A case study of 1300 smiles limited PDF

AN ANALYSIS OF CONCEPTUAL FRAMEWORK:
A CASE STUDY OF 1300 SMILES LIMITED

Executive Summary
Corporate reporting is one of the primary aspects of the studies of financial accounting as the
process of such reporting same is complex and critical for the success of the business. The
Conceptual Framework provides the overall guidance about the objectives behind such reporting
by the companies. The instant report makes a detailed discussion about the overview of such a
concept in the context of a real-world company, 1300 Smiles Limited. At the beginning of the
study, the general idea about the concepts and also the business has been provided. In the latter
part of the report, the researcher analyses the application of such framework and also the
compliance requirements as laid down in the framework in the light of the company's corporate
reporting process. The discussion also involves the limitation of the conceptual framework and
the significance of general purpose financial reporting. Finally, the researcher attempts to
summarise the discussion by providing recommendation and wraps up by way of a concluding
note.
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Table of Contents
1.0 Introduction................................................................................................................................4
2.0 Conceptual Framework: An Overview......................................................................................5
3.0 Organisational Overview...........................................................................................................6
4.0 Analysis of Organisational Conceptual Framework..................................................................7
4.1 Compliance Requirements for Conceptual Framework.........................................................7
4.2 Compliance and Enhancement of Qualitative Characteristics of Conceptual Framework....8
4.3 Usefulness of Financial Statements to the Users...................................................................9
4.4 Limitations of Conceptual Framework: Stakeholders’ Perspective.......................................9
4.5 Compliance of General Purpose Financial Reporting..........................................................10
5.0 Recommendation.....................................................................................................................11
6.0 Conclusion...............................................................................................................................12
References......................................................................................................................................13
Appendices....................................................................................................................................15
Appendix 1: Consolidated statement of comprehensive income...............................................15
Appendix 2: Consolidated balance sheet...................................................................................16
Appendix 3: Consolidated statement of cash flows...................................................................17
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1.0 Introduction
Accounting is also considered to be the language of the business as the same includes the
consideration of stakes of different stakeholders associated with the business. An efficient
financial reporting is the key to the corporate responsibility towards the larger stakeholders and
society as a whole (Herath, McCoy, Lucas, and Mensah, 2011). Therefore, it is quite expected
that the reporting should follow a standard and benchmark protocol for the companies. A
conceptual framework has been developed by the standard setters in order to provide a general
overview about the functionality of the standards and also the scope and objective of financial
reporting for the organisation (Fasb.org, 2018).
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