BP 2006 Annual Report Download - page 197

BP Annual Report and Accounts 2006 195
55 Summarized financial information on jointly controlled entities and associates
A summarized statement of income and assets and liabilities based on latest information available, with respect to the group’s equity-accounted jointly
controlled entities and associates, is set out below. These figures represent 100% of the income statements and balance sheets of the
equity-accounted entities, not BP’s ownership interest.
$ million
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2006 2005 2004
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Sales and other operating revenues 77,464 61,698 38,842
Gross profit 17,745 14,451 9,063
Profit for the year 9,113 8,043 5,466
$ million
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At 31 December 2006 2005
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Non-current assets 58,086 52,401
Current assets 24,153 19,808
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82,239 72,209
Current liabilities (17,804) (15,403)
Non-current liabilities (23,973) (20,328)
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Net assets 40,462 36,478
56 Valuation and qualifying accounts
$ million
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Additions
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Balance at
1January
Charged to
costs and
expenses
Charged to
other
accountsaDeductions
Balance at
31 December
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2006
Fixed assets – Investmentsb172 26 (3) (44) 151
Doubtful debtsb374 158 32 (143) 421
2005
Fixed assets – Investmentsb168 18 (13) (1) 172
Doubtful debtsb526 67 (30) (189) 374
2004
Fixed assets – Investmentsb209 12 4 (57) 168
Doubtful debtsb441 254 6 (175) 526
aPrincipally currency transactions.
bDeducted in the balance sheet from the assets to which they apply.
57 Computation of ratio of earnings to fixed charges
$ million, except ratios
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For the year ended 31 December 2006 2005 2004
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Profit before taxation 34,642 31,921 24,966
Group’s share of income in excess of dividends from equity-accounted entities –(710) (81)
Capitalized interest, net of amortization (341) (193) (133)
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34,301 31,018 24,752
Fixed charges
Interest expense 718 559 440
Rental expense representative of interest 946 605 619
Capitalized interest 478 351 204
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2,142 1,515 1,263
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Total adjusted earnings available for payment of fixed charges 36,443 32,533 26,015
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Ratio of earnings to fixed charges 17.0 21.5 20.6
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Fixed charges, as adjusted to accord with US GAAP 2,142 1,525 1,263
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Total adjusted earnings available for payment of fixed charges, after taking account of adjustments to profit before
taxation to accord with US GAAP 34,856 30,550 23,905
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Ratio of earnings to fixed charges with adjustments to accord with US GAAP 16.3 20.0 18.9