Refer to the latest financial report of JB Hi‐Fi Limited on its website, www.jbhifi.com.au, and answer the following questions using the consolidated income statement and balance sheet/statement of financial position, and notes to the consolidated financial statements.

1. The JB Hi‐Fi Limited income statement shows a deduction (in brackets) for income tax expense.

Would this expense item be seen in the income statement of a partnership? Explain your answer.

2. In the statement of changes in equity regarding retained earnings, how is the total profit available appropriated? How does the allocation of the total profit available for appropriation in a partnership differ from that shown for JB Hi‐Fi Limited ? Explain the reasons for any differences.

3. Refer to the balance sheet (statement of financial position) of JB Hi‐Fi Limited and the note titled ‘issued capital’. How do these differ from that of a typical partnership? Explain.

4. JB Hi‐Fi Limited is required to produce a statement of cash flows (cash flow statement) and include this in its annual financial statements. Would the typical partnership be required to prepare such a statement? Why or why not? Would a typical partnership prepare such a statement? Explain.