Accounting Research Project: Analysis of 10 ASX Listed Companies

This accounting research project analyzes the annual reports of 10 ASX-listed companies, focusing on their accounting policies and practices related to ethical, social, and sustainability issues. The project identifies and evaluates these practices, discussing the findings and drawing justified conclusions. The analysis includes specific examples from companies like Commonwealth Bank of Australia and Coca Cola Amatil Limited, highlighting their approaches to environmental and social responsibility. The project also examines the companies' compliance with ethical standards and relevant regulations. Furthermore, the research explores the challenges in integrating environmental, social, and ethical issues into accounting information and emphasizes the role of management in promoting sustainability through stakeholder engagement and appropriate reporting. The project concludes by stressing the importance of adapting to changes in accounting rules for effective financial analysis and decision-making.

Running head: ACCOUNTING RESEARCH PROJECT
Accounting Research Project
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Author Note

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Executive Summary
The Accounting Research Project for the 10 ASX listed companies has been prepared using
their annual reports. The accounting policies have been identified for the identified
companies. The findings along with justified conclusions have been discussed.

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Table of Contents
Introduction................................................................................................................................3
Analysis of the annual reports of 10 ASX listed companies......................................................3
Evaluation of the accounting practices for the identified companies........................................8
Discussion on the findings along with the justified conclusion for the researched companies. 8
Conclusion..................................................................................................................................9
Reference list............................................................................................................................11

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Introduction
The research project report has been prepared on the basis of the appraisal and
evaluation of the contemporary accounting issues that were identified. It includes the
discussions relating to the relevant theories, research methodology and literature review that
were previously done (Beattie 2014). This report focuses on the empirical research using the
selected issues on the 10 ASX listed companies. It includes the analysis of the annual reports
on the related information for the 10 ASX listed companies. The accounting policies of the
selected companies relating to the social, economic and ethical in nature has also been
evaluated and highlighted as the framework of research (Bebbington, Unerman and
O’DWYER 2014). A discussion on the main findings of the companies has been provided
along with the justified conclusions.
Analysis of the annual reports of 10 ASX listed companies
Commonwealth Bank of Australia
The company has committed itself towards operating responsibly and sustainably in
their business activities. The integration of social as well as environmental commitments of
the company has been created into new Group Social and Environmental Policy. The policies
include commitment by the company for assisting the responsible global changes into zero
emissions by them (Brown and Jones 2015). It also aims to reduce the exposures to coal fired
power generation and thermal coal mining with the objective of exiting the industry by 2030
subjected to the country possessing a secured platform of energy. It also incorporates
biodiversity and human rights commitments along with the approach for lending to its
consumers in the fisheries, defence, agriculture and forestry sectors.

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Conico Limited
The company has selected Talis Consultants Pty Ltd for progressing with its
Community and Environment matters for study. The studies of environmental aspects have
currently began with its fieldwork being estimated to begin in the early duration of spring
season (Gray, Brennan and Malpas 2014). They have also been subjected as the regulation of
environmental study regarding its exploration of mining along with full compliance of all its
requirements regarding the rehabilitation of the exploration sites.
Centrex Metals Limited
The company has forecasted the prices of phosphate rock to continue increasing till
the year 2023 as the supply started to tighten and the costs of production increased in China
upon the execution of new practices relating to environmental management. They were aware
of their responsibilities for affecting the environment and the disturbances relating to the
rehabilitation sites (Hopper, Lassou and Soobaroyen 2017). The major works which were
being carried out were following the procedures and objectives in accordance to the
requirements that was published by the specific regulators of Environment and Science.
Clime Investment Management Limited
The operations of the company are not regulated by the significant laws of the
Territory or State or Commonwealth that relate to its environment (Kyriakidou et al. 2016).
The practices of corporate governance are detailed in their statements about its complying
with the Principles as has been disclosed in their statements.

