Corporate Accounting Report on Telstra and TPG Telecom Limited

Running Head: Corporate Accounting
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Project Report: Corporate Accounting

Corporate Accounting
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Excecutive sumamry
The corporate accounting report has been done on Telstra Company and TPG telecom
Limited. In this report, the final financial statement of the companies along with their
financial notes in the annual report has been studied in order to identify their recording
system and the reasons behind adding those items in that particular statement. On the basis of
the report evaluation, it has been found that the Telstra limited and TPG telecom limited are
following the same rules and AASBs to record and present the performance of the business.

Corporate Accounting
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Contents
Introduction.......................................................................................................................4
Company brief..................................................................................................................4
Owner’s equity..................................................................................................................4
a. List of equity items...............................................................................................5
b. Comparative analysis...........................................................................................6
Cash flow statement..........................................................................................................6
c. List of cash flow items.........................................................................................6
d. Comparative analysis of broad categories............................................................9
e. Companies comparative analysis.......................................................................10
Comprehensive income statement..................................................................................10
f. List of comprehensive income statement...........................................................10
g. Reasons for comprehensive income statement..................................................11
h. Comparative analysis.........................................................................................12
i. Manager’s performance.....................................................................................12
Accounting for corporate income taxes..........................................................................12
j. Tax expenses......................................................................................................12
k. Effective tax rate................................................................................................13
l. Deferred tax assets and liabilities.......................................................................13
m. Changes in deferred tax amount.........................................................................14
n. Cash tax amount.................................................................................................14
o. Cash tax rate.......................................................................................................14
p. Differences in cash and book tax rate................................................................15
Conclusion......................................................................................................................15

Corporate Accounting
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References.......................................................................................................................17
Introduction:
The financial statement represents the overall position of a business in terms of
figures. It becomes essential for the managers, investors, suppliers, creditors and the analyst
of the company to identify and evaluate all the accounting and financial figures of the
business to measure the performance. However, a business’s figures could be evaluated and
compared with the other firms in the same industries, if the same recording and presentation
method has been followed by the company (Lambert, 2008). In order to maintain the
similarity and transparency in the business, global financial reporting process, accounting
standards and policies have been offered by the Australian accounting body so that the
investors decisions could not be manipulated and they could found a better base to compare
the different positions of the organization in the industry to make decision. The rpeort focuses
on the Telstra Company and TPG telecom Limited.
Company brief:
Telstra limited:
Telstra limited is Telecommunication Company in the Australian market which
mainly operates and builds the telecommunication network, mobile internet access, market
voice, pay television and various other product and services in the Australian market. It is the
largest Australian telecommunication company. It is operating its business through around
150 subsidiaries of the company (Home, 2018). According to the annual report (2017) 32000
employees are working with the company in order to achieve the common goal of the
business.
TPG telecom limited:
TPG telecom limited is Telecommunication Company in the Australian market which
specializes in offering the consumer and business internet services in the Australian market. It
also offers the mobile services. It is the second largest Australian telecommunication
company. It is operating its business through around various subsidiaries of the company
such as Adam internet, AAPT limited, iiNet, TransACT etc. (Home, 2018). According to the
annual report (2017) 5083 employees are working with the company in order to achieve the
common goal of the business.