PRINCIPLES OF FINANCE ASSIGNMENT (20 %)

Part 1

a. Each of the group members needs to choose ONE (1) company in the same sector listed in

Bursa Malaysia. Find 2021 Annual Report.

Consumer products & services: 7-ELEVEN MALAYSIA HOLDINGS BERHAD

b. The accounting period for the analysis must be two years of financial statements and using

information on group or some might see the word consolidated financial statements in

the presentation of the annual report.

c. Take note that each of you must select a company that do have item for cost of sales in

Statement of Comprehensive Income and inventories in Statements of Financial Position.

d. Based on Statement of Comprehensive Income and Statements of Financial Position, you

need to calculate financial ratios (show your workings). Based on your calculation, interpret,

and compare the performance for the year 2021 and the year 2020 based on the following

categories of ratio:

i. Liquidity

ii. Asset Management

iii. Debt Management

iv. Profitability

e. Based on the analysis in part (d), make your recommendations to the potential investor/s

should they invest or not in this company.

Part 2

a. Once each of the group members completed task in Part 1, you need to compile all the

financial ratios (for each company) together.

b. Based on the calculation for financial ratios, interpret, and compare the performance for the

year 2021 on the companies on the following categories of ratio:

i. Liquidity

ii. Asset Management

iii. Debt Management

iv. Profitability

c. Based on your analysis in part (b); discuss with your own words (use relevant example from

your above works), any TWO (2) limitations of using financial ratios analysis

This is type written assignment. 1 spacing. Font 11, Arial. The marks allocated for the report: a. Format 5 marks b. Trend analysis + recommendation 4 marks c. Comparative analysis 4 marks d. Limitation 7 marks Total = 20 marks