Reflection Paper in Compliance of the Course Requirement ACCCOB2

I. Introduction
Financial Statements are written records that convey the business activities and
financial performance of a company. As part of the subject requirements, I was
tasked to prepare a reflection paper regarding “Investments of Debt and Equity
Securities” of San Miguel Corporation. Considering that San Miguel Corporation is a
Holding Company, “Investments in Debt and Equity Securities” plays a vital role in
the financial statements since operations mainly focus on managing of investments
and assets of their subsidiaries.

II. Reflection on Investments on Equity and Debt Securities of SMC.

Below is the Statements of Financial Position of SMC as of December 31, 2022 as
reference for my reflection.
The Statements of Financial Position of SMC provided disclosures with regards to its line item
“Investments and advances-net” as follows.
Based on the data disclosed by the auditor of the SMC, I could say that the Audited Financial
Statements reflected the valuable information needed by the stockholders. First, it is shown on
the face of the financial position as a separate line item and was categorized as non-current
assets, considering that such investment is not specified to be realized for one year or less.
Second, it is shown at net of impairment losses. Third, it is also reflected in the financial
statements of its investments in different companies, which provided the stakeholders with a
comprehensive understanding of the SMC’s investment strategy, financial performance, and risk
exposure. The disclosures made in the financial statements of SMC’s help assess the value and
performance of these investments, identify potential risks and evaluate the company’s overall
financial health. Thus, If I were an investor by examining the disclosure and accounting
treatments of its investments, I could say that I can make an informed decision and gain
confidence in the SMC’s investment portfolio.

Submitted by:

Paul Matthew G. Rojas