Corporate Accounting

Running head: CORPORATE ACCOUNTING
Corporate Accounting
Name of the Student:
Name of the University:
Authors Note:

CORPORATE ACCOUNTING
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Executive Summary:
The assessment directly evaluates the performance and financial position of BHP Billiton,
Rio Tinto, and Fortescue Metal Group for three fiscal years. The assessment has relatively
evaluated equity, liability, Cash flow statement, other comprehensive income statement, and
corporate income tax of the three companies. The selected companies mainly fall under the
mining industry of Australia, which helps in analysing their overall performance of the three
companies. The equity, liability, cash flow statement, comprehensive income statement and
corporate income tax of the selected companies are mainly analysed in the assessment for
detecting the level of income, which can be generated from an evaluation.

CORPORATE ACCOUNTING
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Table of Contents
Introduction:...............................................................................................................................3
Equity & Liability:.....................................................................................................................3
Answer to i)................................................................................................................................3
Answer to ii)...............................................................................................................................4
Answer to iii)..............................................................................................................................5
Cash Flow Statement:................................................................................................................5
Answer to iv)..............................................................................................................................5
Answer to v)...............................................................................................................................7
Answer to vi)..............................................................................................................................8
Other comprehensive income statement:...................................................................................9
Answer to vii).............................................................................................................................9
Answer to viii)..........................................................................................................................10
Answer to ix)............................................................................................................................11
Answer to x).............................................................................................................................11
Accounting for Corporate income tax:.....................................................................................12
Answer to xi)............................................................................................................................12
Answer to xii)...........................................................................................................................12
Answer to xiii)..........................................................................................................................13
Answer to xiv)..........................................................................................................................14
Answer to xv)...........................................................................................................................14
Answer to xvi)..........................................................................................................................15
Answer to xvii).........................................................................................................................16
Conclusion:..............................................................................................................................16
Reference and Bibliography:....................................................................................................17

CORPORATE ACCOUNTING
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Introduction:
The assessment aims in evaluating the overall financial performance of the
organisation selected for the analysis. BHP Billiton Limited, RIO Tinto Limited, and
Fortescue Metals Group is mainly selected for the assessment, which can eventually help in
evaluating different segments of the financial report. The selected companies mainly fall
under the mining industry of Australia, which helps in analysing their overall performance of
the three companies. The equity, liability, cash flow statement, comprehensive income
statement and corporate income tax of the selected companies are mainly analysed in the
assessment for detecting the level of income, which can be generated from an evaluation.
Equity & Liability:
Answer to i)
Share capital, Reserves, retained earnings, treasury shares, and non-controlling
interest are relatively listed in the equity section of the three-selected organization. The
components of the equity faction directly help in identifying the level of equity capital that is
being used by the organization. Share capital is the overall invested money of the investors,
which is traded in the security exchange. Moreover, reserves are the overall savings that has
been maintained by the organization over the period of its operations. The value of retained
earnings is relatively calculated after deducting the dividends and other expenses from the net
income. Lastly, the Non-controlling interest value is derived from the ownership position of
shareholders who has no control over the management’s decision (Kothari, Ramanna and
Skinner 2015).
Reserves, retained earnings, and non-controlling interest of BHP Billiton have fallen
from 2015 to 2017. However, Rio Tinto share capital, Reserves, and retained earnings have