Financial Statement Analysis & Crown Resorts 2020 Annual Report Writing - Financial Accounting Assignment Help

Assignment Task

Financial Statement Analysis                           
Returning to the misstatements in Freedom Foods 2019 and 2018 financial statements

1. Calculate the following ratios for 2019 and 2018 based on the amounts reported in the 2019 financial statements. Calculate ratios to two decimal places. Then calculate the same ratios after adjusting for the misstatements in the financial statements for 2019 and 2018 comparatives. 
Recall the amounts of material misstatements were: The $60 million inventory write off should have been recognised for in 2018.  The additional $10 million write-off of bad debts should have been recognised in the 2019 financial statements.

2. Explain and comment on each of the current and quick ratios both before and after the adjustment for misstatements including if those ratios indicate any liquidity problems?  

C. Statement of Financial Position and accompanying notes     
Using the Crown Resorts 2020 Annual Report answer the following:

C1 Property, Plant and Equipment
1.  Which depreciation method recognises a greater amount of depreciation expense in the earlier years of an asset’s life relative to other depreciation methods?
2.  Describe the depreciation method Crown Resorts uses for depreciating property, plant & equipment (PPE). 
3.  Does the company disclose assumed useful lives for depreciation purposes? If so, what are the useful lives of the main categories of PPE.
4.  How is recoverable amount calculated?  How much is this?  
5.  State the total PPE additions, disposals and depreciation expense for the year ended 2020. 
C 2 Intangibles
1.   How are Intangible assets in the form of Casino Licences valued? 
2.   The article Crown Resorts no longer suitable to hold Sydney casino licence, inquiry hears published in the Guardian on November 4, 2020 alludes to the possibility of Crown losing its Sydney casino licence. What value is reported by Crown Resorts for the Crown Sydney licence? 
3.  If Crown Resorts were to lose its licence, how would this impact the value of Crown Resorts Intangibles?
4.  Which other items in the Balance Sheet would be impacted if the licence was lost.  
5.  If the casino licence was written off how would this be reported in the Cash Flow Statement?
6.  In the Chairman’s message on page 2 of Crown Resorts annual report, the Chairman states: As one of Australia’s leading tourism, hospitality and gaming companies, the Board of Crown regards its obligation to provide good corporate stewardship with utmost importance. 
You are to comment on how or whether the Chairman’s statement correlates with the accusations in the article Crown Resorts no longer suitable to hold Sydney casino licence, inquiry hears.       

D Accounting Policy Choice exercise in the preparation of the Financial Statements and implications for users                      
Explain in terms of Accounting policy choice why two entities that operate in the same industry, similar locations, operations and customer base, could report very different results in their financial statements. Your answer is to specifically address implications for users in the choice entities can make in accounting policies for bad & doubtful debts, inventories and depreciation. Consider also why the Accounting Standard Setting bodies allow entities to choose alternate  accounting methods.
 
 

This Financial Accounting Assignment has been solved by our Financial Accounting Experts at My Uni Paper. Our Assignment Writing Experts are efficient to provide a fresh solution to this question. We are serving more than 10000+Students in Australia, UK & US by helping them to score HD in their academics. Our Experts are well trained to follow all marking rubrics & referencing style.

Be it a used or new solution, the quality of the work submitted by our assignment Experts remains unhampered. You may continue to expect the same or even better quality with the used and new assignment solution files respectively. There’s one thing to be noticed that you could choose one between the two and acquire an HD either way. You could choose a new assignment solution file to get yourself an exclusive, plagiarism (with free Turnitin file), expert quality assignment or order an old solution file that was considered worthy of the highest distinction.