Effect of releasing accounting information, Financial Accounting

The objective of this project is to demonstrate the effect of releasing accounting information concerning profits on the valuation (i.e. share price) of an Australian;listed company. The project has three educational objectives. First, it demonstrates to students that, in some cases, accounting related information has an impact on investor behaviour via the share prices (or returns, which are changes in share price).

Second, it shows how we have to control for the effects of other factors when trying to assess causal relationships. In this case, movements in the market must be controlled for in order to see the real effect of a company profit announcement on the share price of the company. The third objective is to encourage initiative, inquisitiveness and the development of basic financial statement analysis skills as students investigate company;specific factors behind the economic performance being announced by the company.

Note that because of the financial statement analysis component of this assignment, students are advised that companies in the insurance, investment, banking and financing industries are not suitable and should not be selected.

Posted Date: 3/14/2013 5:47:38 AM | Location : United States







Related Discussions:- Effect of releasing accounting information, Assignment Help, Ask Question on Effect of releasing accounting information, Get Answer, Expert's Help, Effect of releasing accounting information Discussions

Write discussion on Effect of releasing accounting information
Your posts are moderated
Related Questions
On May 19, 2010, Kim placed in service a LIGHT VAN that cost $54,850. It is used 80% for business each year. What is the maximum cost recovery deduction available for the van in 20

GoFlo is a small growing firm that is considering the purchase of another truck to serve GoFlo's expanding customer base. The new truck will cost $21,000 and should generate annual

Interest on Zeroes: Tesla Corporation needs to raise funds to finance a plant expansion, and it has decided to issue 25-year zero coupon bonds to raise the money. The required

The only two countries in the world, Alpha and Omega, face the following production possibilities frontiers (all units measured in tons). Alpha's Production PossibilitiesFrontier

1) Inventory of raw material are held to make sure that the production process is not disrupted because of shortage of raw material. The amount of raw material inventory would base


The purchase of a car needs a $23,410 loan to be repaid in monthly installments for 4years at 12% annual real interest rate. If annual inflation rate is 4%, find the extra amount t

State the Accounting as an information system We know that accounting can be seen as provision of a service to 'clients'. Another way of viewing accounting is as a part of busi


GOODWILL This is defined as “the difference between the value of a business as a whole and the fair value of its net separable assets”. Goodwill in practical sense is the advant