- October 27, 2017 at 3:16 pm
Thank you for your response.
I hope my company can provide the authorization, however in the meantime I am considering another options in case I wont get it.
With regard to topic 8: Can I use Boeing Company and compare with Airbus?
Do you think would it be too difficult?
Thanks and Regards
GabriellaOctober 29, 2017 at 10:49 pm
Sorry for following up.
I was wondering if you could guide me to decide with company to choose for topic 8 if my company wont allow me to access to the info for topic 6
I was thinking of use Boeing company as case study for RAP and company with Airbus. Do you think that it would be too difficult?
Thanks and Regards
GabriellaOctober 30, 2017 at 8:19 am
In many respects Boeing and Airbus are a good match however as with many of the companies in the specified sectors you will find the companies use different reporting standards e.g. US GAAP v. IFRS. It is for this reason (among others) that I have now declined to recommend particular companies that are suitable for this topic as I am not sufficiently knowledgeable of each company’s intricate operations to feel that I can make a reliable judgment of this.October 30, 2017 at 8:26 am
Thank you for your reply
GabriellaNovember 6, 2017 at 3:29 pm
When I read info pack it’s stated there that everything from the start of the title page to the end of conclusion including chart, graphs included in the word count. But when I am looking at the Wordcount in MS word, chart, graphs not included in the word count so my question is does the marker have any software that will count the chart and graph and do I need to leave around 100 words as spare?November 7, 2017 at 12:17 pm
payables in consolidated statement including trade payables and other payables.
when i caculated the ratios ( payable days) which figure should i use ??
currently i caculated the ratios using only trade payables , result show up trend in 3 years .
but if calculated by the consolidated figure which including trade and other payables , it will show down trend and this trend is mention in annual report .
am i correct by using the trade payable separately > ? or could i talk trade payable and other payable separately ?? thanks for you adviceNovember 7, 2017 at 9:12 pm
I read in info pack that reference list should be preferably in alphabetic order. I read in this forum some students saying its time consuming to make it in alphabetic order. Cant, we do that with ms office sort option?
Thank you so much for your help.November 8, 2017 at 10:35 am
Unfortunately I am unaware of any quick method of achieving this. Someone has suggested one answer on the Referencing forum topic thread. What might work if it was done from the beginning is to copy each entry into Excel and use sort but could still be a bit time consuming and I would still be inclined to just cut and paste the Word doc.
(I would ask that questions are posted on the relevant thread by everyone -as this one relates to all topics not just Topic 8 this current thread is not the best place for it)March 4, 2018 at 9:31 am
I am having difficulties choosing the companies for comparator. Can you advise me if it would be a good comparison if I compare a company with for example revenue of $100 million with a company of revenue $40 million?
Thank you for the help.March 5, 2018 at 9:31 am
This shouldn’t be a problem if you state this fact in your limitations and any implications affecting the comparisonsMarch 7, 2018 at 10:28 pm
Hi, i need help!! can i choose Kelogg’s Company or Almarai Company for topic 8 for period 36?March 13, 2018 at 1:55 pm
@trephena i am due to appear for the OBU BSc, i am facing a small problem. The company i have chosen under the food products category, is a private entity for which i can get the required data for topic 8. This company only exports.
The problem is that its competitor is a listed entity with operations in local market as well as exports. Now i do not believe them to be on the same level. The listed competitor is huge in every aspect.
Can i use that competitor to compare my chosen private entity with? Furthermore, there are no other competitors in the market that are listed so i cant get their data. The competitor chosen is the only listed entity that has published financials and its export process has a similar business model as the private entity which i will use. Moreover, it does hold a significant marketshare.March 16, 2018 at 9:18 am
This will depend mainly on whether your company’s financial statements are available and in English. If the answer to either of these is no then you will need to choose a different company. You can account for the differences in their size, legal status and markets by referring to these in the limitations. (By the way you say you can get the financials but there will need to be some independent evidence that the company exists i.e. the accounts are publically available AND/OR there is a professional company website).March 17, 2018 at 8:17 am
Hi i need help with the following
1. Can my companies for topic 8 have different year ends. For example one has 31 December the other has 31 March
2. And if the latest annual report comes out in April before we submit should include it in my report or should i use what is available to date.March 20, 2018 at 6:31 pm
Hi, getting stuck into my topic 8 based RAP project. I’m doing a lot of reading before I get stuck into writing the RAP. My issue is trying to find some good quality reading material in regards to ‘Strategy planning & analysis’ and ‘Business and financial ratio analysis’. Obviously, I’ve got my ACCA textbooks but really wanted to add some meat to my analysis and insights/discussion. The offerings from the internet seem sporadic in quality. Is there a recommended reading list or any quality texts/authors I should be looking out for?
Thank you very much in advance
BilboMarch 22, 2018 at 3:57 am
For Strategy readings, we suggest going straight to the original authors, where possible. For example, why quote from other sources on Porter’s 5 Forces, when the student should be reading Porter himself?
As for ratio analysis, you could just search for a reputable source that could come from consultancies (like McKinsey or Deloitte), banks or universities.
