This is a case study from Business Analysis and Valuation IFRS Edition 3rd Edition by Krishna G. Palepu, Paul M. Healy and Erik Peek

I cannot upload the whole case study, is it possible to send the case by email? Could be found online possibly.

I've made quesitons that can be answered without the case study in bold.

Thanks for your help.

1. Are the financial statements for Accor and NH Hotels comparable? What are the main differences in 4 accounting policies of the two Hotel Groups?

2. Discuss how the differences in accounting treatment of the above policies may impact their balance sheet and income statement.

3. Do uniform accounting standards (such as IFRS) eliminate all distortions from accounting statements, leading to uniform numbers across companies?

4. The net change in cash and cash equivalent for the fiscal year 2005 for Accor and NH Hotels are 707 million and (5.712 million) respectively. Conduct a cash flow statement analysis and comment on possible reasons for the increase or decrease in net cash over the year for the two hotel groups.

5. Using any 3 ratios comment on the creditworthiness of Accor and NH Hotels. Indicate any 3 non-financial factors that you may take into account when deciding to extend credit to these firms?

6. Calculate NOPAT for NH Hotels and Accor for 2005. What is NOPAT? Why is NOPAT considered to be a useful tool in financial statement analysis?

7. Decompose return on equity (ROE) using the traditional approach and evaluate the key drivers of NH and Accors performance in 2005.

8. What are the key problems with generally accepted principles (GAAP)? Discuss whether uniform GAAPs around the world would eliminate all distortions from accounting statements and lead to uniform numbers across all companies.