- June 1, 2018 at 10:52 am
The 3 new industry sectors have been announced:
1771 Coal Companies engaged in the exploration for or mining of coal.
1773 Diamonds & Gemstones Companies engaged in the exploration for and production of diamonds and other gemstones.
1775 General Mining Companies engaged in the exploration, extraction or refining of minerals not defined elsewhere within the Mining sector.
1777 Gold Mining Prospectors for and extractors or refiners of gold-bearing ores.
4533 Health Care Providers
Owners and operators of health maintenance organizations, hospitals, clinics, dentists, opticians, nursing homes, rehabilitation and retirement centres. Excludes veterinary services, which are classified under Specialized Consumer Services.
2730 Electronic & Electrical Equipment
2733 Electrical Components & Equipment Makers and distributors of electrical parts for finished products, such as printed circuit boards for radios, televisions and other consumer electronics. Includes makers of cables, wires, ceramics, transistors, electric adapters and security cameras.
2737 Electronic Equipment Manufacturers and distributors of electronic products used in different industries. Includes makers of lasers, smart cards, bar scanners, fingerprinting equipment and other electronic factory equipment.June 3, 2018 at 3:04 pm
Is this information authentic (since I haven’t seen any similar news elsewhere)?June 3, 2018 at 4:35 pm
Yes (unfortunately as the choice in my opinion is not good…) it originates with the ACCA BSc Office. If you doubt my word then wait until the new Information Pack comes out, which should be very shortly, and it should be confirmed in that.June 4, 2018 at 7:25 pm
Have to agree the choices are not that good. Anyways, what do you think would be a suitable company for electronics and electrical equipment?
I guess Intel is out since they’re in semiconductors. What about someone like Schneider Electric?June 15, 2018 at 1:52 pm
I am about to start my RAP. I am really struggling with finding a suitable company for topic 8. I would appreciate if you could suggest me names of some companies. Is Phillips a good choice to study?
thank you very much in advance.June 15, 2018 at 5:06 pm
Trephena is holidaying in Greece at the moment so I am filling in for her. I know however she is always reluctant to recommend particular companies.
However I think Phillips might fit the bill here as they manufacture electronic components. As for a comparator -I am struggling – take a look at Siemens (they used to be electric component manufacturers but I am not sure if that is still their core business -you will have to check). If you have another company in mind then fine -Siemens was just a company that occurred to me but may not necessarily be the bestJune 15, 2018 at 5:14 pm
Hi GillianM, Thank you very much for your reply. highly appreciated. I will check them.June 17, 2018 at 8:14 am
Could you please respond to my query above?
Also would someone like General Electric or Bosch work?June 17, 2018 at 12:46 pm
Trephena is holidaying on a Greek Island at the moment which is probably why she didn’t answer you (although I know she is reluctant to actually recommend specific companies).
As long as the main and comparator companies both have electronic component manufacture as their core business this will be fine. Ideally choose two which are based in the same part of the world e.g. both headquartered in Europe, both in S.E. Asia or both in USA as their business environments will be similar and they will be direct competitors (usually). Remember to mention any specific potential differences in their operations and for most ratios you do not have to translate currencies (as the ratios themselves are what you should be comparing in most cases e.g. NP percentages ect.)
GillianMJune 25, 2018 at 12:34 pm
I have been reading about Philips, the company has changed its strategy. in 2014, Management announced the new strategy to split Philips into two company: Philips Lighting and Philips Healthcare. And as at 31 Dec 2017, Philips lighting is not included in the Financial statement because they have less than 30% share of that company. The question is whether Philips healthcare technology can be a suitable company for topic 8 for November 2018 submission? I would appreciate if you could advise me accordingly.June 25, 2018 at 5:08 pm
It is always annoying when company structures change as it is difficult enough finding two companies to compare! However the way round this is to cover this issue in your limitations section.
Normally the previous year’s statements will be restated to align with the 2017 ones so that will give you two comparable years anyway
It may be possible (depending on the detail given in the financial statements) to remove the minority interest (if it was a minority interest) relating to Philips Lighting from previous years and adjust or this . However I suspect prior to 2017 it was a legal subsidiary and Philips controlled it as the holding company, having since sold a significant percentage of the share?June 25, 2018 at 7:34 pm
Thank you for your prompt response. Yes, Philips lighting stand-alone structure within the Philips group was established in February 2016. in May 2016 it was listed and Philips group retained around 71% stake. Philips shares in Philips lighting reduced to 29.01% by the end of 2017. And Philips will sell down its retained interest in Philips lighting within one year.July 3, 2018 at 8:59 am
Could you please teach me how to deal with the different year ended annual reports of two comparable companies? Such as the year ended of the one company June 2017 and the other one year ended Dec 2017.
My mentor said I have to prepare the whole quarters of the company which has the year ended Dec 2017, as my main company’s year ended is June.
He doesn’t reply to my questions in 6 hours and i feel so stuffy.
the recent 3 years information is compulsory, so it means I need to make each of the 12 quarters’ SOCI and SOFP?July 5, 2018 at 8:20 am
Unless the business sector you have chosen is seasonal then you don’t necessarily have to adjust the statements for each quarter. You should be looking at the trends for both companies over a 3 year period and therefore the 6 month lag is not so critical if their business cycles are regular.
What is far more important is to research the strategic differences and how these are reflected in the financial results. This means looking at the PEST and SWOT factors and applying them to the ratio analysis when explaining performance differences. ( Look at the CEO and Directors reports as they tend to outline the management strategies and policies)July 15, 2018 at 7:00 pm
Hi, I would like to know if I can use the sectors specified for topics 8 & 15 can also be used for the other topics ? Or is it restricted only to topics 8 & 15.
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