Accounting Question

Earnings Release Assignment
PURPOSE
The purpose of this assignment is to review a current year earnings release (10-Q) from a
publicly traded gaming corporation(Casino). As a result of this assignment, students will be more
familiar with the jargon used on such releases, understand the overall financial
performance of a publicly traded gaming corporation, and evaluate the impact on the
associated stock price.
This assignment is intended to integrate the material learned in class. All
accounting/auditing work ultimately rolls up to the compilation of the financial reporting
package to be presented at the quarterly earnings release. This data results in operators
analyzing their financial performance and making adjustments if necessary, but also
preparing to conduct their forecast and budgets.
Submissions are expected to resemble those presented to an upper level manager in a
gaming operation and will give students an opportunity to apply written communication
skills.
TASK
Select a current year earnings release from a publicly traded gaming corporation to
review. They should be traded on the NYSE or NASDAQ as those require earnings
releases. If you choose another stock exchange company you must get approval prior to
doing the assignment by emailing the company name and the earnings release you will be
analyzing to the professor and they will give final approval (please make sure you email
enough in advance based on office hours to get approval). No prior approval, no credit.
While not required, it is suggested that you pick a company that operates in the gaming
jurisdiction that you selected in the earlier assignment. This may give you more insight
into their operations.
To find a company’s 10-Q, go to the company website and look for a page labeled
something along the lines of “Investor Relations” or “SEC Filings”. Under type of filings
select Quarterly Filings and select the most recent 10-Q.
You are required to answer the following questions in Word.
1. (20 points) How does the corporation intend to maximize the return to
shareholders?
2. (15 points) Explain “hold-normalized adjusted property EBITDA”. Why is that
used as a metric? If not used in your selection, please research and respond.
3. (15 points) How strong is the corporation’s cash flow? What does that allow the
corporation to accomplish

4.(20points)What was a major driver in the operating results? Are there any areas

with diminishing returns?
5. (10 points) Was there any impact due to the adoption of new accounting
standards? If so, please explain.
6. (20 points) How did the market interpret the reported results?