ACC 6336 Financial Statement Analysis Project Fall 2020 Due Date: December 7 by 11:59 PM Possible Points: 100 Information: The goal of financial statement analysis is to make decisions using...

FINANCIAL STATEMENT ANALYSIS
EXECUTIVE SUMMARY
The project report intends to create an analysis of three largest public companies that has been acting well in the international market. An analysis of the company’s financial performance and financial position based on the latest financial statements of the companies. The analysis provides a conceptual knowledge on the quantitative and qualitative analysis of financial statements. The information’s based on internal and external sources collected from various sources that are providing reliable information’s. The details a
ived from analysis are matched with the accounting and financial management concepts to derive at a conclusion on the decision of investment. The report ends by stating the suitable company that the investors could gain maximum benefit from their investment.
INTRODUCTION
Public companies offer shares for the general public for as a part of their fund raising program for certain projects. Investors and potential investors always prefer to invest in shares of those companies that could always offer better return and yield on their investment. In this project three main public companies that offers higher returns in the competitive market and have higher investor attraction are undergone an analysis and the best investor friendly company is being found out.
The factors that affect a company’s financial performance are also discussed in this project. There can be many factors that could lead to the success of an organization that includes both internal and external factors. The factor analysis is done using SWOT analysis that analyses the strength, weakness, threat and opportunity that affects an organization and the industry. Management should always conduct these analyses in order to prepare the firm to face the future. Now we could start with discussing about the three public companies and their basic details.
COMPANY DESCRIPTION
COMMON WEALTH BANK
Common Wealth Bank is Australia’s one of the largest bank. It maintains the position by keeping larger quantity of deposits, assets and the market capitalization that amounts to $ 149.7 billion. It was founded in 1911 and has been operating successful since then. The bank employs more than 52000 people in all its
anches and has a shareholder count amounting to 800,000. The company has its headquarters in Sidney. They have been offering a variety of banking services all over Australia, New Zealand, Asia, United states and United Kingdom and internationally. The area of service includes retail, investment and business banking and also wealth management and providing international financial services. It tries to increase the
anches to spread its services all over the world and now it owns about 1172
anches and 3963 ATMS only in Australia. Some of the subsidiaries of the Commonwealth bank are Bankwest, Commonwealth securities, ASB Bank etc.
WOOLWORTHS GROUP
Woolworths Group Limited is one of the largest retailers of food and wine and hotel operator. The company owns a position of the country’s seventh largest market capitalization country that has capitalization amounting to $ 52.7 billion. The company was found in 1924 and have the headquarters located in Bella Vista. The company owns several food chain outlets that include Woolworths supermarkets and metro stores counting up to 1024. They operate about 180 Countdown supermarkets in New Zealand. The company’s endeavor drinks unit operates 1577 stores under Dan Murphy’s, Summergate and BWS
ands and sells wine and Liquor across the country and internationally. The company also maintains an online trading platform for the liquor sales under Cellarmasters. In addition, the Big W unit operates 183 general merchandise stores. They also undertake 328 hotel chains across the globe. They own a tagline of providing the best and quality taste all over the world and have been succeeding over years by its performance. Some of the subsidiaries of the Group are Cole’s supermarkets, Langton’s, Kmart Pharmacy etc.
TELSTRA CORP
Tesla Corp limited is a service sector undertaking that provides telecommunication and information services business. It is the country’s tenth largest business in terms of market capitalization at $45.6 billion. The company was found in 1901 and has its headquarters in Melbourne. The company was named Australian and Overseas Telecommunication Corp since its incorporation and has changed its name to Telstra Corp in 1993. The company provides its services to both the business and the retail customers through four divisions namely Telstra Consumer and Small Business, Telstra Enterprise, Networks and IT and Telstra Infra Co. The company builds and operates telecommunication networks and market voice, internet access, mobile, pay television and other products and services. There are many subsidiary companies that operate under the Telstra Corp such as Foxtel, Pacnet, Muru – D, Ooyala etc.
The companies chosen for analysis come from 3 different industries that are Banking, Food and Telecommunication. In the Later part we could conduct an analysis of the industry and the environment and its internal strength and weakness that could make a company at profitable position or even at a loss.
SWOT ANALYSIS
SWOT analysis is one of the commonly used strategic planning methods that help in a qualitative analysis of organization. It helps to identify strength, weakness, opportunity and threat that are involved in an organizations functioning and the project planning. This method operates by peeling back the different layers of the company which means of making an in - depth analysis before decision making on various matters that are related to the company. This technique also helps to identify the strategic position of an organization. The basic intend behind the analysis is to identify the nature of the venture or the business and determine the internal and external factors that are favorable and unfavorable in achieving the pre - determined goals and objectives of an organization. This technique helps in finding out the competitive advantage that the firm poses...