Corporate Financial Accounting: Analysis of Myer Limited's Tax Activities

RUNNING HEAD: Corporate Financial Accounting
1
Name of the student-
Topic-Corporate Financial Accounting
University name

Corporate Financial Accounting
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Contents
Introduction................................................................................................................................3
Answer to question-1.................................................................................................................3
Answer to question-2.................................................................................................................4
Comparative analysis of the all three main flow of activities................................................4
Answer to question no-3............................................................................................................5
Answer to question no-4............................................................................................................6
Answer to question no-5............................................................................................................6
Answer to question no-6............................................................................................................6
Answer to question no-7............................................................................................................7
Answer to question no-8............................................................................................................8
Answer to question no-9..........................................................................................................10
Answer to question no-10........................................................................................................10
Answer to question no-11........................................................................................................10
References................................................................................................................................12

Corporate Financial Accounting
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Introduction
The report has been prepared to evaluate the tax amount, deferred tax amount,
financial statement, tax provisions and various other tax activities and the figures of an
Australian company, Myer limited. The economy and the industry of Australian market has
changed a lot and it explains that with the changes, it becomes important for an auditor as
well as an accountant to measure the changes and apply it while preparing and auditing the
annual report of the company.
Myer limited is a departmental store company in Australian market; the company offers
the services and the products through its 60 stores all over the Australia. The company has
launched 11 categories of clothes for woman, man and child. It has also diversified into
toiletry produces (Reuters, 2018). The company’s annual report (2017) explains that the
performance of the company has been altered due to changes into the industry and the
economical changes in the company.
Answer to question-1
Analysis of the Cash flow statement
Analysis over the cash flow statement is a crucial process as it evaluates all the factors
of the company related to the cash outflow and cash inflow of the company and it measures
that whether the recordings of all the cash activities of the company have been done by the
company in better way or not. Operating cash flows, investing cash flows and operating cash
flows of the company are main segment which explains about the different cash outflows and
inflows of the company (McKee, 2005).
The operating cash flows, investing cash flows and operating cash flows of the
company are evaluated to recognize the changes which have occurred. The cash flow
statement explains that the investments and the purchase of new assets for the business and
the operations of the company have reduced the cash flow of the company. The statement

Corporate Financial Accounting
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explains that the other investing expenses have also been increased and it has affected the
total investing cash flow of the company a huge level.
Further, the company has not repaid to the debt holders more in the year of 2017
which has lead to the project to the company to the lower cash outflow. Though, the dividend
amount has been higher by the company to manage the better position in the market (Nobes,
Parker and Parker, 2008).
The net cash flow of the company explains that the actual cash inflow of the company
has been lower from last year. The company has followed the AASB rules to prepare the cash
flow statement of the company.
CASH FLOW
(Amount in $ million)
2016-
07
2017-
07
Investments in property, plant, and
equipment -40 -88
Purchases of intangibles -12 -24
Other investing charges 3 17
Long-term debt issued
Long-term debt repayment -295 -5
Cash dividends paid -16 -49
Net change in cash -158 -164
Answer to question-2
Comparative analysis of the all three main flow of activities
The comparative analysis study on the cash flow statement explains that the cash inflow
position of the company is rapidly decreasing. The company has recorded and managed the
cash flow position in such a way that the better idea about the cash position of the company
has been identified.