The objective of this task is to gain experience critically interpreting accountinginformation in order to make judgements.This assignment aims to allow you to demonstrate that you can (i) identify...

The objective of this task is to gain experience critically interpreting accountinginformation in order to make judgements.This assignment aims to allow you to demonstrate that you can (i) identify limitations ofaccounting information and (ii) consider them when making a judgement about an aspect ofcompany performance.You will be assigned a pair of Australian listed companies to use as the case for this assignment.Your pair of companies, who operate within the same sector, will be notified to you via email1,600 words (not including data presented in tables or attachments).
a) Compare and contrast how the two companies generate shareholder wealth.b) Using ROA data from the Morningstar reports as a measure of how well a companyuses resources to generate wealth, evaluate and compare the two companies’ ROAperformances;c) Discuss the limitations of the accounting information used in (b). Do this by applyingthe discussion in the Appendix of this Guide;d) Discuss how your opinion in (b) is altered by the limitations you identified in (c).