Ethical Issues in Job Automation and Regulatory Impacts on External Reporting

This report discusses the main ethical issues related to job automation and the regulatory impacts on external reporting. It also includes a discussion on norms, principles, and values related to job automation, identification of companies impacted by job automation, and stakeholder identification. The second part of the report focuses on the regulatory impacts on external reporting and includes calculations of various ratios.

Accounting and Finance
Management

Table of Contents
INTRODUCTION.................................................................................................................................3
PART 1..................................................................................................................................................3
Q1: Identification and evaluation of main ethical issues related with job automation.......................3
(b): Norms, principles and values related with job automation..........................................................4
(c): Determine two company that are impacted by job automation....................................................4
(d): Identification of stakeholder in chosen company those are impacted through automation..........5
PART 2..................................................................................................................................................6
(a): Discussion of the various regulatory impacts on external reporting............................................6
(b): Answer of questions through using consolidate financial report.................................................6
(c): Ratios calculation........................................................................................................................8

INTRODUCTION
Accounting is one of the effective tools of any business enterprises. They uses this as
primary tools to record all those financial transactions that are being done during an
accounting period of time. This project report is related with two parts, one is related with
research analysis about various impacts of job automation and norms, principles or values to
all those issues related automation. The other part of this report is providing financial report
analysis of virgin Australia group and their regulatory aspects. With the use of consolidated
financial report of the company certain questions is be resolved to determine their current
position in the market.
PART 1
Q1: Identification and evaluation of main ethical issues related with job automation
Job automation is said to be an effective technique or system of operating or
managing through highly automated means by using electronic devices, eliminating human
involvement to minimum level. Basically, it is automatic control process which is use by
Virgin Company for operating their necessary equipments such as machinery, switching on
electronic devices and aircraft or their application. There are certain aspects that are related
with virgin overall business profitability. There are certain ethical issues which are related
with the company. These can create certain implication in accordance to overall performance
of an organisation. Some of them are mentioned underneath:
 Privacy regulation: The main ethical issues found in job automation are privacy of
data. Because of minimum control the chances of hampering privacy can get affected.
 Formulating liability framework: It is necessary to design all debt related
obligations in systematic manner so that they would not make maximum impacts on
financial stability on Virgin Company.
 Safety regulations: There are certain crucial regulations which are related with safety
measures are needed to be followed in ethical manner.
 Scrutiny of machine learning: It is necessary to make proper selection of people that
are having ability to handle their valuable machine use by virgin company in their
daily business operations.

(b): Norms, principles and values related with job automation
The code of ethics in accordance with job automation is a professional incorporates
values, principles and other professional standards. Most of the people in Virgin company has
been creating effective as valuable antiquity as proper evidence through drawing specific
terms and conditions to all the staffs and members those are operating in company. The
ability of job automation is to transform vast amount of complex, indistinct data into a
particular insight which has certain potential to reveal long term aims and objectives of an
organisation. In order to determine its valuable benefits to the society, it is necessary to make
understanding to make sure that company is following the same ethical principles, moral
values and norms.
The right level of trust will be adopted through repeated experience; in the same
manner the company would always make faith in employees that they will provide better
results in order to attain their overall aims and objectives. Trust is being formulated upon
accountability. They need to explain their ethical behaviour in relation to human to
understand their inner capability towards determining overall increase in company’s
profitability. The primary reason for consisting algorithmic accountability in any job
automation is to manage the potential for removing bias in overall decision making process.
(c): Determine two company that are impacted by job automation
There are mainly company those are making their ways in the field of job automation.
This will increase overall profitability as well as their efficiency in current time. To
determine their implications. The two major companies which are increasing at faster rate
are:
Apple Company: It is has said to be one of the biggest mobile phone companies
which are able to produce electronic devices to various classes of people. This has changed
the entire scenario of telecom sectors. It has been seen wide number of impact of automation
on labour forces in their factories and warehouses. With the introduction of robots a huge
downfall is being recorded into employment and wage rate.
Advantages: with the use of automation system they are able to unite maximum
people to connect with the digital network with faster rate. They are able to keep mobile to
maintain their standard in front of other people. The standard of living has increase up to an
extent.

