Corporate Accounting Report 2022

Running Head: Accounts
0
Amcor Limited and Alumina Limited
Corporate accounting
9/23/2019

Accounts
1
Abstract
The report is based on the study of the financial statements
so that the terms which are used in the equities and the
liabilities can be ascertained. In this report sources of funds
used by both, the companies are explained which are equity
shares and retained earnings. The companies have raised
funds from these sources. In this report, it is evaluated that a
small proprietary company is the one who has the less than
the $25 million gross operating revenue for the consolidated
monetary year and the large company has more than the
$50 million (Kaya and Koch, 2015)

Accounts
2
Contents
Introduction........................................................................................................................3
Part A.................................................................................................................................3
Items recorded in the owner’s equity section.................................................................3
The movements of the items recorded in the owner’s
equity section..................................................................................................................4
Items recorded under the liability section.......................................................................4
The movements of the items recorded in the liability
section............................................................................................................................5
The relative advantages or disadvantages of each sources
of fund.............................................................................................................................7
Part B.................................................................................................................................8
The concepts of small proprietary company, large
proprietary company and reporting entity and their
implications.....................................................................................................................8
Conclusion.........................................................................................................................9
References.......................................................................................................................10

Accounts
3
Introduction
The report is made in regards to the corporate and the
financial accounting in the company Amcor limited and
Alumina Limited. The financial accounting of this two
companies will be studied for the last three years so that the
understanding in terms of the equity and liabilities in the
company can be developed (Demyanyk, et al., 2017). The
purpose of this assignment is to understand how to
companies raise their funds from different sources. The
movement in the funds which have risen will also be
identified in this report. The advantages and disadvantage of
each source of the fund will be elaborated so that
importance of these funds can be analyzed in the company.
The other part of this assignment will elaborate the concept if
the large proprietary, small proprietary and reporting entity
and their compliance requirements in the company.
Part A
Items recorded in the owner’s equity section
Amcor limited: The items recorded in the owner’s equity
section of the Amcor Limited are reserves, contributed equity
and retained earnings. Contributed equity can be defined as
the paid-up capital for the company. It is the amount of cash
given by the shareholders of the company in exchange for
the stock of the company (Amcor Limited, 2017). For taking
the ownership stake in the company, the amount is paid by
the shareholders is the contributed equity. The reserves are
the unrestricted cash of the company which has been kept
for the purpose of future use. This is the profits only which is
used by the company in the sense of the provision. Retained
earnings are the accumulated net earnings of the company
which is generally retained at the expiration of the reporting
year.