GSM5400 (Set 2)

INDIVIDUAL ASSIGNMENT (10%)

Write a short essay (i.e. between 300 to 400 words, double-spacing using Times New Roman
font size 12) on:

The importance of managing liquidity for a company

Your essay MUST be original. It must reflect a thorough analysis on the topic. Your arguments
must be supported by empirical findings as documented in academic journals and/or business
periodicals. If necessary, personal interviews with appropriate individuals or companies may
provide relevant information. All references must be listed in a separate page. Evidence of
plagiarism will be dealt with serious consequences.

Deadline: Week 6

GROUP ASSIGNMENT (20%)

In a group of minimum 3 and maximum 4 students, choose 2 public companies that are listed on
Bursa Malaysia. Find their annual reports (for 3 consecutive years) and the daily stock prices (for
the years 2015 and 2016) from the internet.

Using the financial statements of the company, calculate the appropriate ratios for three
consecutive years. Analyze the ratios and comment on the performance of the company during
those periods.

Find the daily prices of the companies stocks for the 2 years. Plot a graph to show the
movement of the stock prices during this period. Split the data into two parts 2015 and 2016.
Using the spreadsheet, calculate the daily returns to determine the average return and the
standard deviation for the periods for each company. Determine the coefficient of variation for
the stocks for each period. Compare and contrast your findings for the 2 companies. Explain
your findings in terms of the stocks return and risk.

Deadline: Week 12