Anh Nguyen

ACC101

Individual Assignment Guideline

DUE DATE 22/07/2022, 5pm
A. Assessment Questions
Assumed that you are a credit analyst in ANX Bank, your daily job is to evaluate financial
soundness of clients applying for credit from the bank and provide the credit evaluation reports
to Head of Credit Approval. Your job is to ‘’pick up a company in the stock market at home
or abroad, analyze the financial statement of that company and give advice to relevant
stakeholders in 3 years 2019-2021’’.
In order to provide a comprehensive analysis report, you must undertake the following action:
a. Consolidate the list of financial ratios necessary for your analysis. Examples of ratios
according to each group are in Table 1. Additional research for more ratios beside scope of
class are strongly encouraged with added marks.
b. Briefly explain the formula and meanings of ratio groups to report users
c. Compute the relative annual ratios of the company chosen in 3 years 2019-2021
d. Analyze, outline performance revealed in the ratios
e. Identify any operating problems revealed in the fluctuation of ratios.
f. Recommend the solutions that the client company should do to overcome the problems to
then be qualified for the credit amount.
B. Learning Outcomes
- Analyze a business problem and identify relevant information for decision making.
- Apply the knowledge and tools to better understand business performance issues, and the
decisions and problems faced by managers
- Be able to demonstrate ability to effectively access, organize and then communicate
information.
C. Report Format
The analysis report at ANX Bank must be a formal management report which should include:
1. Executive Summary
2. Table of contents (section numbers and page numbers to be included)
3. Brief Introduction of the case
4. Report to be structured using numbered sections/subsections – all summary figures to be
embedded in tables/graphs.
5. Conclusion & Recommendation

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ACC101
6. Tables and Figures should be labelled and numbered e.g. Table 1, Figure 1 etc. Financial
Statement used to back up your ratios must be included in the Appendices.
7. The management would prefer a report of no more than 1,500 words, fully written in
English.
8. Report must be typed and double-spaced with 12-point font. The submission will be in
PDF form.
9. All detailed calculations should be attached in appendices to your report, and are not
included in the word limit. When you refer to calculations in your report, you should indicate
where in the appendices they are to be found. Tables embedded within your report should
provide summary figures only. Some useful websites on the preparation of management
reports is:
https://www.citewrite.qut.edu.au/write/writing-well/report.html (accessed 29/05/2022)
10. Arguments are supported by THE reference list
11. The report must be proof-read to minimize grammar and vocabulary errors.
D. Referencing
▪ You must identify the most appropriate literature for your discussion supported by relevant
reference sources. Sources in the report must be supported by both in-text reference and
bibliography at the end of the text in Harvard Reference Style. More to be found at:
https://www.open.ac.uk/library/referencing-and-plagiarism/quick-guide-to-harvard-
referencing-cite-them-right
▪ Academic journals are encouraged. Websites are not considered proper academic
references.
▪ Academic References includes:
- peer-reviewed journal articles (try Keyword + Google scholar)
- books, encyclopedias, and other scholarly works of well-recognized organizations (i.e. CPA,
ACCA, CFA, etc.)
- An edited volume by a reputable source (such as Academic Press, MIT Press, and others),
or is written by a major expert in the field
- Online encyclopedias such as Wikipedia, social feeds or personal blogs ARE NOT an
acceptable source

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ACC101

E. Table 1: Sample list for ratios

Type Ratio

Liquidity Acid-test ratio

Liquidity Current ratio

Profitability Gross profit margin

Profitability Net profit margin

Growth Asset growth

Growth Revenue growth

Growth Net profit growth

Turnover ratio Receivable turnover/ Days sales

receivable (uncollected)

Turnover ratio Inventory turnover/ Days’ Sales in

Inventory

Profitability Return on asset

Profitability Return on equity

Leverage Debt to Equity

Leverage Times interest

earned (Interest Coverage ratio)