Report on Gunns Lt.
Business report on Gunns Limited
Student name: Yuanyuan Ma (Diana)
Student number: 22850
Class: BAE 5
Submission date: January 18, 2011
Table of content
Executive summary 2
Introduction 3
Evaluation of the Gunns Limited ethical issue 3
Evaluation of Gunns Limited in terms of financial analysis 5
Conclusion and recommendation 7
References 9
Executive summary
This report is prepared for the investor to consult that whether the Gunns Limited is a good company to invest in. This report is based on the ethical issue and financial study of Gunns Limited in terms of its history, specific journals and annual report of Gunns in 2011.
This report finds an ethical issue of Gunns Limited: ●Although Gunns Limited declares that their wood supply of pulp mill mainly comes from their plantation, the evidence shows that almost 70% of woods will come from the native forest, which means the pulp mill brings serious threaten to Tasmania’s environment.
Evaluation of financial analysis shows those findings: ●The investor believe that the profit and expenditure sheet is one of the most important standard to evaluate the ability of a company. ●Since 2008, the profit, revenue and capital expenditure decreased sharply. The profit even dropped to negative area in 2011. ●Current financial environment of Gunns is not positive.
This report recommends that the client should consider investment in terms of both ethical and financial aspects. Therefore, Gunns Limited is not a good choice to invest in.
Introduction
The purpose of this report is to investigate whether the Gunns Limited is a good choice for investor to invest in based on two aspect, ethical issue and financial analysis. The ethical investment, which is an approach of investing that combines social and environmental considerations with investment decisions (report on socially responsible investing trends in USA 2001, p.7). In other
Student name: Yuanyuan Ma (Diana)
Student number: 22850
Class: BAE 5
Submission date: January 18, 2011
Table of content
Executive summary 2
Introduction 3
Evaluation of the Gunns Limited ethical issue 3
Evaluation of Gunns Limited in terms of financial analysis 5
Conclusion and recommendation 7
References 9
Executive summary
This report is prepared for the investor to consult that whether the Gunns Limited is a good company to invest in. This report is based on the ethical issue and financial study of Gunns Limited in terms of its history, specific journals and annual report of Gunns in 2011.
This report finds an ethical issue of Gunns Limited: ●Although Gunns Limited declares that their wood supply of pulp mill mainly comes from their plantation, the evidence shows that almost 70% of woods will come from the native forest, which means the pulp mill brings serious threaten to Tasmania’s environment.
Evaluation of financial analysis shows those findings: ●The investor believe that the profit and expenditure sheet is one of the most important standard to evaluate the ability of a company. ●Since 2008, the profit, revenue and capital expenditure decreased sharply. The profit even dropped to negative area in 2011. ●Current financial environment of Gunns is not positive.
This report recommends that the client should consider investment in terms of both ethical and financial aspects. Therefore, Gunns Limited is not a good choice to invest in.
Introduction
The purpose of this report is to investigate whether the Gunns Limited is a good choice for investor to invest in based on two aspect, ethical issue and financial analysis. The ethical investment, which is an approach of investing that combines social and environmental considerations with investment decisions (report on socially responsible investing trends in USA 2001, p.7). In other