Advanced Financial Accounting

Running head: ADVANCED FINANCIAL ACCOUNTING
Advanced Financial Accounting
Name of the Student
Name of the University
Author’s Note

ADVANCED FINANCIAL ACCOUNTING1
Table of Contents
Question 1..................................................................................................................................2
Question 2..................................................................................................................................2
Question 3..................................................................................................................................4
References..................................................................................................................................6

ADVANCED FINANCIAL ACCOUNTING2
Question 1
One of the major users of financial reports of VicSuper is the Shareholders.
Shareholders of every company require certain information on the company’s performance
on both the financial and non-financial areas. Shareholders are considered as the half-owners
of the companies and this creates the need for them to acquire information on both the
financial performance and position of the companies in order to make decision on whether
the sell the shares or to retain them. The financial information needed by them is the financial
information from the income statement and balance sheet along with other financial
information. In addition, they need information on the non-financial performance of the
companies (De Villiers, Unerman and Rinaldi 2014).
The 2018 Annual Report of VicSuper has a section named “MANAGING OUR
FINANCE” and this section includes the financial information for assessing the financial
performance and position of the company for the last two years such as total assets, total
liabilities, total revenue, profit and other financial information (vicsuper.com.au 2019). In
addition, the section named “OUR APPROACH’ includes information on the performance of
non-financial aspects of VicSuper like supporting employees, commitment to responsible
investing, addressing climate change issue, role in the community and others. This indicates
towards the crucial aspect that the 2018 Annual Report of Integrated Report of VicSuper
provides both the financial and non-financial information on the performance of the company
to the shareholders (vicsuper.com.au 2019). This makes integrated reporting a better platform
for corporate disclosure for the users of financial statements.
Question 2
Institutional theory has a relation with integrated reporting as the components of this
theory are important to defend the adoption of integrated reporting by the corporations.