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Q3 facts You are a recently graduated accountant and your boss asks you to assist in producing a profit forecast for a prospectus to raise over $15 million to be issued by a client whose business name is let’s go free which is attached to a company called Letsgofree Ltd. The Prospectus funds will be used to fund the development of driverless buses. The target audience is small investors and they plan to issue 15,000,000 $1 fully paid shares.

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1.1 What are your obligations regarding the presentation of the information in the prospectus? Cite the section of CA here

1.2 Which section could make you liable and how?

1.3 Consider the risks for you of putting this profit forecast in the prospectus. This is given to you by the directors of Letsgofree Ltd

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Profit forecast Letsgofree will return dividends of 50 c per share in the first year and after that, 60 cents per share in following two years

Q4 Joe Blow used to work for Big Foundry Pty Ltd L as an officer. He always wanted to go out on his own and run his own show. He visited Germany with his boss a Director of Big Foundry and saw exciting new techniques to forge metals. He resigned the day after he got back from Germany and started his own business.

4.1 What duties has he infringed?

4.2 Explain the consequences. Get Social Science help today

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