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Important theory and practice of Financial Statements and Investment Analysis. The main purpose of this assignment is to provide students with the opportunity to consolidate and extend their...

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Important theory and practice of Financial Statements and Investment Analysis. The main purpose of this assignment is to provide students with the opportunity to consolidate and extend their understanding in connection with the financial statements analysis of Australian stock listed companies.
3. Presentation
Assignment needs to submit by using the following guideline:
  • Cover page: showing your name, student number, the subject name, the subject code, the case topic, and the date of submission. UBSS assignment cover page is also need to be attached with the assignment.
  • Contents
  • Executive Summary
  • Introduction
  • Findings (explain the answers of the questions)
  • Conclusion
  • List of references: Please read reference notes from Moodle.

4. Assessment criteria
In assessing submitted assignments consideration will be given to overall neatness, completeness and quality of presentation, timeliness of submission and demonstrated application of appropriate analysis of financial statements.
5. Assignment Topic
Analysis of Financial Statements of a limited Company from ASX.
Select a company from ASX web site and Draft a Report incorporating the following points in relation to your selected company.
  1. Describe the Core Business activity of the company. Provide full details of its different activities and/or operating segments.
  2. Discuss any major changes in financial performance from the chairman’s message or managing director’s review.
  3. Calculate the key financial ratios for the selected company based on the consolidated financial statements, for 2011 and 2012.
  4. Provide an overall assessment of the company and its future prospects.

Note: 1 A supporting document for Financial Statement Analysis (ratios) is uploaded in the moodle.
Note: 2 Each group has to select a limited company from ASX web. A company cannot be selected by two groups. Company selection must be provided to lecturer by week 7 in the class.
6. Plagiarism
Taking another person’s ideas, words or inventions and presenting them as your own without acknowledging your sources (citing or referencing), is plagiarism. Paraphrasing or rewording another person’s work, without acknowledging its source, is also plagiarism. If you are identified with plagiarism assessment mark will be zero.
7. Referencing
Correct referencing is important for two main reasons. The first is to enable the reader to access source material you have relied upon, should they care to. The other is to ensure that you have properly recognized the contribution of the work of others to your assignment. If you do not do this properly, you are engaging in plagiarism—the theft, intentional or otherwise, of the intellectual or creative work of others.
UBSS will not tolerate plagiarism. It is therefore important that you understand how to avoid it. It is important that you adopt a consistent, and adequate, referencing system. Please read the referencing notes from Moodle.
9. Marking Criteria Format

Marking Criteria
Very Poor Poor Satisfactory Good Very good
MARK
Evidence of research (5 marks)
  • interpreted the questions answers appropriately.
  • demonstrated an understanding of the necessary concepts/perspective/theories.
  • used sufficient and appropriate material from relevant and credible sources to effectively support the key points.
  • followed any instructions on the number and type of references to be used.
Understanding of the issues (10 Marks)
  • the introduction is appropriate to the type and format of
response and clearly outlines the focus.
  • the body of the response is well structured, with coherent and logical development of key ideas in appropriate sections/paragraphs.
  • clearly addressed the topic with appropriate elaboration of relevant sub-topics, appropriately weighted and within the prescribed word count
  • demonstrated the ability to critically reflect upon key ideas/issues/findings.
  • each section/paragraph has a clear focus and line of thought.
  • the conclusion is appropriate to type and format of the response, successfully summarising the key ideas/issues/findings.
PRESENTATION (3 Marks)
  • the response conforms to the appropriate style guide
advice and the requirements of the specified format (font, margins etc)
REFERENCING (2 Marks)
  • in-text citations and direct quotes follow referencing guide rules.
  • reference list and/or bibliography appropriately compiled in accordance with Harvard style.
Total available marks - 20 Total mark obtained
Answered Same Day Dec 22, 2021

