ACCY111 Assignment 2: Social Accounting, SDGs, and Corporate Reports

This assignment explores the relationship between professional and academic accounting and the United Nations' Sustainable Development Goals (SDGs). It defines sustainable development and social accounting, contrasting them with traditional accounting methods like ROI, budgeting, and break-even analysis. The assignment then analyzes the Commonwealth Bank's annual report, examining its disclosures related to the SDGs, particularly in social and environmental contexts, and evaluating how the bank addresses global issues like poverty and environmental degradation. Finally, the student reflects on their learning experience, highlighting the importance of social accounting and SDGs accountability in future professional work, emphasizing the potential for contributing to economic development and improving living standards. The assignment demonstrates a strong understanding of CSR activities, and the ethical considerations for businesses to meet the expectations of society, and accomplish the SDGs. The student has used the report of Commonwealth Bank to show their understanding of the subject.

Accounting

Table of Contents
Table of Contents.............................................................................................................................2
QUESTION 1..................................................................................................................................1
Meaning of sustainable development and social accounting along with comparison of
traditional forms of accounting....................................................................................................1
QUESTION 2..................................................................................................................................2
Disclosure of the company’s report in relation of the SDGs, critical analysis it using the
example of social and environmental disclosure and the way in which company does or does
not address the goal and broader issue........................................................................................2
QUESTION 3..................................................................................................................................3
Reflection on the way of the learning experience around the SDGs accountability and social
accounting might inform the future professional work...............................................................3
REFERENCES................................................................................................................................5