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Coca Cola Amatil Limited
The company has complied itself with the relevant ethical regulations relating to the
independence and communication of its relationship with the matters that bear independence
in the applicable safeguarding situations. The company has been confident regarding its
ability for navigating itself in the rapidly changing business environment (Malik 2015).
Therefore, the strategies adopted by them have been grow, strong organisation and perform
as their foundation. The present themes that help the sector to shape themselves include the
opportunities and trends in the demands of the consumers. The themes are value, innovation
in reformulation and packaging, social and environmental sustainability, healthier choices,
growth in its brands, convenience and technology. The sustainability strategy has been
committed towards making a positive and distinct contribution to the environment
(Schaltegger and Burritt 2017). The sustainability framework has laid focus on the consumer
wellbeing, human rights, climate change and sustainable packaging being their priority. The
progress of the report towards its sustainability goals has been made in 2018 but the report
will be released in the year 2019. The subject of its pillar of environment include
biodiversity, responsible sourcing, low carbon energy and climate change, water
replenishment and stewardship along with sustainable packaging.
CML Group Limited
The environmental regulations have not been adhered by the company under the law
requirements (Thomson 2014). The ethical requirements have been complied in situations of
significant deficiency in its internal control which gets identified during the process of audit.

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China Construction Bank Corporation
The company continued holding its objectives and responsibilities as a big bank in
2018. They promoted their development of high quality social and economic benefits. The
complete implementation of the three strategies for driving growth from development and
innovation were aimed to boost the process of the development of its social and economic
development (Walker 2016). The opening, sharing along with giving back to its society
completely are the social responsibilities identified by the bank. They bank fulfilled its part of
social responsibility being a state owned bank by the adopting of customers, organizations
and staff for charity as its approach. The company made a huge amount of donation for the
welfare of the public. It implemented several long term projects for the welfare of public
including schools and financial aid plans. The operational capability, level of service along
with the comprehensive strength continued being recognized by the market and its
consumers. The beginning of 2019 marked the founding and securing victory in creating an
all-round society that is well-off. The economic situation was complex and included
challenges as well as opportunities. The mission of serving the consumers for living and
working in peace along with building a beautiful and modern life was continued to be
followed (Watson 2015). The perseverance and patience of the bank has helped it to use the
financial prowess in reliving the difficulties of society and economy. The enhancements of
capacity for serving the country, guarding against the financial risks and increasing the
international competitiveness. It further aims to take on greater social responsibilities and
make it contributions to the social and economic development.

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Celsius Resources Limited
The company started a scoping study on the Opuwo Project and made its
contributions by SLR Consulting in its water, social and environmental aspects. The
materiality exposure to social and environmental sustainability risks for disclosures and its
manner of managing the risks has been listed. They have not adopted any sustainability
policy. On the other hand, they have the policies regarding environment, community
engagement and occupational safety and health. The operations of the company have not
been regulated by any particular environmental regulation as per the law of State or
Commonwealth or Territory. It has been considered by the directors for enacting the National
Greenhouse and Energy Reporting Act 2007 (the NGER Act) for introducing an individual
national reporting framework for dissemination and reporting of information regarding the
greenhouse gas projects, energy use, production of corporations and greenhouse gas
emissions. The NGER Act has been determined by the directors to have negligible impact on
the company for the subsequent accounting year. The company has been recognised to
operate globally.
Cadence Capital Limited
The operations and activities of the company are not complied by any specific
environmental regulation as per the law of Territory or State or Commonwealth. The ethical
standards have been aimed to be ensured by the Directors with objectivity, integrity and
endeavour for enhancing the image of the company. The ethical responsibilities have been
fulfilled by complying with the APES 110 Code of Ethics for Professional Accountants. The
ethical requirements relating to the independence and communicate the relationship with
other aspects for bearing the independence.

