a) Identify at least three differences in balance sheet reporting between British and U.S. firms, as shown in Tomkins balance sheet.

b) Review Tomkins balance sheet and identify how the format of this financial statement provides useful information, as illustrated in the chapter.

Tomkins plc Consolidated Balance Sheet (amounts in millions) Non-current assets Goodwill 436.0 Other intangible assets Property, plant and equipment Investments in associates 78.0 1,122.8 20.6 Trade and other receivables 81.1 Deferred tax assets 82.9 Post-employment benefit surpluses 1.3 1,822.7 Current assets Inventories 590.8 Trade and other receivables 753.0 Income tax recoverable 49.0 Available-for-sale investments 1.2 Cash and cash equivalents 445.0 1,839.0 Assets held for sale 11.9 Total assets Current liabilities Bank overdrafts 3,673.6 4.8 Bank and other loans 11.2 Obligations under finance leases Trade and other payables 1.0 677.6 Income tax liabilities 15.2 Provisions 100.3 810.1 Non-current liabilities Bank and other loans 687.3 Obligations under finance leases Trade and other payables Post-employment benefit obligations Deferred tax liabilities 3,6 27.1 343.5 25.3 Income tax liabilities 79.5 Provisions 19.2 1,185.5 Total liabilities 1,995.6 Net assets 1,678.0 Capital and reserves Ordinary share capital Share premium account 79.6 799.2 Own shares (8.2) 921.8 Capital redemption reserve Currency translation reserve Available-for-sale reserve (93.0) (0.9) (161.9) Accumulated deficit Shareholders' equity Minority interests Total equity 1,536.6 141.4 1,678.0