Applied Business Research

This document provides a summary of the theory and progression in the field of applied business research. It discusses common themes and findings in four articles related to accounting, auditing, and corporate governance. The document also explores the managerial implications of the articles and highlights the limitations of the study. References are provided for further reading.

Running head: APPLIED BUSINESS RESEARCH
APPLIED BUSINESS RESEARCH
Name of the Student
Name of the University
Author Note

1APPLIED BUSINESS RESEARCH
Table of Contents
1. Summary of the theory and progression in the field..................................................2
2. Common themes or findings in the four articles........................................................2
3. Different themes or findings across the four articles.................................................2
4. Managerial implications of the articles......................................................................3
5. Limitations of the study and direction based on future research...............................3
References......................................................................................................................4

2APPLIED BUSINESS RESEARCH
1. Summary of the theory and progression in the field
The articles that have been chosen for analysis in the literature review are based on
the levels of contribution that are provided by accountants and auditors towards corporate
governance based activities. According to Laux and Leuz (2010), the fair value based
accounting has a major effect on the financial crisis that had taken place in the year 2008. On
the other hand, Soh and Martinov-Bennie (2011) has stated that the functions related to
internal audit are considered to be important for the effectiveness, internal audit based roles
and evaluation. The responsibilities and roles that are played by the internal audit related
functions are important factors that have been analysed in the article.
As discussed by, Adams and Simnett (2011), the activities based on integrated
reporting have provided major opportunities to the non-profit based sector of Australia.
Brown, Beekes and Verhoeven (2011), have conducted a review based on corporate
governance, finance and accounting. The article has been able to provide an effective view
based on the ways by accounting and finance related activities are able to affect the corporate
governance of modern organizations in the industry. The theories which have been provided
in the article have been able to state that accounting related activities have contributed in a
huge manner in developing effective corporate governance.
2. Common themes or findings in the four articles
The common part of the discussion made in the four articles are based on the ways by
which accounting and auditing has been able to develop the corporate governance in
organization. The fair value related accounting activities have been able to affect the
governance in organizations. However, some major allegations have been made based on the
contribution that has been made fair value related accounting. On the other hand, in the
second article, Soh and Martinov-Bennie (2011), have talked about the internal audit related
activities that are conducted by organizations. This article is also based on the governance
related activities that have been conducted with respect to effective audit. Adams and Simnett
(2011), have stated that the non-profit based sector of Australia has been affected by the
integrated reporting and accounting.
The activities based on accounting are effective for the organizations in the sector.
The relationship of corporate governance with finance and auditing has been analysed by
Brown, Beekes and Verhoeven (2011) and this is also based on the activities related to
effective operations of operations based on accounting. The main part which is related to the
analysis in four different articles are based on the ways by which accounting and auditing is
able to contribute in the development of corporate governance. The themes and theories in
the articles can thereby considered to be quite similar with each other.
3. Different themes or findings across the four articles
The findings which have been made in the article related to financial crisis are based
on the activities which had taken place in the year 2008. The arguments are related to
empirical evidence that are taken from the banks operating in the US and other countries as
well. The effect which market-to-market accounting had on the financial crisis that had taken
place in the developed countries. The issues which had taken place in the investment funds
and mortgage blocked based securities are also considered to be a major part of the analysis
(Laux & Leuz 2010, pp. 100). The second article on the other hand, is able to explain the role
which is played by internal audit. The effectiveness of the organization can be increased with
the help of proper internal auditing. This is a major theme of the article and is based on
different sectors and industries as well (Soh & Martinov-Bennie 2011, pp. 615).

3APPLIED BUSINESS RESEARCH
The transformation of modern organizations has been a major theme based on which
the analysis has been made in the article. The use of integrated reporting has been considered
to be a major theory in the article. The levels of transparency which have been maintained in
the organizations are analysed in the article with respect to decision making based activities
(Adams & Simnett 2011, pp. 295). The fourth article is based on the review which is made
with respect to finance, accounting and their effect on corporate governance. The article has
mainly focussed on issues which have taken place with respect to the auditing and
accounting. This article is also based on the future research that is to be made on the topic
and knowledge which is required based on this field. The authors of the article have tried to
present a picture based in corporate governance related activities that are performed in the
modern organizations (Brown, Beekes & Verhoeven 2011, pp. 98).
4. Managerial implications of the articles
The managerial implications that are provided by the first article are related to the
effectiveness of accounting in the global financial crisis. The managers can thereby learn the
ways by which accounting play a major role in the crisis situations which occur within the
organizations. The fair value based accounting practices can also be analysed by the
managers and implemented in organizational operations. On the other hand, the use of
internal audit in the organizational effectiveness can also provide knowledge to the managers.
The managers will be able to use the internal audit based activities in order to manage
corporate governance effectively. The regulators of the organizations will be informed about
the usage of internal audit in different areas and activities. The managers of non-profit based
organizations also need to understand the ways by which integrated in transparent reporting
can be used in order to maintain their position in the industry.
The meaningfulness of the reporting activities within the modern organizations can be
analysed by the managers in an effective manner. The review which has been made based on
corporate governance is also considered to be useful for the managers. Corporate governance
is considered to be an important part of the accounting based activities that are performed by
the organizations. The use and relationship of corporate governance with the accounting
activities is important for the managers of modern organizations. The independence of
auditors in the modern industry is also an important part of the research which has been made
in the article. The article is able to provide a vast picture based on the theories that are used
for development of corporate governance in the organizations. The ownership based structure
is able to affect the ways by which corporate governance is maintained in the organizations.
5. Limitations of the study and direction based on future research
The study in the literature review has been made with respect to the use of accounting
activities and auditing in the development of corporate governance. The analysis is based on
different sectors and work practices as well. The effect of accounting in the crisis period has
been analysed, however detailed explanation is not provided based on the limits up to which
accounting has been affected corporate governance. The effect of internal audit has been
analysed on a generalised basis and is not based on the any particular sector. Integrated
reporting has been considered to be useful for the managers, however the use of this type of
reporting in different sectors has been explained in the article in detail. The review of
corporate governance and accounting is also highly generalised in nature and not based on
any sector. This lacks the explanation of effects which corporate governance has on
organizations belonging to different sectors and industries.

4APPLIED BUSINESS RESEARCH
References
Adams, S., & Simnett, R., 2011. Integrated Reporting: An opportunity for Australia's not‐for‐
profit sector. Australian Accounting Review, 21(3), 292-301.
Brown, P., Beekes, W., & Verhoeven, P., 2011. Corporate governance, accounting and
finance: A review. Accounting & finance, 51(1), 96-172.
Laux, C. & Leuz, C., 2010. Did fair-value accounting contribute to the financial crisis?.
Journal of economic perspectives, 24(1), pp.93-118.
Soh, D. S., & Martinov-Bennie, N., 2011. The internal audit function: Perceptions of internal
audit roles, effectiveness and evaluation. Managerial Auditing Journal, 26(7), 605-622.