Stakeholder Engagement and Positive Accounting Theory

Advanced Accounting
Assignment

1
By student name
Professor
University
Date: 25 April 2018.
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Executive Summary
A report has been prepared on the concept and the theory of Stakeholder Engagement and how it
is crucial and significant especially from the perspective of the investors and the banking
institutions. A lack of integrity and initiative to fulfil the information needs of the investors can
prove to be detrimental to the interest of the businesses. The report also highlights how positive
accounting theory and how it helps in contributing towards the growth of the small businesses.
The same has been explained using one of the hypothesis called the political cost assumption.
The report also explains how the legitimacy theory helps in meeting the stakeholder engagement
and to keep them informed on the social and environmental activities performed by the company.
To highlight on the above issues, 2 research articles have been studied which are A step too far
crucifies small businesses” on the National Australian Bank and the other one being “CBA in
pay out on “toxic” products” which was published by “The Australian”
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