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Accounting for Business Decision Making

   

Added on  2023-01-11

12 Pages2804 Words90 Views
Running head: ACCOUNTING FOR BUSINESS DECISION MAKING
Accounting for business decision making
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1ACCOUNTING FOR BUSINESS DECISION MAKING
Table of Contents
Part 1: Background of the company................................................................................................2
Part 2: Industry and competitive position........................................................................................2
Part 3: Financial statement analysis.................................................................................................4
Reference.........................................................................................................................................9

2ACCOUNTING FOR BUSINESS DECISION MAKING
Part 1: Background of the company
M K Land Holdings Berhad, the investment holding entity, is engaged in development
and investment of properties in Malaysia. The entity operates through 4 segments – leisure,
property development and education and investment holdings, develops the commercial as well
as residential properties and is engaged in operating hotels, resorts, water theme park and golf
courses. It further provides the educational services (Mkland.com.my 2019). The entity is based
in Petaling Jaya, Malaysia. It is one of largest capitalized property entities with 9 private entities
those are owned by the founder. Vision of the company is to become reliable organization that
will be able to deliver the quality products as well as services in timely manner and within the
cost. Further, the entity’s mission is striving towards excellence in context of providing the
quality product and the services through the teamwork for betterment of organization, nation,
society – based on the conscience, self-awareness, imaginations and independent will and shall
always be guided through correct value and principles (Mkland.com.my 2019).
On the other hand, Karambunai Corp Bhd, the investment holding entity is engaged in
tourism and leisure, construction and property development. It manages and operates the resort
hotel, golf and country club and also offers tour and travel agency services, develops, sells the
properties as well as undertakes the project and construction projects. If further delivers money
lending, management, venture capital and horticulture related services. The entity incorporated in
the year 1965 and is based in Petaling Jaya, Malaysia (Karambunaicorp.com 2019)

3ACCOUNTING FOR BUSINESS DECISION MAKING
Part 2: Industry and competitive position
In this study, the Porter’s five forces will be used for carrying out the competitiveness of
the business environment and recognizing the strategy used for the potential profitability of the
entities. Porter’s five forces is the competitive position analysis that was developed in the year
1979. It is considered as the simple framework that can be used for evaluating and assessing
competitive strength and position of business organization.
Forces M K Land Holding Karambunai Corp
Competitiv
e rivalry
Reputation
The entity built its reputation through
development of affordable housing. It
is said that the entity is planning for
building 500 affordable housing units
in the location of Perak this year. It is
also planning for resuming the
development at 3000 acre mixed
development project (Mkland.com.my
2019).
Financial highlight
Net revenue – 181,878
EBT – 44,053
Net profit – 24,499
Total asset – 1563,984
Shareholder’s fund – 1199,450
Basis EPS 2.0 cents
(Mkland.com.my 2019).
Products and services
It provides various services including
leisure, property development, and
education and investment holdings,
develops the commercial as well as
residential properties and is engaged in
operating hotels, resorts, water theme
park and golf courses. It further
provides the educational services
(Mkland.com.my 2019).
Reputation
Tourism industry in Cambodia
accounted for 12% of the GDP previous
year and Karambunai Corp claimed 25%
of it. They try to build the monuments
and build the jobs as well as contribute
to the socioeconomic development of
the country. Further, with the rising
trend of the tourists, the entity is
booming (Karambunaicorp.com 2019)
Financial highlight
Net revenue – 79409701
EBT – 31,593,232
Net profit – 23,360,587
Total asset – 1396,099,819
Shareholder’s fund
873,413,135
Basis EPS 0.78 cents
(Karambunaicorp.com 2019)
Products and services
It manages and operates the resort hotel,
golf and country club and also offers
tour and travel agency services,
develops, sells the properties as well as
undertakes the project and construction
projects. If further delivers money
lending, management, venture capital
and horticulture related services

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