All said, we do hope you have selected a well-known company such that there is an abundance of information on it’s business. Some lesser known companies have very little public information, making it difficult to conduct analysis such as a SWOT.
It is better to look beyond your ACCA textbooks as over-reliance on the ACCA textbooks may signal to the examiner that the student is not comfortable and familiar with research skills.
All the best,
The Learning LuminariumMarch 22, 2018 at 2:14 pm
how many comparators are students allow to use aside the main casestudy chosen?
I suggest you to use one competitor/Industry Average due to word limit. you may face word limitation in case of selecting more than one competitor.
Let me know if you have any further question.
Regards,March 24, 2018 at 3:15 pm
1) different year ends are fine. Just recognize it as a limitation of your report.
2) The information pack discusses whether you should use the annual reports and when is the cut off date that OBU uses (ie after this date, you can ignore the annual report releases)
The Learning LuminariumMarch 26, 2018 at 8:45 pm
My comparator company has released financial statements for 31/12/17, but my focus company’s last set of accounts is 31/03/17. Am I going to be penalised for using 2014, 2015 and 2016 accounts for my comparator and ignoring the 2017 accounts?March 28, 2018 at 11:38 am
No, use the focus company’s most recent set of audited annual accounts (31/03/17) and you will be fine. They will not penalize you for ignoring 2017.
All the best,
The Learning LuminariumMarch 28, 2018 at 10:37 pm
Many thanks Irwin for your above reply, I have noted your suggestions.
Another ratio related question…
Should I spend a lot of time trying to replicate the ratios quoted in the Annual Returns of my focus company. In some cases the information necessary to replicate the calculations are not available in all of the years. Should I just focus on what I decide to incorporate into my own calculations and the arguments for/against their inclusion/exclusion?
Many thanks in advance
WillMarch 31, 2018 at 3:17 am
have an issue I need clarification on and will really appreciate help.
I am doing topic 19 .i plan to do a pre and post merger financial analysis (ratio/trend) of the acquiring company. The merger I’m basing the RAP on happened early to mid 2015 so my premerger years are 2012,2013 and 2014. In June 2013 the acquiring company was itself acquired and the new owners changed its year end from April 30 to dec 31 the consolidated p&l therefore includes a full year 2012 result (ending 28 April 2013), 9 months results known as the transition period(29th April-31 dec 2013) and full year 2014(Jan-dec 2014)
However in the annual report , to assess performance the p&l was restated covering two periods.
The first one compares 2013 and 14 performance and the p&l was prepared for the 12 months period to 31 dec 2013/14(52 weeks )
The second compares 2013 and 2012 the p&l was prepared for the period April to dec 2012/13(34 weeks).
My question now is how to compare like for like ( with different period lengths 52 wks vs 34 wks) and also how do I establish the trend for three years
Is it ok if I show trend for each of the two periods separately and do my analysis separately as the company has done?I mean for eg do one (sales growth)graph showing 2013 vs 2014 and another showing 2013 vs 2012 and do my analysis for each based on the periods ?
I don’t know if I make sense but I can send you the financials through email if you don’t mind looking at it so that you can understand what I’m trying to say if this post is not too clear.April 2, 2018 at 5:02 am
Yes, this is a sticky situation indeed. OBU does not give a specific instruction on this and expects students to try to figure the best way forward.
There are a few possibilities
1) Just keep the periods as given by the annual reports and state clearly that it is a limitation. You should explore and explain how strong this limitation is though. Will the 9 months period be badly affected by seasonal effects (e.g. missing out the high-sales season?) Since we work on ratios, it could jolly well be that the time periods do not affect the ratios too much. (except sales growth ratio and it’s kind)
2) You could re-construct the financial report so that each year has 12 months. This would require using the quarterly reports though.
In conclusion, I wouldn’t wish to be excessively stressed over this because for topic 19, a large part of your analysis will be dedicated to the POST-MERGER. The pre-merger years are just to set the scene and have a benchmark on what the merger was to improve/accomplish.
All the best,
The Learning LuminariumApril 2, 2018 at 5:04 am
This is a straightforward question – OBU expects students to generate their own ratios. Getting ratios from annual reports or platforms like Bloomberg is severely frowned upon as it gives no evidence that students are competent in calculating ratios.
Hope this helps!
The Learning LuminariumApril 2, 2018 at 4:54 pm
Hi @trephena and the OT mentors,
I am very close to summarizing my financial analysis but I need some help on my Ratios. I have calculated and thoroughly analysed the following ratios for Airbus :
1 – Sales Ratio ( analysed the sales/orders/deliveries )
2 – For Profitability : Operating Profit Margin Ratio
3 – For Liquidity : Current Ratio
4 – Debt-to-Equity Ratio
5 – Dividend Payout Ratio
I know there are more common ratios that I am not calculating such as :
P/E Ratio, Return on Equity , ROE , ROCE .
Please can you guide me if my ratio are sufficient ? Am i missing something ? Will they object that I didnt cover something. please can you help on this.
Thanks so much @trephena,
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