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Accounting Decision Making

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Qantas Airways Limited (QAN)

Telstra Corporation Limited (TLS)

Products and Services

This company involved in transportation which Qantas is Australia biggest domestic and international airline company. The business includes operational reliability, engineering and maintenance, customer service, and subsidiary business such as Qantas Holidays, Q catering, loyalty and lounges. (Qantas 2011)

This company is involved in Telecommunication and information services industry. This includes voice, mobile, internet, and pay-tv services. This company providing more than 8.6 million Australian fixed line and 10.5 million mobile services, including 8.2 million 3G services. (Telstra 2015)

Name of Chief executive Officer

Andrew Penn

Salary/number of shares held by Chief Executive Officer

He held 394,976 , his salary

A$ 4 m per year.

Profit after Tax from 2010 Annual Report for the full financial year

A$ 4.3 billion

Lastest Dividend Paid

Dividend Per-share = A$ 0.14 on 25th August 2015

Size of the Business by total Assets

A$ 39,360 m

Number of Employees

31,931 employees refer to annual report 2014

Share Price (4 September 2015)

High A$ 5.63;

Low A$ 5.53

        

Week

Date

ASX/S&P All Ordinaries Index

(A$)

Telstra Ltd Closing Price

(A$)

1

7 August 2015

5474.80

6.29

10 August 2015

5509.20

6.33

11 August 2015

5473.20

6.31

12 August 2015

5382.10

6.24

13 August 2015

5387.90

6.11

14 August 2015

5356.50

6.08

2

17 August 2015        

5367.70

6.09

18 August 2015

5303.10

6.12

19 August 2015

5380.20

6.21

20 August 2015

5288.60

6.12

21 August 2015

5214.60

6.07

3

24 August 2015

5001.30

5.88

25 August 2015

5137.30

5.83

26 August 2015

5172.80

5.86

27 August 2015

5233.30

5.90

28 August 2015

5263.60

5.82

4

31 August 2015

5207.00

5.77

1 September 2015

5096.40

5.66

2 september  2015

5101.50

5.65

3 August 2015

5207.80

5.56

4 August 2015

5040.60

5.61

[pic 1]

[pic 2]

Based on our research, from time to time the share price of Telstra  results a decline compared to the price first time  recorded (A$ 6.29 – A$ 5.61). Although sometimes  the share price increase  during tracking period.

        

Week 1 ( 7th /08/ 2015 – 14/ 08/ 2015)

Based on this week , Telstra share price has dropped from the initial price  ( A$ 6.29-A$6.08) . In   13 / 08  there share price went down  which is after the release of  financial result for the year ending and Telstra faced 1 percent fall in the revenue (ABC , 2015)  therefore the share price which initialy fell 6.11 on the 13/08 dropped about 0.03 lesser on 14/08 . as for the All ordinaries also faced a little decline in the share price .

WEEK 2 ( 17 /08/2015 – 21/08/2015)

 Week 2 of the analysis shows a slight increase this can be cited due to Telstra latest agreement with ANL worth 2.5 billion took place this showed some intrest to share price marking a (A$ 6.21) on 19/8 (The Sidney Morning Herold , 2015 ) . Unfortunately it took a dip the very next day by A$ 0.09 diffrence the day earlier Vodafone CEO made an announcement on launching a new plan to speed up against Telstra and Optus (The Sidney Morning Herold , 2015) .

WEEK 3 ( 24/08/2015 – 28 /8/2015)

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