MGM 565 Tools and Measures Assignment #3 (Team) Comparing Canadian and International Financial Statements

Introduction
By completing this assignment each team gains the opportunity to compare financial statements from a company based in Canada plus one other country, to prepare and make a Power Point presentation, and to view the work of other teams. It is an effective way to link the course learning to actual corporate information. When accountants prepare statements for a company, they must understand and apply the accounting standards laid out. Previously Canada followed Canadian Generally Accepted Accounting Principles (Canadian GAAP) but as of January 2011 any publicly accountable enterprise is required to report using International Financial Reporting Standards (IFRS). Around the world, many countries are adopting IFRS1. However, even if the company adopts IFRS, there can be, and often are, many differences in reporting information.

Required
In your first team assignment, your team selected a Canadian organization. Starting with that company, on the attached appendix you will find a suggested international organization to compare. If you wish to select a different organization, please inform your instructor of your selection and receive permission prior to proceeding further with the assignment. Teams will be required to present (with a PowerPoint presentation) an analysis and comparison of the two companies financial statements. Your team will take the role of potential investor (creditor or shareholder) in the companies. Determine which company would be a smarter investment for the long term given limited funds. Your analysis should include, at a minimum, an overview of the industry in each country, an analysis of the financial statement of each company (include appropriate ratios) and a review of the differences in reporting that the companies have used. Explain to your audience what makes it hard/easy to compare the two companies. A presentation that has a maximum length of 10 slides (the cover/title slide is not included in this total); each slide must be accompanied by PowerPoint speakers notes (100-200 words per slide) that expand on the material covered in each overhead; you may include embedded video material in your overheads.

Use of IFRSs by Jurisdiction. Deloitte Global Services Ltd., 2011. http://www.iasplus.com/country/useias.htm

You must appropriately cite all sources consulted using footnotes. Please cite according to the Chicago Manual of Style. Information on this citation style can be found at the following link: http://www.library.hbs.edu/guides/citationguide.pdf or through the RRU Writing Centre (online), under Chicago Manual of Style. There is also a forum there if you have queries on citing. It is necessary to complete a Team Assignment Plan/Summary (TAPS) form for this assignment. Complete the first part by filling in the non-shaded areas of the form and submit it to the dropbox for Assignment #2 by Friday, February 24th. Complete the remainder of the form and submit the entire form with your assignment to the appropriate drop box no later than Sunday, March 4th. After submission of your PowerPoint to the dropbox on March 4th, each team will make their presentation during the final class on March 6th. Presentations should be limited to 10 minutes with an additional 10 minutes for questions. Assignment grading will reflect overall presentation, completeness of content, evidence of critical thinking, and evidence of understanding of diverse financial reporting rules.

Appendix
Canadian Organization Name Ainsworth Lumber Alimentation Couche Tard A&W Revenue Royalties Barrick Gold Corp. Biovail BPO Properties Canada Bread Canon Inc. Carmanah Technologies Forzani Group Ltd. Gildan Activewear Hydro One Ivanhoe Mines Jean Coutu Group Mega Brands Metro Inc. Rogers Communications Rona Inc. Royal Host REIT Saputo Inc. Sears Canada Inc. Taiga Building Products Ltd. Telus Torstar Corporation Transat A.T. Inc. Type of Business Distributor of Wood Products Convenience Store Operator Fast Food Income Trust Gold mining operations and exploration Pharmaceutical Manufacturer Landlord of Office Properties Manufacturer & Marketer of Bakery Products Imaging Equipment & Information Systems Designer and Distributor of Lighting Systems Sporting Goods Retailer Manufacturer & Marketer of Activewear Clothing Publicly owned Power Utility in Ontario Mine Operator Pharmacy Chain Toy Manufacturer Supermarket Operator Telecommunications Hardware Store Chain Hotel REIT Dairy and Grocery products General Merchandise Retailer Distributor of Building Products Telecommunications Media Company Marketing & distribution of holiday travel Suggested International Organization Name Boise Cascade, LLC or Huttig Building Products, Inc. Magnit OJSC AFC Enterprises, Inc. or Global Brands SA Medusa Mining Ltd. Hikma Pharmaceuticals East Balkan Properties The Real Good Food Company PLC Nikon AUO JJB Sports JD Sports Fashion PLC Rushhydro OJSC Edenville Energy PLC Alliance Pharma Character Group PLC Morrison (Wm.) Supermarkets KT Corp Kingfisher PLC InterContinental Hotels Group Dairycrest Group Marks and Spencer Lecico Egypt SAE Colt Group SA Grupo Clarin SA All Leisure Group PLC