Disadvantages: The biggest limitation of this particular industry is that they are not
able to provide economical prices of their cell phone to people those are having low level of
income. This can only be carried by upper class people of mostly business purposes.
Virgin company: It has been found that a total of 30% of work is done electronic in
global private sector which assessed the impacts on automation in socio economic
environments. Maximum number of passenger are using online mode to book their trips and
other necessary requirements.
Advantages: The maximum benefits to customers will be provided in the form of
instant transaction and online booking facilities without going to any particular places.
Disadvantages: Chances of fraudulent activities because of hacking systems done by
unethical parties from outside. These seem to be not so secure and safe.
(d): Identification of stakeholder in chosen company those are impacted through automation
As per the above selected companies, it has been found that both of them have increase
more effectively in recent past. This drastic change has seen because of their automation
impacts. Out of those two companies, the maximum affected stakeholder is seen in Apple
Inc. This particular company get relaxed prices of notebooks for their huge amount of deal.
There are certain specific stakeholders of apple those are getting affected because of job
automations. Some of them are discuss underneath:
Suppliers: According to apple company each of their suppliers to meet its higher
standard for all products and services. They are making maximum focused on maintain
superior quality of their gadgets. The must know about the working of automation systems as
well as other aspects that are related with them.
Customers: It has been seen that a total of 166 million people as well as supporters of
connected with this particular company. The get affected because they would lose job
opportunity as they do not have that much ability to work on automated system. This will
create chances of accidents.
Investors: They are mostly related with providing valuable amount of funds in order to
establish such kind of implementation system. In order to accepted the proposal they need to
make sure that wants further growth chances it will provide to them in near future. This can
get certain impacts on their investment thinking.

PART 2
(a): Discussion of the various regulatory impacts on external reporting
All the company those are operating in Australia are needed to lodge a business activity
statement to Australian taxation office in order to make payment and report of all tax related
obligations. The ASIC is known as Australia’s corporate, financial market or regulatory
bodies which held responsible for producing more reliable outcomes for the company to
operate their business in more effective and reliable manner. The company such as Virgin has
to make use of IFRS to record their all accounting related information in their regular course
of business. This will responsible for maintain proper standard in setting power over all
specific matter related to the Australian standards.
The regulatory modification that has made for the purpose of formulating business
operations in virgin company Local government of Australia is responsible for looking after
all activities that regulation those are helpful to manage their every day financial transactions.
Companies those are listed on ASX are liable to regulate their periodic disclosure rule and
regulations so that chances of mistakes can be easily avoided. Usually, the reports are
prepared at the closing of financial year so that all necessary analysis of auditing of reports
can be done more accurately. Apart from all companies they need to keep record of financial
data to ensure that proper understanding of their operations can be done in more effective
manner.
(b): Answer of questions through using consolidate financial report
1. Accounting equation is said to be the base of double entry accounting system. This will
display all related assets are either financed through borrowing or by paying funds to
companies shareholder.
Assets= Liabilities + Shareholder equity
= 4782+1573
= 6355
2. The company which has audited the performance of Virgin Australia is “KPMG groups”.
They as audited certain matters those are related to deferred tax assets associated with
Historical tax losses. By having proper knowledge about key factors regarding airline sectors
all losses to analyse by estimating total taxable income.

3. The auditors have done specific information about remuneration services provided to that
particular airline company. In accordance with other aspects related with materially
inconsistent with financial reports are obtained in the audit.
4. The interest bearing liabilities are other non-current liabilities which are be kept by the
company. They are subsequently measured at amortised costs which are used as effective
interest method. They are being classified as current debts unless the group has an
unconditional right to defer settlement of debts after the balance date.
5. Property, plant and equipment are recorded at cost less accumulated depreciated at straight
line method of the total life of leasing.
6. The largest sources of finance is taken as Bank loan and from leasing, whereas the other
ancillary revenues are arises from non-ticketing sources such as baggage fees and on board
good and service.
7: The total number of recognise expenses for finance costs are 5171 during 2017. It has
decrease from last year which is happens to be 5278. The total changes are seen with 107
million.
8. The group had not any contingent liability or capital commitment associated with their
interest in Virgin as on 30 June 2017.
9. A total of 19% ordinary shares are being kept by virgin company. It has been increase from
2.4% during the year.
10. The total loss incurred during the time is about -185.8 million. The cash from operating
activities are generated as 273.9. The total difference is collected with 88.1. These impacts
are seen because of overall transaction done by the company during the time is relatively
different from one another.
11. The unearned revenues is consists of non-current liability portion of $1074.2million.
Revenue received in advance. Passenger revenues, loyalty program revenue, Credit vouchers
and other earnings. Yes, these are expected from the company.
12. The director reports are done to make comparison about their capabilities and duties are
discuss under this report. While director declaration report is presented to provide all
information about the company are held accurate to publish in the market.

13. The basic reason behind doing is to reduce extra losses or expenditure as well as tried to
determine the hidden drawbacks of the company. The time period covered is about April to
September.
(c): Ratios calculation