Part B:
Study the financial statements of various companies listed on the Muscat Securities Market and select four listed companies. Two companies must be from the industrial sector and other two could be from the financial sector or from the services sector. However, each company must be from a different sub sector e.g. In the industrial sector, if you choose one construction company then your second company cannot be another construction company but could be a food or textile business. For your chosen companies, study the notes to Accounts and specifically the schedule of noncurrent assets. Analyse and comment on the following
- Appropriateness of method of depreciation chosen.
- Rates at which depreciation is charged for various classes of assets along with calculations for estimated useful life.
- Brief discussion on the model chosen for NCA i.e. Cost or revaluation
- Analyse the schedule of noncurrent assets and discuss in detail aspects such as the different classes of assets, their original cost, disposals, and additions as well as current and accumulated depreciation and net book value of various classes of assets.
- Comment on the nature of Noncurrent assets of the companies from different subsectors and the proportion of noncurrent assets to the total assets of the organisation with a supporting rationale.
The above discussions should be supported with relevant academic literature.
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