Corporate Accounting- Financial Statement Analysis of Baby Bunting Group Ltd: 2015 to 2017

Corporate Accounting- Financial Statement Analysis of Baby Bunting Group Ltd: 2015 to 2017
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Executive Summary
This report will emphasize on an Australian corporate about their audited financial statement.
The comparison will be done on different types of reports for last three years to understand the
financial condition of the company. The area of concentration will be on cash flow statement,
other comprehensive income statement and income tax accounting of the company. A critical
analysis will feature different aspects of those reports for the considered three years.
Key words- cash flow, Corporate Income tax, comprehensive income statement
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Table of Contents
Introduction.................................................................................................................................................4
Cash Flow statement analysis......................................................................................................................5
Comparative analysis of broad categories cash flow...............................................................................7
Other comprehensive income statement....................................................................................................8
Accounting for corporate income tax........................................................................................................12
Reasons behind differences of income tax payment.............................................................................13
Deferred tax..........................................................................................................................................13
Current Tax liability................................................................................................................................16
Income tax – payment shown in cash flow and expense booked in income statement........................17
Overall observation about tax treatment..............................................................................................18
References:................................................................................................................................................19
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Introduction
The subject of this report will be critical analysis of different financial statements of any
Australian company with ASX listing. For this purpose, the chosen company is Baby Bunting
Group Ltd of Victoria. The company is enlisted in ASX in 2015 with its ASX code BBN and
GICS Industry Group – retailing. (ASX, 2018) This report will emphasize on comparison of
audited financial report of the company for three years from 2015 to 2017. Main areas of
concentration will be cash flow statement, other comprehensive income statement and
accounting of corporate income tax with critical analysis of its different heads to highlight
significant changes for last three years in those domains. (Bunting, 2016) Cash flow statement
will be analyzed with the identification of the reason for such changes. Moreover, a comparative
analysis of cash flow statement with its broad category headings like operating activities,
investing activities and financing activities will be done with proper evaluation for the specified
period. Other comprehensive income statement will be analyzed in respect of its components
with their nature and the reason behind those components not being featured in income
statement. For corporate income tax, an analysis of tax expense of the company for considered
three years as per financial statement with its similarity as per corporate tax rate, discussion on
deferred tax treatment as per balance sheet, the amount of tax paid and the amount showed in
different financial statements along with other critical aspects of income tax accounting of the
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