Reference no: EM132999971

Corporate Reporting

Unit Reference - D/615/3241

Learning Outcome 1: Understand the accounting and finance regulatory framework.

Learning Outcome 2: Understanding accounting concepts, principles and theories.

Learning Outcome 3: Be able to prepare and interpret accounting information.

Learning Outcome 4: Be able to demonstrate specific policies, practices and regulations within corporate accounting

Scenario
Corporate reporting is an area of Accounting and Finance that incorporates Regulatory Framework, Financial Reporting and Ethical considerations.
You are required to choose a Public Limited Company on which to base your assignment. You are advised to check with your tutor that your choice of company is appropriate.

Task 1 - Business Report

Prepare a formal business report, to be presented to the Directors of your chosen company. You must include the following:
1. An explanation of the main sources for regulatory framework, accounting and corporate concepts, principles and theories.
2. An explanation of the impact of the accounting and finance framework on business organisations in general and your chosen company.
3. Explain and assess specific policies, practices and regulations for your business and the business sector it operates within.
4. An assessment of areas of abuse and exploitation in accounting and financial reporting.
5. An assessment of the importance of accounting concepts, principles and theories.
6. An interpretation and assessment of the published accounting information of your chosen company. You should prepare additional accounting information, for example ratios, in your interpretation and assessment.
You should analyse and assess the following financial statements:
a. Income Statement
b. Statement of Financial Position
c. Cash Flow Statements

Investment Analysis

Unit Reference - bR/615/3236

Learning Outcome 1: Understand different types of se_curities.
Learning Outcome 2: Understand the regulation of security trading and new issues in world markets.
Learning Outcome 3: Be able to apply principles of investment theory, securities and market analysis.
Learning Outcome 4: Understand the principles of taxation.
Learning Outcome 5: Understand the laws and regulations controlling the financial services industry.
Learning Outcome 6: Be able to plan, manage and assess client portfolios.

Task 1

Tim & Co is building a new factory in Yorkshire, England. They must pay a final construction payment of £ 9,000,000 in six months' time.

Foreign exchange and interest rate quotations are as follows:

 

You can trade at the following prices:
Spot rate, euro € per British pound sterling £	€1,4876/£
One-year forward exchange rate	€1.4906/£
One-year euro interest rate	4.10 %
One-year pounds' sterling interest rate	3.55%

Prepare a portfolio of evidence that addresses the following questions.
1. Is covered interest arbitrage worthwhile? If so, explain the steps and compute the profit based on an initial transaction of £9,000,000. Briefly discuss your findings.
2. Identify laws and regulations controlling the financial services industry.
3. Assess the principles of direct and indirect taxation and review the implications on a range of business stakeholders.
4. Evaluate the key characteristics of different types of securities and assess the strengths and weaknesses of the securities.

Task 2

Air UK & Co PLC is an airline service company listed on the London Stock Exchange (LSE) and is based in the UK.
It is a low-cost carrier and has firmly established itself as the UK's leading low fares scheduled passenger airline.
The primary objective of Air UK & Co is to offer airline services at low fares to generate more passenger traffic, whilst maintaining the focus on cost containment and operating efficiencies.
As the strategies, they developed have stimulated demand, Air UK and Co is now looking to invest in another listed company on the LSE which belongs to the economy / value class airline services and provides passengers with an economy class air travel experience.
For this assignment, you are the finance manager of Air UK and Co and are required to develop the business proposal presentation.

Prepare a comprehensive presentation to assess the viability of the business expansion project.
The following requirements need to be addressed when preparing the presentation.
• Review the regulations, policies and procedures used when trading in securities.
• Identify, analyse and review issues in global markets including the London Stock Exchange.
• Evaluate the portfolio management in relation to the investment according to the customer profile and needs.
• Justify appropriate types of savings and investments for the hypothetical expansion of Air UK & Co airline services.
• Explain the principles of investment theory and evaluate the use of securities.
• Demonstrate the underlying concepts of market analysis and efficiency.

Referencing:
• PowerPoint Presentation must reflect any supporting Harvard style citations.

Attachment:- Corporate Reporting and Investment Analysis.rar