Contemporary Issues in Accounting

Running head: CONTEMPORARY ISSUES IN ACCOUNTING
Contemporary Issues in Accounting
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CONTEMPORARY ISSUES IN ACCOUNTING
Executive Summary
The assessment focuses on critically analysing the reporting framework which is used by the
considered company which has its primary operations in Australia. The chosen company for this
assessment is Ausdrill Ltd which has its mining operations in Australia. The report would be
focusing on different components which are included in the financial reports which is prepared
so as to ensure that the same is consistent with the generally accepted framework of reporting.
The reporting and recognising criteria for the business would be given focus in the assessment.
The report would be ending with recommendations for the business.

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CONTEMPORARY ISSUES IN ACCOUNTING
Table of Contents
Introduction......................................................................................................................................3
Discussions......................................................................................................................................3
Objectives of Conceptual Framework.........................................................................................3
Recognition Criteria.....................................................................................................................7
Fundamental Qualitative Characteristics.....................................................................................8
Enhancing Qualitative Characteristics.........................................................................................8
Conclusion and Recommendations..................................................................................................9
Reference.......................................................................................................................................11
Introduction

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CONTEMPORARY ISSUES IN ACCOUNTING
The idea of conceptual framework relates to a guideline which needs to be followed by
every finance expert who are users or are engaged in preparation of the financial statements. The
conceptual framework was introduced so that a level of consistency can be brought about in
accounting practices around the world. The most logical application of the framework is to
prepare the financial statement in a manner which can be easily understood by the users
providing them with accurate information and the same can also be consistent with accounting
practices around the world (Cheng et al. 2014). This framework is supported by accounting
standards, principles, conventions and rules which needs to be followed by entities for
formulating the financial statements (Wang 2014).
The company which is considered for the assessment is Ausdrill Ltd which is considered
to be a important company in the mining sector operating in Australia. In a more specific
analysis, it can be said that the core activities of the company include integrated mining activities
and energy services. The operations of the company is widespread and is currently known to
have operations in 10 countries with more than 4000 employees working for the company
(Ausdrill.com.au. 2019). The company is further looking for more expansion opportunities.
Discussions
Objectives of Conceptual Framework
The objectives of Conceptual framework which can be identified from the perspective of
accounting and also business is listed below in details:
 The conceptual framework acts a guide to not only the management of the company
while preparing the financial statements but also for the users of the financial statements
so that they can understand all relevant information which is prepared in the annual
report. The conceptual framework guides companies to provide appropriate disclosures