Solution

David answered on Dec 22 2021
121 Votes
1
CALTEX AUSTRALIA LTD (Energy)
2

Executive Summary
The following report includes the study of company Caltex Australia ltd (Energy). The report
includes the description of the core business strategy of the company along with the different
activities and operating segments it works into. The financial changes and financial results of the
organization as per the evaluation of the managing director or the chairmanhave also been discussed.
The report also includes the calculated key financial ratios of the company for the year 2011 and
2012, and based on which the organization overall assessment and future prospects has been
discussed. Finally, a conclusion has been shown based on the complete company analysis.
Introduction- Core business activity of company
Caltex Australia Ltd (Energy) is among the leadingconvenience retailer and leading transport
fuel supplier andalsothe only integrated refining and marketing company, which is listed in the
ASE ( Australian Stock Exchange ). The company purchases, refines, distribute and market
petroleum related products in markets of Australia. The major company products include motor oil,
petroleum, diesel, lu
ications and jet fuel. The company also operates several fast food stores,
convenience stores and several service stations across Australia. The company also deals into some
non fuel related business and the income from such businesses includes franchise income, plant and
equipment rentals, and royalties and so on1.
Major changes in financial performance from the chairman’s message or managing director’s
eview
With the company history of more than 100 years, Caltex is the organization which has both
the endurance and adaptability towards the changing demands of the markets. The year 2012has been
a watershed time for the company. As per the chairmen this is the time period in which the company
made some difficult decisions as a component of the company clear strategy to secure a sustainable

1
CALTEX AUSTRALIA LTD (Energy) (2011) <
http:
www.caltex.com.au/Pages/default.aspx> accessed 23 April 2013.
Comment [PS1]: Possible source: PlagScan
document 2024888
Comment [PS2]: Possible source: PlagScan
document 1997751
Comment [PS3]: Possible source: PlagScan
document 1997751
Comment [PS4]: Possible source: PlagScan
document 1997751
Comment [PS5]: Possible sources: PlagScan
document 2024859 PlagScan document 2025052
PlagScan document 2025030 PlagScan document
2025144 PlagScan document 2093162 PlagScan
document 1997751 PlagScan document 2001452
PlagScan document 2024908 PlagScan document
2056903 PlagScan document 2056925
Comment [PS6]: Possible sources:
http:
www.australianstockreport.com.au/share-
tips/page/6/
http:
www.australianstockreport.com.au/share-
tips/hot-stock-picks/caltex-australia-ctx-stock-to-
watch/
Comment [PS7]: Possible sources:
http:
www.australianstockreport.com.au/share-
tips/page/6/
http:
www.australianstockreport.com.au/share-
tips/hot-stock-picks/caltex-australia-ctx-stock-to-
watch/
Comment [PS8]: Possible source:
http:
www.australianstockreport.com.au/share-
tips/page/6/
Comment [PS9]: Possible sources: PlagScan
document 2024859 PlagScan document 2025030
PlagScan document 2025144 PlagScan document
1997751 PlagScan document 2001452 PlagScan
document 2024888 PlagScan document 2024908
PlagScan document 1953003 PlagScan document
1953282 PlagScan document 1953017 PlagScan
document 1953783 PlagScan document 1953019
PlagScan document 1953802 PlagScan document
1953022 PlagScan document 1953344 PlagScan
document 1953208 PlagScan document 1953346
PlagScan document 1953209 PlagScan document
1953040 PlagScan document 1953036 PlagScan
document 1953034 PlagScan document 1953217
PlagScan document 1953007 PlagScan document
1952998 PlagScan document 1952997 PlagScan
document 1953740 PlagScan document 1953231
PlagScan document 1953343 PlagScan document
1953233
Comment [PS10]: Possible sources: PlagScan
document 2024859 PlagScan document 2025030
PlagScan document 2025144 PlagScan document
2024888 PlagScan document 2024908
Comment [PS11]: Possible source: PlagScan
document 2025052
Comment [PS12]: Possible source: PlagScan
document 2025052
http:
www.caltex.com.au/Pages/default.aspx
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3

future for the company. Also per the chairman message the organization has faced a major alteration
in the profitability after tax (including inventory gains) as compared to the previous year. The profit
after tax for the year 2012 was $57 million. The outcome of the company for the year 2012 also
includes the product and crude oil inventory losses of $92 million after tax. This is also compared
with that of theinventory gain of $138 million after tax in the year 2011
2
.
2012 2011
Long term Capital:
Capital gearing ratio
(Non-cu
ent liabilities /(Share capital + reserve+non cu
ent
liabilities))*100 74% 55%
Interest cover ratio PBIT/Interest charges*100 0.80 -14.54
Investor ratios:
EPS (Basic) 21 -264.3
Liquidity ratios:
cu
ent ratio Cu
ent assets/Cu
ent liabilities 1.81 1.39
Acid test ratio (Cu
ent assets - stock)/Cu
ent liabilities 0.79 0.52
Financial Risk/Working Capital Management Ratios:
Debtor collection period Debtors/Sale*365 16.44 16.54
Profitability ratios:
Operating profit margin Profit before interest and tax/sales*100 0.37% -4.62%
Return on capital employed PBIT/Capital, reserve, and long term liabilities*100 4.05% -84.24%
Asset turnover ratio Sales/Capital, reserve, and long term liabilities*100 1085% 1822%
Return on...
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