This study analyzes AGL Energy Ltd's annual report for 2017-18 based on accounting standards AASB 16 and AASB 117. It discusses the significant accounting policies, principles, and activities involved in preparing the financial statement. The study also examines the impact of the accounting standard on the company's lease transactions and the disclosure made by the company. The study concludes with the importance of following accounting policies and principles for maintaining transparency and enhancing the financial performance of the company.