5% penalty BAO1101 ACCOUNTING FOR DECISION MAKING SEMESTER 1B4 / 2023
PART 1SHARE SELECTION SHEET TEAM OF 2 STUDENTS
SUBMIT Part 1 (a) Week 1: Friday 2nd June 2023 in Dropbox on VU Collaborate
Name Student ID
Name Student ID
Instructors Name:
Workshop day & time:
COMPANY NAME CLOSING SHARE PRICE
Monday 15th May 2023 NO. OF
SHARES TOTAL
INVESTMENT
1. 2. TOTAL INVESTMENT $ 10,000
BAO1101 ACCOUNTING FOR DECISION MAKING SEMESTER 1B4 / 2023
PART 1SHARE SELECTION SHEET TEAM OF 3 STUDENTS
SUBMIT Part 1 (a) Week 1: Friday 2nd June 2023 in Dropbox on VU Collaborate
Name Student ID
Name Student ID
Name Student ID
Instructors Name:
Workshop day & time:
COMPANY NAME CLOSING SHARE PRICE
Monday 15th May 2023 NO. OF
SHARES TOTAL
INVESTMENT
1. 2. 3. TOTAL INVESTMENT $ 15,000
BAO1101 ACCOUNTING FOR DECISION MAKING SEMESTER 1B4 / 2023
SUBMIT Part 1 (b) Week 1: Friday 2nd June 2023 in Dropbox on VU Collaborate
BAO1101 SHAREMARKET ASSIGNMENT INDIVIDUAL SUBMISSION
Name Student ID Company Name Each member in your team must complete this individual submission [no more than 100 words total]. This is to be included with the above Share Selection Sheet.
Why did you choose this company?
What do you know about the company and its business?
___________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
Signature______________________________ Date ____________________
BAO1101 ASSIGNMENT MARKING SCHEME FOR 2 COMPANIES SEMESTER 1B4 / 2023
Student Name / ID
138874563500
Student Name / ID
1388745000
PART 2 Required Marks Result
A Description Of Company 10 B Graph Of Share Prices 10 C Overview Of Share Price Performance 25 D Calculation Of Gain Or Loss On Portfolio 5 E Recommendation On Share Portfolio 5 TOTAL 55 PART 3 Required Marks Result
A Key Financial Data Table 5 B Ratio Analysis 30 TOTAL 35 GENERAL PRESENTATION
Referencing using Harvard
References other than textbook and Subject Resource Workbook
Complete / Alphabetical By Surname/ Proper Format 4 Format and Presentation
Report Format / Typed / Cover Page / Table Of Contents / Page Numbers / Spelling / English Expression / Professional Presentation / Word Limit 4 Appendices
Consolidated Income Statement and Balance Sheet for your company with all relevant figures highlighted 2 TOTAL
10 LATE PENALTY
Late Penalty ... submitted after 15th June 2023 for each day late. The standard penalty for late submission without an approved short extension will be 5% of the total possible mark per working day. If submission is overdue by more than ten (10) working days the work will not be assessed. 5% penalty
FINAL MARK OUT OF 100 100 CONVERSION TO 25% OF ASSESSMENT 25 PART 2 COMPANY RESEARCH / GRAPHS / INVESTOR INFORMATION [ Total 55 Marks ]
[A] Description Of Company [5 marks for each company] 10 marks
Company 1 Company 2
Products And Services Name Of Chief Executive Officer [or Managing Director] Salary of Chief Executive Officer [or Managing Director]* Profit / Loss After Tax from 2022 Annual Report consolidated figures Latest Dividend Paid Dividend Per Share and Date Paid Size By Total Assets 2022 Annual Report consolidated figures Number Of Employees * Share Price 52 week High / Low Total Marks [B]Graphs - Share Prices and All Ordinaries [2.5 marks * 3 graphs] +2.5 Presentation 10 marks
Students are required to prepare their own graphs using Excel
Students should include all daily prices.
Graphs should have appropriate labels and scales.
Marks should be subtracted for graphs that are hard to read and interpret.
Table with share prices of your company and All Ordinaries dates and value should be included
[subtract 2.5 marks if table with share prices and All Ordinaries dates and values not included]
[C]Overview Of Share Performance / Trend of Share-market 25 marks
[300 word maximum for each company and comparison with the All Ordinaries = 600 words]
Description of the share price performance over the tracking period
Description of the overall trend of the share-market
Comparison of share performance with the All Ordinaries
Evidence of research on the share price to be included in the appendix / bibliography
[at least 2 relevant articles for each company screen shots taken and neatly presented]
Analysis and interpretation of the evidence
[D]Calculation Of Gain / Loss On Portfolio 5 marks
Calculations for each share should be clearly shown as well as a portfolio total.
