1. Read the content of Module 9 and 10 to prepare for this Assignment.

Assignment Tasks:

· You are required to conduct a financial statement analysis of a publicly listed company (PLC) from the following list:

· Brick Brewing Company Limited

· Big Rock Brewery

· Jean Coutu Group

· Indigo Books and Music Inc.

· Magna International Inc.

· Maple Leaf Foods Inc.

· Metro Inc.

· Mitel Networks

· Saputo Inc.

· Second Cup Coffee Company

· SNC-Lavalin Group Inc.

· CGI Group Inc.

· WestJet Airlines Ltd.

· Cineplex Inc.

· Cara Operations Limited

· George Weston Limited

· Loblaws Company Limited

· Celestica Inc.

· Leon’s Furniture Ltd.

· Jean Coutu Group Inc.

· Roots Ltd.

· Canadian Tire Corporation

· Air Canada

· National Canadian Railways

· High Liner Foods Inc.

· Tim Hortons Inc. (uses the name Restaurant Brands International Limited Partnership – uses US GAAP which I will allow for this assignment)

· Rogers Communications

· Alimentation Couche-Tard Inc.

The analysis should be divide in the following three parts:

Part I: Knowledge of the Client’s Business and Risk Assessment (no more than 500 words)

· You should provide an overview of the company’s business, industry it operates in, its products/service, its geographical presence and the details of the top management of the company.

Part II: Analytical Review and Calculation of Critical Financial Ratios

· You should conduct financial ratio calculation and interpretation for the latest year end numbers. No need to show calculations. Only the final result and its interpretation/analytical insights are required.

· Calculate and provide analytical insights of various ratios under liquidity ratios, profitability ratio, and solvency ratios.

· Perform horizontal common size financial statement analysis using 2020 (or the most recent previous year’s data) as the base year and provide analytical insights.

Part III: Audit Report and Risks (no more than 800 words)

· Go into the Annual Report and look for management’s risk analysis – most companies will assess the future business risks of their company.

· Describe one risk facing the company that is interesting and different from all other types of companies – i.e., it is specific to its business – DO NOT DISCUSS ANYTHING TO DO WITH SOFTWARE TECHNOLOGY AS THIS IS COMMON TO ALL COMPANIES

· Go to the Independent Auditor’s Report and identify the auditor of the company and determine if the company receive a clean opinion? How do you know? (2 marks)

· Check for any related party transactions disclosed – you may need to go to the Notes to the F/S unless management has disclosed it in the MD&A (remember Chapter 3 and risk analysis) Select one related party noted and provide details on what was involved in the transaction and who the transactions were with.