QUESTION 1
Meaning of sustainable development and social accounting along with comparison of traditional
forms of accounting
Sustainable development can be defined as the organising principles for the purpose of
meeting the human development goals. In other words, it could be defined as the part of
economic development which is performed without any type of utilisation of natural resources.
There are various types of international policies which are formulated for the purpose of
supporting the sustainable development. It is a type of development which is focused for the
purpose of meeting the present needs without leaving any type of negative impact upon the
ability of future generations to achieve meet all their needs. In order to advance the sustainable
development goals of United Nation, professional and academic accounting could be focused.
With the help of them, all the accounting related tasks will be performed in systematic manner
and then the organisation can attain sustainable development for themselves. It is beneficial for
them to sustain in the industry for long run and attain competitive advantage (Bebbington and
Unerman, 2018).
Social accounting can be defied as the process which is focused for the purpose of
conducting accounting for national income. It is mainly used to analyse the relationship between
various sector of the economy with the economic conditions in statistically. With the help of it,
study for the structure of body economic is conducted. In other words, it could be described as
the procedure which is used to communicate the environmental and social effects of the
organisation upon the society. In order to attain sustainable development goals, it is very
important element which should be focused as it is very different from public interest accounting
and the critical accounting.
There are various types of traditional forms of accounting which are different from each
other. By analysing difference between all of them it will be very easy for the organisation in
United Nations to pursue their sustainable development goals (Biermann, Kanie and Kim, 2017).
Difference between all of them could be understood with the help of following discussion:
Performance measures such as ROI is one of the traditional accounting approaches which
helps to analyse the rate of return which could be acquired by the organisation by making
investment in a business project. It also helps to analyse that the company will be able to sustain
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for long run in the market or not. For example, if the managers are willing to buy a new machine
then it can help to analyse the potential rate of return which could be acquired by the company
when it will invest funds in the new machinery. Another traditional form of accounting is
budgeting systems for planning and control. With the help of it, all the companies can prepare
budgets for uncertainties which may take place in future. This form of accounting is beneficial to
meet all the obligations of business and carry out operations systematically. For example, if the
company is planning to expand in future then budgets are required to be made so that
requirements of all departments could be fulfilled (Hák, Janoušková and Moldan, 2016). Break
even analysis is also a traditional accounting approach which can help all the organisations to
determine the level of sales which is required to made in order to ignore possibility of losses. It
can also help to reach the point where the organisation will neither have a profit nor loss. For
example, if an organisation is willing to recover all the losses then it will be required to analyse
the BEP which could be 2000 units or 400000 sales in amount.
QUESTION 2
Disclosure of the company’s report in relation of the SDGs, critical analysis it using the example
of social and environmental disclosure and the way in which company does or does not
address the goal and broader issue
From the annual report of Common Wealth Bank it has been analysed that the organisation
is highly focused with sustainable development goals. The entity is committed to perform all the
operations in a fair manner so that all the standards set by the government could be met. The
annual report of the organisation shows that there are 17 different types of sustainable
development goals which are focused for the purpose of finding solution for different social
issues. These are hunger, environmental degradation, inequality and poverty. The annual report
discloses that there are four key elements that are focused by the bank for meeting sustainable
development goals (Rieckmann, 2017). These are customers, community, people working within
the organisation and shareholders.
In order to achieve SDGs, the entity deliver best services to the customers and pay
attention towards offering highly supported financial wellbeing. It helps it to get good customer
outcomes and advocacy. The organisation is also investing in communities and education so that
it can build trust and reputation at social level and meet the sustainable development goals of
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resolving social challenges like hunger and poverty. All the employees who are working within
the organisation are motivated through proper leadership. Their health, welling, diversity etc. is
promoted by the company so that they can develop tehri career and help the company to meet its
SDGs. For the purpose, of meeting expectations of shareholders the bank is highly focused with
delivery of sustainable financial performance with the help of sound conduct, governance,
accountability and remuneration (Schroeder, Anggraeni and Weber, 2019). Along with this, the
organisation is also paying attention towards performing responsible business practices which
helps it to make sure that it performs all the operations without leaving negative impacts upon
society. Organisation is also taking part in corporate social responsibility related activities and
the report discloses that it has formed a new Group Environmental and Social policy. According
to it, the entity commits that it will reduce its exposure to thermal coal mining and coal fired
power generation till 2023. It will result in decreased negative impacts of it on the environment.
It shows that the organisation is disclosing all the details about its sustainable development goals
and their attainment.
From the report of common wealth bank it has been analysed that the organisation meets
its SDGs because it is highly focused with corporate social responsibility (Annual report of
Common Wealth Bank, 2019). It tries to perform all its operational activities in ethical manner
which facilitate it to meet expectations of society and accomplish SDGs in systematic manner.
QUESTION 3
Reflection on the way of the learning experience around the SDGs accountability and social
accounting might inform the future professional work
I have gained under standing of sustainable development, its accountability, goals related
to it, social accounting and other essential topics from the question 1 and 2. Both of them are
highly focused with sustainable development goals so that the major social issues such as
poverty, hunger etc. could be resolved. I have learned that for all the business entities it is very
important to make sure that it is taking part in CSR activities so that it can assure that operations
are carried out in systematic manner without leaving negative impact upon society. I think that
social accounting is also very important element which is required to be focused by business
entities as it can help to analyse the percentage of GDP or national income which is contributed
by an organisation or the whole industry. In order to analyse level of economic growth it takes in
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to consideration as it will help to provide insight for the same. The knowledge which is being
gained by me from the above analysis will be beneficial for me. It might inform my future
professional work. When I will be working in an organisation in upcoming years or establishing
my own business as entrepreneur then it will help me to make sure that my business is focused
with sustainable development goals (World Health Organization, 2016). Apart from this, the
knowledge will also facilitate me to assess the actions that should be taken by me to deal with
social challenges like poverty, hunger and other. This knowledge will guide me to take part in
corporate social activities and formulate strategies to achieve SDGs so that I can contribute in the
development of economy as well as provide a better life to people who are not able to live
properly because of social issues. Proper execution of operations in future will be beneficial for
me as well as my business as it will be contributing in the development of economy. The vast
knowledge about social accounting SDGs and accountability for the same will also help me to
analyse the steps that should be taken by me to improve living standards of people living under
the poverty line.
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REFERENCES
Books and Journals:
Bebbington, J. and Unerman, J., 2018. Achieving the United Nations sustainable development
goals. Accounting, Auditing & Accountability Journal.
Biermann, F., Kanie, N. and Kim, R. E., 2017. Global governance by goal-setting: the novel
approach of the UN Sustainable Development Goals. Current Opinion in Environmental
Sustainability. 26. pp.26-31.
Hák, T., Janoušková, S. and Moldan, B., 2016. Sustainable Development Goals: A need for
relevant indicators. Ecological Indicators. 60. pp.565-573.
Rieckmann, M., 2017. Education for sustainable development goals: Learning objectives.
UNESCO Publishing.
Schroeder, P., Anggraeni, K. and Weber, U., 2019. The relevance of circular economy practices
to the sustainable development goals. Journal of Industrial Ecology. 23(1). pp.77-95.
World Health Organization, 2016. World health statistics 2016: monitoring health for the SDGs
sustainable development goals. World Health Organization.
Online
Annual report of Common Wealth Bank. 2019. [Online]. Available through:
<https://file.globalacademicresearch.com/projectfiles/internal_cust_document/
CBA2019AnnualReport1591258609553_1591262106.pdf>
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