case study
Accounting Disclosure Analysis on Horizon Oil Ltd
Exclusive Summary
This report aims to examine whether Horizon Oil Limited (HZN) satisfies various disclosure requirements of the Corporations Act 2001 and Australian Accounting
Standards by analyzing HZN’s annual report for the year ended 31 June 2013. This annual financial report covers the consolidated financial statements for the group, consisting of Horizon Oil Limited and its subsidiaries.
First, a brief introduction is given. It includes an overview of HZN and the relevant accounting standards. Second, a detailed review is made about the directors’ report.
The illustrationof the development and future perspective of the Group, the dividend and distributions to shareholder and the corporate government forms this part. Third, financial report will be analysed in depth. After the main disclosure issues in financial report are discussed, focusing on provision, lease liability and income tax, a financial ratio analysis is given separately to emphasize the significant information to investors.
Finally, a plain and simple conclusion and some recommendations will be made.
The disclosures will provide information to investors. This report performs the analysis from the perspective of users, mainly investors, and specifies how the disclosed information is useful for them and increases their awareness of sensitivity of financial statements. The process of decision-making in capital market is influenced by a multitude of factors, task and dimensional complexity, time pressures, decision environment, and utility measures. Accessing to the accurate disclosure of companies will be the first step where investors can make their decision and earn potential profit.
BUSN
7050
Accounting Disclosure Analysis on Horizon Oil Ltd
Table of Contents
TABLE OF CONTENTS........................................................................................................................ 2
1
Exclusive Summary
This report aims to examine whether Horizon Oil Limited (HZN) satisfies various disclosure requirements of the Corporations Act 2001 and Australian Accounting
Standards by analyzing HZN’s annual report for the year ended 31 June 2013. This annual financial report covers the consolidated financial statements for the group, consisting of Horizon Oil Limited and its subsidiaries.
First, a brief introduction is given. It includes an overview of HZN and the relevant accounting standards. Second, a detailed review is made about the directors’ report.
The illustrationof the development and future perspective of the Group, the dividend and distributions to shareholder and the corporate government forms this part. Third, financial report will be analysed in depth. After the main disclosure issues in financial report are discussed, focusing on provision, lease liability and income tax, a financial ratio analysis is given separately to emphasize the significant information to investors.
Finally, a plain and simple conclusion and some recommendations will be made.
The disclosures will provide information to investors. This report performs the analysis from the perspective of users, mainly investors, and specifies how the disclosed information is useful for them and increases their awareness of sensitivity of financial statements. The process of decision-making in capital market is influenced by a multitude of factors, task and dimensional complexity, time pressures, decision environment, and utility measures. Accessing to the accurate disclosure of companies will be the first step where investors can make their decision and earn potential profit.
BUSN
7050
Accounting Disclosure Analysis on Horizon Oil Ltd
Table of Contents
TABLE OF CONTENTS........................................................................................................................ 2
1