Social Accountability of a General Purpose Financial Reports (GPFR) - Commonwealth Bank Annual Reports Case

COMMONWEALTH BANK ANNUAL REPORTS CASE 1
SOCIAL ACCOUNTABILITY OF A GENERAL PURPOSE FINANCIAL REPORTS (GPFR).
NAME OF STUDENT:
NAME OF INSTITUTION:

COMMONWEALTH BANK ANNUAL REPORTS CASE 2
Abstract.
In social accountability concept, the applicability of the accounting standards and its usage buy
listed entities. The disclosure requirement and importance to the entity and related disclosures.
All listed entities are required by international financial reporting standards to disclose and
prepare financial statements periodically. The financial statements of an entity for a complete
financial report must comprise the main four components that are balance sheet, income
statements, statements of cash flows and statements of retained earnings to be deemed complete.
The Australian accounting standards board (AASBs) further improves to a high level the
measurements of uncertainty in the information provided by setting common guidelines to be
followed when preparing the financial reports. The quality of information presented in an annual
reports influences the stakeholders’ decisions to mitigate more information or invest in the entity.
The disclosure of accurate, timely and comprehensive information determines the success of a
listed entity in the market.

COMMONWEALTH BANK ANNUAL REPORTS CASE 3
COMMONWEALTH ANALYSIS REPORT
Introduction.
According to Wahlen, Jones and Pagach (2012), the main purpose of financial reporting of an
entity whether listed or not is to provide relevant financial information. The information
provided must be relevant and true for the usefulness to potential investors, lenders, creditors,
and other existing investors. Such parties rely on this information in decision making. The
financial statements of an entity for a complete financial report must comprise the main four
components that are balance sheet, income statements, statements of cash flows and statements
of retained earnings to be deemed complete. Ideally, the information in a listed firm should meet
the minimum aspects of the conceptual frameworks in full disclosure to the performance of such
entity. The management stewardship of the entity’s resources is assessed by the standards of
such information presented in the financial reports. The Australian accounting standards board
(AASBs) further improves to a high level the measurements of uncertainty in the information
provided by setting a common guidelines to be followed when preparing the financial reports. In
line with the AASBs policy of incorporating the importance of prudence and recognition, the
information provided should be incorporate decision making in financial position perspectives
(Henderson ‘et al” 2015).
In our social accountability in the AASB conceptual framework, we are going to simply analyze
Commonwealth Bank, a listed entity in the ASX and the top in the list of financial companies.
Commonwealth bank is in the business of retail and institution banking in Australia has managed
to be among the top twenty listed companies due to its excellent performance and financial
reporting (Andreaus, Costa and Parker, 2014).