ACC3005 Accounting Research Project: Sustainability and Ethical Issues

This research report, prepared for the ACC3005 course, critically analyzes accounting issues faced by five ASX-listed companies, focusing on their sustainability, ethical governance, and regulatory compliance. The report investigates the application of accounting principles, corporate social responsibility (CSR), and ethical considerations within these companies. It evaluates regulatory frameworks, sustainability practices, and ethical issues, while also identifying and analyzing the methodology used in qualitative research. The report explores contemporary research, including the AA1000 standard and its application. The report examines the annual reports of the selected companies, including Dacian Gold Limited, Dampier Gold Limited, Dark Horse Limited, Devine Limited, and Dexus Property Limited, to assess their accounting practices and social responsibility initiatives. The report also includes a comprehensive literature review and identifies key theoretical frameworks relevant to the study of accounting and sustainability.

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Name:
Course
Professor’s name
University name
City, State
Date of submission

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Table of Contents
Introduction..............................................................................................................................3
Evaluate Regulatory, sustainability and ethical issue related to the topic.........................4
Appropriate methodology aligned with research objective and question..........................5
Analysis of the 5 ASX listed companies’ annual report for accounting issues...................6
Identified theory and suitable commentary...........................................................................7
Literature review with critical analysis of contemporary research....................................8
Conclusion.................................................................................................................................9
References...............................................................................................................................10

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Abstract
This research report focuses on accounting issues faced by 5 ASX listed companies.
Its aim is to analyze critically the technical and theoretical aspects of accounting knowledge.
The research also analyzes the regulatory and sustainability issues such as social corporate
responsibility (CSR) relevant to the companies including their ethical and social concerns. It
will also evaluate the contemporary research issues in the associated with the accounting
principles used. The identification of the methodologies used in qualitative research and the
interpretation of data present for use in this research is also important.
Introduction
The Australian Security Exchange (ASX) has very many companies listed.
Accounting information is used mainly for to determine the health of the company that is
needed to list. The data and information used in the five companies are prepared by the
appointed managers and audited by trusted and reputable accounting firm (Belal, 2016). The
research conducted is based on the importance of corporate social responsibility and ethical
issues associated with their accounting information and procedures. The accounting
information in this research used both theoretical and empirical data in the accounting
practices used by the five listed companies. The list of the companies are:
Name of the company Share price in ASX. (A$)
Dacian gold limited ASX: DCN 1.46
Dampier gold limited- ASX: DAU O.O2
Dark horse limited- ASX: DHR 0.004
Devine limited- ASX-DVN 0.15

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Dexus property limited- ASX:
DXS
12.52
Evaluate Regulatory, sustainability and ethical issue related to the topic
Sustainable and ethical governance is a term that is used widely in different contexts. The
conventional corporate ethical sustainability relies on ideologies of intergrating socio-
ecological ideals as critical factors in private and public institutions. It is ethical to use part of
the companies profits to help the welfare of the society and improve their lives. This is
fundamental in intergrating the values of the society to the companies affairs. In the modern
economy, the growth of the positive reputation of any company, and even more so of the
corporation, among critical target audiences, often turns out to be more important than the
growth of current financial results, because investors, making a decision on the purchase of
securities, evaluate the whole range of their risks, and not just the economic part. Corporate
social responsibility of business arose in Australia suddenly, where this category is
interpreted by companies in their own way. As a rule, these interpretations include the tactics
and strategy of companies in the public sphere in their relations with investors, consumers,
partners, and suppliers. The concept of “social responsibility” has become a fairly powerful
image component of any information-open company. As a rule, the wording of business
social responsibility demonstrates how a company can improve, and the concept of “social
reporting”, in turn, is the most vivid expression of how a company can really become better
in order to solve problems of socio-economic development (Hoque, 2018).
It must be agreed that today, companies from the moment of creation should carry out
their activities taking into account the need for social reporting in the future. Moreover, it is

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important for companies that work with foreign investors to take into account the existence of
social reporting practices abroad.
Appropriate methodology aligned with research objective and question
Empirical and theoretical data is used on the research in accounting information and
corporate social responsibility. Using the analysis methods, comparisons, groupings and
synthesis, the research paper looks at the systematization and overview in various scientific
points regarding the corporate social responsibility in accounting science. The review of
scientific research in modern science is present in development of financial and non-financial
reports. The preparation of a social report requires an understanding of the strategic directions
of work in this area, which are directly influenced by the characteristics of the business, its
impact on society, the territorial location
One of the effective tools for managing social responsibility in the new conditions of
corporate development is corporate social reporting, which should be a public tool to inform
all interested parties about how and at what pace the corporation is implementing its strategy
in relation to economic sustainability, social welfare and environmental stability. As a rule, in
the commercial and economic relations of the corporation with partners, sufficient
management experience has already been accumulated, which is accumulated by the relevant
specialized functional services. At the same time, maintaining mutual relations is far from
being carried out in every corporation, often not fully and not on a regular basis. In this case,
one cannot speak of a full and comprehensive understanding by the corporation of its position
and development in the social environment.
Analysis of the 5 ASX listed companies’ annual report for accounting issues
The five companies listed in the ASX include; Dacian gold limited is a company that
produces and trades in gold in its Mt. Morgan’s operations. Dampier gold limited is also

