Accounting Framework Revision: Meeting User Needs

The assignment requires a critical review of the current accounting framework in light of the Conceptual Framework of Accounting, specifically examining whether it meets the needs of users of financial reports. The analysis should include a comparison of annual reports from two listed companies to assess compliance with conceptual framework and AASB standard requirements. Additionally, the revision of the conceptual framework to include Prudence is likely to address disparities in corporate reporting. The review should also discuss positive accounting theories and normative accounting theories, as well as inductive and deductive reasoning. The assignment will also involve showcasing graphs, pie charts, or bar graphs to illustrate findings, highlighting failures, and discussing the need for change in focus away from profit.

Topic: Does the current accounting framework meet the needs of the users of financial
reports as prescribed in the objective of the Conceptual Framework of Accounting?
How the conceptual framework revision to include Prudence is likely to address
the disparity in Corporate Reporting is a requirement in your analysis.
 It should include recent and relevant academic references (in text and other).
 It has to show weather accounting is fulfilling its purpose as an information source
for financial decision making.
 It should have consider general purpose financial statements and if this is satisfying
the needs of users such as investor, shareholders etc.
 As this is a critical review you should consider where these needs are being met and
perhaps where they are not being met – INCLUDING SUGGESTIONS FOR
IMPROVEMENT TO ACCOUNTING
• Task Details: Download the latest annual report of any two listed companies.
• Annual Reports are available on the company website or ASX website.
• Analyse the conceptual framework with reference to the annual reports of your
chosen companies in light of the reporting requirements imposed on accountants and
those charged with governance of corporations.
• Your analysis may include the following:
• Are the annual reports in compliance with the conceptual framework and AASB
standard requirements?
• You need to use extracts from the annual reports to support your analysis.
• Provide screen shots of the relevant sections from the reports in your assignment.
• If they are not in compliance, explain the reason.
• How the conceptual framework revision to include Prudence is likely to address the
disparity in
• Corporate Reporting
• You may find the explanations in the notes to the financial statements or in the
Director‟s Report.
• Compare and contrast the two annual reports, identify the differences in disclosures
of these
 It should mention about POSITIVE ACCOUNTING THEORIES AND NORMATIVE
ACCOUNTING THEORIES and INDUCTIVE AND DEDUCTIVE REASONING
 AS IT’S ALL ABOUT CONCEPTUAL FRAMEWORL, IT SHOULD MENTION SOME GRAPH ,
PIE CHART, OR BAR GRAHP

 IT SHOULD SHOWCASE AND HIGHLIGHT SOME OF THE FAILUREDS AND HOW DO WE
NEED TO CHANGE THE FOCUS AWAY FROM PROFIT.
 SHOULD WE CHANGE THE REGULATION?
 ISSUE ON OVER AND UNDERVALUATION OF ACCOUNTING.
 PROS AND CONS OF HAVING REGULATIONS
 THERE IS A NEED TO BE ON THE QUESTION AND NOT ON COMPANIES SELECTED.
COMPANIES SELECTED SHOULD REPRESENT A DEMONSTRATION ON THE CRITICAL
ANALYSIS YOU HAVE UNDERTAKEN.
The assignment should include the following parts:
(a) no more than 5% of plagiarism
(b) + or - 2000 words but quality is more preferred than the quantity
(c) Executive Summary;
(d) Table of Contents;
(e) Main contents – Introduction, analysis using suitable headings and subheadings,
Conclusions and
Recommendations, Appendices (if any);
(f) References (using Harvard – Anglia style); and/or
(g) Attachments.