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Consolidated Zinc Limited
The activities relating to exploration are subjected to the environmental regulations
that have been imposed by regulatory authorities especially the ones that relate to the
disturbance of ground and protection of endangered and rare fauna and flora. The
environmental safety and health audit was done on the Plomosas mine project and concluded
that it had no issues regarding environment which demanded attention. The financial reports
have not been adjusted for the enacted environment legislation that has been believed to be
appropriate and reasonable.
Evaluation of the accounting practices for the identified companies
The 10 ASX listed companies have complied with the ethical standards. The social
issues have not been complied by Clime Investment Management Limited, CML Group
Limited and Cadence Capital Limited. The other companies have more or less adopted one
out of the three standards as their contemporary standards. The sustainability reports were
prepared by the companies. Coca Cola Amatil Limited had not yet prepared its sustainability
report and would issue it for the first time in 2019. Consolidated Zinc Limited adopted
environmental issues in its activities.
Discussion on the findings along with the justified conclusion for the researched
companies
The findings of the reports has helped to identify the risk and relevance of appropriate
governance for the board and the management team of the companies. The management
adopts a casual attitude towards complying with the correct auditing and accounting policies
which leads to creation of issues. The sustainability reports of the companies helps its users to
obtain an understanding on the social responsibility roles performed by them. The
management holds the responsibility of disclosure, assurance and proper measurement of the

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accounting data. The problems and issues identified attribute to the non-quantifiable nature of
the sustainable and social accounting of the companies. The nature of accounting framework
of the firms are subjective on the basis of their sustainability accounting. Most of the
companies lack uniformity in maintaining their sustainability standards and performances.
The management plays the role of maintaining the relationship with its stakeholders for
promoting proper sustainability in the system. This ensures equal treatment of its
stakeholders irrespective of the circumstances and conditions. The firms have to contribute to
the economy by building a sustainable relation between the society and its economy. There
exists an interdependency between the ecological and societal environment. The stakeholder
theory has also been identified as one of the major elements used by almost all the companies
where there is engagement of the stakeholders. It helps to define the sustainability,
environmental and social approaches of the companies. The appropriate managing of its
stakeholders help the firms to achieve its corporate objectives. The theory also describes the
instrumental as well as the descriptive aspects of the corporate objectives. The ethical issues
prevailing in the companies is the existence of conflicting interests of the employees and the
levels of management. The issues may also arise on the part of the accountant when they fail
to take into account the contemporary factors of the statements.
Conclusion
The rapid and significant changes in the rules of accounting impact the financial
analysis and its reporting that managements use in making their business decisions. The
contemporary accounting issues faced by the professionals at workplace have been discussed.
The need for them to adopt the changes as required by the companies for using, reporting,
analysing and interpreting the financial data are highlighted. The topics that are covered
under the research report include Fair Value Measurements, Revenue Recognition,
International Financial Reporting Standards and related accounting policies for contemporary

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issues. The issues provide a deeper insight into the complexities of the business environment.
It shows how reluctant the companies get in integrating their environmental, social and
ethical issues with their information’s on accounting. The element of Corporate Social
Responsibility is also essential for the companies.

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Reference list
Beattie, V., 2014. Accounting narratives and the narrative turn in accounting research: Issues,
theory, methodology, methods and a research framework. The British Accounting
Review, 46(2), pp.111-134.
Bebbington, J., Unerman, J. and O’DWYER, B.R.E.N.D.A.N., 2014. Introduction to
sustainability accounting and accountability. In Sustainability accounting and
accountability (pp. 21-32). Routledge.
Brown, R. and Jones, M., 2015. Mapping and exploring the topography of contemporary
financial accounting research. The British Accounting Review, 47(3), pp.237-261.
Gray, R., Brennan, A. and Malpas, J., 2014, December. New accounts: Towards a reframing
of social accounting. In Accounting Forum (Vol. 38, No. 4, pp. 258-273). Taylor & Francis.
Hopper, T., Lassou, P. and Soobaroyen, T., 2017. Globalisation, accounting and developing
countries. Critical Perspectives on Accounting, 43, pp.125-148.
Kyriakidou, O., Kyriacou, O., Özbilgin, M. and Dedoulis, E., 2016. Equality, diversity and
inclusion in accounting. Critical perspectives on accounting, 35, pp.1-12.
Malik, M., 2015. Value-enhancing capabilities of CSR: A brief review of contemporary
literature. Journal of Business Ethics, 127(2), pp.419-438.
Schaltegger, S. and Burritt, R., 2017. Contemporary environmental accounting: issues,
concepts and practice. Routledge.
Thomson, I., 2014. Mapping the terrain of sustainability and accounting for sustainability.
In Sustainability accounting and accountability (pp. 33-47). Routledge.