BAO5535 - Issues in Contemporary Accounting

Assignment information Due at the beginning of Week 8

Topic: Accountability of managers and the role of regulators for listed

companies

The case of CIMIC (cimic.com.au).

Marks allocated: (30%):

Research report (Max: 3000 words), due at beginning of week 8 seminar.

References

Articles and documents as provided on VU collaborate.

Required:

Download the reports and articles from VU collaborate and answer the following questions.

Question 1: (6 marks):

Analyse the share price and profit (loss) for the CIMIC

/Leighton Group Ltd

for four (4) years from 2014 to 2017 (2014, 2015, 2016, 2017) and provide an explanation for the

changes.

Question 2: (6 marks):

Analyse the Balance Sheet (Statement of Financial Position), Statement of

Cash Flows and Statement of Changes in Equity and explain any significant variations across the 4

years.

Question 3: (3 marks)

Why do you think that the executive of CIMIC/Leighton Group Ltd was

investigated by ASIC and subsequently sentenced?

Question 4: (15 marks)

Does

legitimacy or stakeholder theory explain the behavior of the

management of CIMIC and/or the regulators? Explain your answer using extensive referencing (as a

starting

point, read ASIC Enforcement Update report, page 7.