Based on the Statement of Changes in Equity (SOCE) and the Statement of Cash Flow (SOC) of Mercury NZ Ltd. With reference. 1. Describe the background of the company (100-150 words).

2. Investigate the equity transactions and relevant disclosures during the year and discuss how these transactions would impact the potential investors. (300-350 words).

3. Based on the companys Statement of Cash Flows that is prepared in accordance with NZ IAS 7 guidelines, prepare responses to the following questions (600-650 words).

a. Compare your companies profits (Refer to Income Statement/ Profit or Loss Statement of the company) against net operating cash flows and identify the major factors contributing to the difference between the companys profit and cash flow from operating activities.

b. Describe the major factors contributing to the net cash flows from operating, investing and financing activities.

c. Comment on the net cash flows from operating, investing, and financing activities of the company.

4. Based on your discussion above, provide a final commentary. In your final commentary, discuss any concerns potential investors should be aware of regarding the companys equity position and cash flow position (200- 250 words).