University Accounting: ACCT11059 Assignment 2 - Financial Restatement

This document presents a student's solution for an accounting assignment (ACCT11059) focused on financial statement restatement and analysis, specifically for Sonic Healthcare. The assignment includes restated statements of movements in equity, financial position, and financial performance for the years 2015-2018, providing detailed financial data such as cash and cash equivalents, receivables, inventories, payables, revenue, and expenses. The student has provided the restated financial statements and also included a bibliography of references used for the assignment. This assignment demonstrates the practical application of accounting principles and financial statement analysis.

Running head: ACCOUNTING
Accounting
Name of the Student:
Name of the University:
Author’s Note:
Course ID:

1ACCOUNTING
Table of Contents
Step 3: Restating your firm’s financial statement............................................................................2
References and Bibliography:..........................................................................................................5

2ACCOUNTING
Step 3: Restating your firm’s financial statement
Sonic Healthcare
Restated Statements of Movements in Equity
Years ended [insert balance date, e.g. 30 June]
2018 2017 2016 2015
$'000 $'000 $'000 $'000
Equity at beginning of year
39,26,130.
0
37,32,709.
0
33,25,998.
0
31,08,994.
0
Profit for period 4,85,065.0 4,42,420.0 4,66,001.0 3,54,037.0
Other comprehensive income for the
period 91,790.0 (16,693.0) (10,155.0) 1,06,115.0
Total comprehensive income 5,76,855.0 4,25,727.0 4,55,846.0 4,60,152.0
Transactions with shareholders:
Dividends paid
(3,28,476.
0)
(3,12,348.
0)
(2,88,916.
0)
(2,77,017.
0)
Shares issued 1,10,823.0 64,611.0 2,35,400.0 12,942.0
Transaction costs on shares issued net
of tax (66.0) (34.0) (131.0) 0.0
Transfers to share capita 0.0 0.0 0.0 0.0
Share-based payments 4,742.0 3,980.0 1,887.0 2,039.0
Acquisition of treasury shares (499.0) (149.0) 0.0 (100.0)
Allocation of treasury shares (41.0) 42.0 31.0 27.0
Contribution from minority interest (940.0) 21,391.0 12,206.0 23,491.0
Acquisition of minority interest 835.0 (4,154.0) (5,098.0) (109.0)
Dividends paid to minority interest (6,438.0) (5,645.0) (4,514.0) (4,421.0)
Total transaction with
shareholders
(2,20,060.
0)
(2,32,306.
0) (49,135.0)
(2,43,148.
0)
Equity at end of year
42,82,925.
0
39,26,130.
0
37,32,709.
0
33,25,998.
0
Sonic Healthcare
Restated Statements of Financial Position
as at [insert balance date, e.g. 30 June]
2018 2017 2016 2015
$'000 $'000 $'000 $'000
Current Operating Assets
Cash and cash equivalents 3,13,268.0 4,37,617.0 2,90,436.0 2,49,393.0
Receivables 7,47,355.0 7,16,589.0 7,03,909.0 6,48,716.0