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another company listed in the Australian security exchange that deals with gold. It deals with
exploration and mining of gold deposits in Australia. Dark horse limited is a company that
deals with metals and minerals in ASX. It has traded with a lot of mineral deposits and
metals. Devine limited is a company that deals with delivery and development of residential
properties in the Country. It is among the biggest real estate developers in Australia. Dexus
properties limited also deals with development of commercial and residential properties in
Australia. It is a real estate development trust that deals with managing, trading and
development of office blocks and industrial properties. All this companies are involved
heavily in environmental management and other corporate social responsibilities (Khan,
Serafeim, and Yoon, 2016).
Let us imagine in the figure the interconnection of business development, which most
clearly positions corporate social reporting for environmental management purposes.
Corporate social reporting should be a factual reflection of the corporation’s implementation
of its plans, purposefully aimed and calculated to satisfy the interests of various consumers.
Effective corporate social activity through the preparation of social reporting will positively
affect the financial results of the company, allowing it to develop and consolidate its success
(Schaper, 2016) . Unified management of the most significant elements of the external
environment (partners, state, society) is necessary for the corporation to solve the following
problems; increase the value of the company; achieving its strategic goals; compilation of
corporate social reporting.
It was developed in 1999 by the Institute for Social and Ethical Reporting and since
then it has been the main document defining approaches both to setting up social
responsibility accounting and to ensuring the interests of individuals interested in social
initiatives of entrepreneurs. Currently, the AA 1000 standard continues to be used by

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business, non-profit and public organizations in the design of corporate responsibility
policies, as well as in conducting dialogue between all interested parties, in auditing and
checking public reports, in professional training of personnel and conducting research in the
social sphere, etc. .
Identified theory and suitable commentary
According to AA 1000, the structural analysis of social responsibility accounting
includes the following main elements:
- Principles of social and ethical accounting, audit and reporting;
- Elements by which these principles can be classified in order to carry out a more detailed
analysis based on the information disclosed in the company's statements.
It seems to us that the existing problems of the development of social accounting in
Australia are largely due to the fact that socially responsible companies or non-profit
organizations are, to some extent, experimental (Schaltegger, and Burritt, 2017). In
accordance with this, we believe that social, and in particular environmental, indicators of
business activity in Australia should be most seriously taken into account when making
managerial decisions. This will require the development of an integrated system of their
accounting and ensuring its effective functioning. In our opinion, at the present stage of
economic development, the principle of social balance, along with the principle of
commercial profitability, should become decisive in the investment attractiveness of a
country, region or company (Setó-Pamies, and Papaoikonomou, 2016). One of the main tasks
of the transition to a balanced development of society is to assess the economic ties between
economic activity which is both a factor and a barrier to economic growth, and achieve, on
this basis, a dynamic equilibrium of the system of “social and natural environment”.

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Literature review with critical analysis of contemporary research
Accounting information is based on standards and principles of accounting which
include the full disclosure principles, going-concern principle and materiality principle
including others. Acquired assets are reported on market value and not cost. The article is
devoted to the consideration of the principles and standards of corporate social reporting
applicable in Western and Australian practice of business social responsibility. The article
considers the positive experience of Western countries that form social reporting, which can
be the basis for the development of the Australian theoretical base and practical concept for
the development of socially responsible business approaches that reflect balanced solutions
(Cooper, 2017).
This research report focuses on accounting issues faced by 5 ASX listed companies.
Its aim is to analyze critically the technical and theoretical aspects of accounting knowledge.
The research also analyzes the regulatory and sustainability issues such as social corporate
responsibility (CSR) relevant to the companies including their ethical and social concerns. It
will also evaluate the contemporary research issues in the associated with the accounting
principles used. The identification of the methodologies used in qualitative research and the
interpretation of data present for use in this research is also important.
The idea that the main task of a company is to maximize profits is gradually being
supplanted by the realization that social responsibility is becoming the key to strategically
sustainable business prosperity. Transparency of reporting in the field of sustainable business
development, as well as worldwide recognition of the various approaches developed to it.
Sustainability Reporting Guidelines have been published, where sustainable development is
understood as a model for the development of society in which the satisfaction of the vital

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needs of present and future generations of people should be achieved (Crane, Matten,
Glozer,. and Spence, 2019).
Conclusion
In general, the system of social accounting and social corporate reporting in a
company should, as we see it, include three main components such as: directions of social
reporting; principles of social accounting and reporting; and audit of social reporting.The
object of economic research in the context of the concept of socially balanced development
are, inter alia, environmental and economic relations. it is necessary to study the structure and
the main material, material and information flows that arise during the functioning of this
system and are the result of the interaction of two subsystems: economic and ecological.

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References
Belal, A.R., 2016. Corporate social responsibility reporting in developing countries: The
case of Bangladesh. Routledge.
Cooper, S., 2017. Corporate social performance: A stakeholder approach. Routledge.
Crane, A., Matten, D., Glozer, S. and Spence, L., 2019. Business ethics: Managing corporate
citizenship and sustainability in the age of globalization. Oxford University Press.
Hoque, Z., 2018. Methodological issues in accounting research. Spiramus Press Ltd.
Khan, M., Serafeim, G. and Yoon, A., 2016. Corporate sustainability: First evidence on
materiality. The accounting review, 91(6), pp.1697-1724.
Schaper, M. ed., 2016. Making ecopreneurs: Developing sustainable entrepreneurship. CRC
Press.
Schaltegger, S. and Burritt, R., 2017. Contemporary environmental accounting: issues,
concepts and practice. Routledge.
Setó-Pamies, D. and Papaoikonomou, E., 2016. A multi-level perspective for the integration
of ethics, corporate social responsibility and sustainability (ECSRS) in management
education. Journal of Business Ethics, 136(3), pp.523-538.

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