[E]Recommendation On The Share Portfolio [50 words for each company; 100 words in total] 5 marks
Allocate up to 2.5 marks for a basic recommendation with some logical support
PART 3 IDENTIFICATION OF KEY FINANCIAL DATA AND RATIO ANALYSIS [ Total 35 Marks ]
[A]KEY FINANCIAL DATA 5 marks
Company 1 Company 2
Revenue / Sales Net Finance Expense EBIT Net Profit Before Tax Net Profit After Tax Current Assets Total Assets Current Liabilities Total Liabilities Total Equity
[B]RATIO ANALYSIS [250 words maximum for each company] ... mark should reflect quality of answer
Overview of your companys
Profitability
Stability
Liquidity
Identify the name of ratio used and interpret results.
At least 6 ratios in total should be used for this overview. 15 marks
For each ratio, explain why they may differ between your 2 companies. 5 marks
Identification of which company to be the better investment / explain reasoning 5 marks
All formulae and calculations must be clearly shown. 5 marks
BAO1101 ASSIGNMENT MARKING SCHEME FOR 3COMPANIES SEMESTER 1 B4/ 2023
138874514605000Student Name / ID
138874514605000Student Name / ID
138874514605000Student Name / ID
PART 2 Required Marks Result
A Description Of Company 10 B Graph Of Share Prices 10 C Overview Of Share Price Performance 25 D Calculation Of Gain Or Loss On Portfolio 5 E Recommendation On Share Portfolio 5 TOTAL 55 PART 3 Required Marks Result
A Key Financial Data Table 5 B Ratio Analysis 30 TOTAL 35 GENERAL PRESENTATION
Referencing using Harvard
References other than textbook and Subject Resource Workbook
Complete / Alphabetical By Surname/ Proper Format 4 Format and Presentation
Report Format / Typed / Cover Page / Table Of Contents / Page Numbers / Spelling / English Expression / Professional Presentation / Word Limit 4 Appendices
Consolidated Income Statement and Balance Sheet for your company with all relevant figures highlighted 2 TOTAL
10 LATE PENALTY
Late Penalty ... submitted after 15th June 2023 for each day late. The standard penalty for late submission without an approved short extension will be 5% of the total possible mark per working day. If submission is overdue by more than ten (10) working days the work will not be assessed. 5% penalty
FINAL MARK OUT OF 100 100 CONVERSION TO 25% OF ASSESSMENT 25 PART 2 COMPANY RESEARCH / GRAPHS / INVESTOR INFORMATION [ Total 55 Marks ]
[A] Description Of Company [5 marks for each company] 10 marks
Company 1 Company 2 Company 3
Products And Services Name Of Chief Executive Officer [or Managing Director] Salary of Chief Executive Officer [or Managing Director]* Profit / Loss After Tax from 2022 Annual Report consolidated figures Latest Dividend Paid Dividend Per Share and Date Paid Size By Total Assets 2022 Annual Report consolidated figures Number Of Employees * Share Price 52 week High / Low Total Marks [B]Graphs - Share Prices and All Ordinaries [2 marks * 4 graphs] +2 Presentation 10 marks
Students are required to prepare their own graphs using Excel
Students should include all daily prices.
Graphs should have appropriate labels and scales.
Marks should be subtracted for graphs that are hard to read and interpret.
Table with share prices of your company and All Ordinaries dates and value should be included
[subtract 2.5 marks if table with share prices and All Ordinaries dates and values not included]
[C]Overview Of Share Performance / Trend of Share-market 25 marks
[300 word maximum for each company and comparison with the All Ordinaries = 900 words]
Description of the share price performance over the tracking period
Description of the overall trend of the share-market
Comparison of share performance with the All Ordinaries
Evidence of research on the share price to be included in the appendix / bibliography
[at least 2 relevant articles for each company screen shots taken and neatly presented]
Analysis and interpretation of the evidence
[D]Calculation Of Gain / Loss On Portfolio 5 marks
Calculations for each share should be clearly shown as well as a portfolio total.
[E]Recommendation On The Share Portfolio [50 words for each company; 100 words in total] 5 marks
Allocate up to 2.5 marks for a basic recommendation with some logical support
PART 3 IDENTIFICATION OF KEY FINANCIAL DATA AND RATIO ANALYSIS [ Total 35 Marks ]
[A]KEY FINANCIAL DATA ** 5 marks
Company 1 Company 2 Company 3
Revenue / Sales Net Finance Expense EBIT Net Profit Before Tax Net Profit After Tax Current Assets Total Assets Current Liabilities Total Liabilities Total Equity
[B]RATIO ANALYSIS [250 words maximum for each company] ... mark should reflect quality of answer
Overview of your companys
Profitability
Stability
Liquidity
Identify the name of ratio used and interpret results.
At least 6 ratios in total should be used for this overview. 15 marks
For each ratio, explain why they may differ between your 2 companies. 5 marks
Identification of which company to be the better investment / explain reasoning 5 marks
All formulae and calculations must be clearly shown. 5 marks