3ACCOUNTING
Inventories 1,06,780.0 96,220.0 89,052.0 76,066.0
Other 64,306.0 52,017.0 53,356.0 45,527.0
Total Current Operating
Assets
12,31,709.
0
13,02,443.
0
11,36,753.
0
10,19,702.
0
Non-current Operating Assets
Receivables 23,916.0 21,257.0 21,882.0 17,710.0
Other financial assets 40,471.0 38,134.0 56,275.0 62,384.0
Property, plant and equipment
11,55,481.
0
11,01,890.
0 9,58,382.0 7,91,119.0
Intangible assets
57,22,188.
0
53,81,234.
0
51,58,984.
0
44,27,381.
0
Deferred tax assets 25,755.0 32,044.0 37,781.0 30,318.0
Other 1,414.0 1,163.0 562.0 91.0
Total Non-current Operating
Assets
69,69,225.
0
65,75,722.
0
62,33,866.
0
53,29,003.
0
Total Operating Assets (OA)
82,00,934
.0
78,78,165
.0
73,70,619
.0
63,48,705
.0
Current operating Liabilities
Payables 5,19,290.0 5,10,486.0 4,93,800.0 4,02,468.0
Current tax liabilities 1,03,196.0 56,602.0 42,013.0 11,546.0
Provisions 2,07,619.0 2,00,444.0 1,86,228.0 1,68,954.0
Other 34,006.0 24,982.0 22,515.0 3,941.0
Total 'Current operating
Liabilities 8,64,111.0 7,92,514.0 7,44,556.0 5,86,909.0
Non-current operating
Liabilities
Deferred tax liabilities 1,20,795.0 1,27,709.0 1,11,572.0 1,12,464.0
Provisions 1,14,431.0 1,11,662.0 1,27,408.0 63,576.0
Other 22,623.0 47,128.0 79,691.0 34,376.0
Total non-current operating
Liabilities 2,57,849.0 2,86,499.0 3,18,671.0 2,10,416.0
Total Operating Liabilities
(OL)
11,21,960.
0
10,79,013.
0
10,63,227.
0 7,97,325.0
Net Operating Assets (NOA)
70,78,974.
0
67,99,152.
0
63,07,392.
0
55,51,380.
0
Financial Obligations
Interest bearing liabilities 3,752.0 8,21,134.0 4,75,883.0 1,397.0
Interest bearing liabilities
27,92,297.
0
20,51,888.
0
20,98,800.
0
22,23,985.
0
Total Financial Obligations
(FO)
27,96,049.
0
28,73,022.
0
25,74,683.
0
22,25,382.
0
Equity
Parent Company interest
Contributed equity
30,05,875.
0
28,85,615.
0
28,02,491.
0
25,61,817.
0
Reserves 27,889.0 (53,020.0) (11,223.0) (13,634.0)
Retained earnings
11,43,643.
0 9,96,791.0 8,71,612.0 7,25,945.0
Total Parent Company interest 41,77,407. 38,29,386. 36,62,880. 32,74,128.

4ACCOUNTING
0 0 0 0
Minority interests 1,05,518.0 96,744.0 69,829.0 51,870.0
Total equity
42,82,925.
0
39,26,130.
0
37,32,709.
0
33,25,998.
0
Total NFO + Equity
70,78,974.
0
67,99,152.
0
63,07,392.
0
55,51,380.
0
Sonic Healthcare
Restated Statements of Financial Performance
Years ended [insert balance date, e.g. 30 June]
2018 2017 2016 2015
$'000 $'000 $'000 $'000
Revenue from operations
55,41,371.
0
51,22,143.
0
50,52,486.
0
42,00,525.
0
Total operating revenue
55,41,371.
0
51,22,143.
0
50,52,486.
0
42,00,525.
0
Labour and related costs
(25,43,798
.0)
(23,59,294
.0)
(23,04,796
.0)
(19,51,456
.0)
Consumables used
(9,18,211.
0)
(8,23,008.
0)
(8,11,666.
0)
(6,50,956.
0)
Operating lease rental expense
(3,34,451.
0)
(3,23,061.
0)
(3,14,327.
0)
(2,60,455.
0)
Depreciation and amortisation of
physical assets
(1,91,809.
0)
(1,72,447.
0)
(1,65,224.
0)
(1,35,971.
0)
Repairs and maintenance
(1,51,661.
0)
(1,37,321.
0)
(1,29,668.
0)
(1,11,785.
0)
Transportation
(1,37,808.
0)
(1,25,867.
0)
(1,23,532.
0) (99,630.0)
Utilities
(1,26,509.
0)
(1,13,007.
0)
(1,14,353.
0)
(1,01,353.
0)
Amortisation of intangibles (64,229.0) (55,126.0) (54,528.0) (43,231.0)
Other expenses from ordinary
activities
(3,77,470.
0)
(3,69,133.
0)
(3,69,610.
0)
(3,26,445.
0)
Operating profit before income tax 6,95,425.0 6,43,879.0 6,64,782.0 5,19,243.0
Borrowing costs expense (78,444.0) (68,136.0) (67,137.0) (55,928.0)
Net financial expenses before tax 6,16,981.0 5,75,743.0 5,97,645.0 4,63,315.0
Income tax expense (1,31,916.0) (1,33,323.0) (1,31,644.0) (1,09,278.0)
Comprehensive net profit after tax (CI) 4,85,065.0 4,42,420.0 4,66,001.0 3,54,037.0
Net (profit) attributable to minority
interests (9,459.0) (14,647.0) (14,627.0) (6,339.0)
Net Profit 4,75,606.0 4,27,773.0 4,51,374.0 3,47,698.0

5ACCOUNTING
Bibliography:
Gomulya, D., & Boeker, W. (2014). How firms respond to financial restatement: CEO
successors and external reactions. Academy of Management Journal, 57(6), 1759-1785.