Answer all questions.

Question 1

Attached are financial reports for Cochlear Limited – an Australian public company that manufactures and sells hearing implants for 2019, 2018 and 2017.

You are financial analyst working for Da Gama Partners, a leading financial analyst firm. Write a report for the firm in relation to the profitability and liquidity / financial stability of Cochlear Limited over the financial years 2017 to 2019, inclusive.

Part A

You are required to include in your analysis at least 6 financial ratios from the Formula Sheet as well as additional research that you may wish to perform. Please use the Formula Sheet and show your workings for all ratios used.

Part B

Companies often state that they have a social and environmental responsibility to the communities where they operate. Unfortunately, these companies don’t always live up to these responsibilities.

Using Cochlear Limited, discuss these statements and provide examples.

Cochlear-2018-AnnualReport

Cochlear-2019-AnnualReport

Formula-Sheet