Analysis of Contemporary Accounting Issues for Westpac Corporation

This report provides an analysis of contemporary accounting issues, focusing on the financial performance of Westpac, an Australian banking corporation. The study includes an executive summary and an introduction to accounting's role in business decision-making. It offers an overview of Westpac, one of Australia's 'big four' banks, and analyzes its performance, including share price trends and financial report materials such as income statements and balance sheets. The analysis also incorporates media releases from Westpac to provide a comprehensive review of the company's current and potential business steps. The conclusion summarizes the financial performance, highlighting the impact of the COVID-19 outbreak and economic downturn, while still acknowledging the company's profitability and potential for future growth. The report utilizes various sources, including accounting textbooks, financial analysis resources, Westpac's annual reports, media releases, and share price data to support its findings and recommendations. The report aims to determine the financial performance of Westpac and make recommendations for improvement.

TITLE
Contemporary Issues
In Accounting

EXECUTIVE SUMMARY
The study summarises major concepts and issues on contemporary accounting in
relation to Westpac, an Australian Banking Corporation. Study report consists of
thorough review of corporation's financial performance in market with help of
analysis of company's share price trends, financial-reports, media resources-
comments, company releases and some other major sources. Main aim of such
critical review of Westpac is to determine financial performance of company and
make recommendations to enhance performance based on current financial status.

Table of content
◦Introduction
◦Overview of company
◦Analysis of performance
◦Financial report materials
◦Media release
◦Conclusion and recommendation

INTRODUCTION
Accounting relates to a method of systematically reporting, evaluating and
transmitting information regarding fiscal transactions. Anybody who takes a
business decision utilizes accounting information for guiding them.
Accounting is very essential since this is the language of businesses as well as
its core base of informed financial decision making.

Company Overview
Westpac corporation is Australia's first banking and oldest corporation, one of
the Australia's big four banking organizations as well as New Zealand's leading
bank. Westpac offers a wide variety of individual, corporate institutional banking
and investment management facilities across a variety of financial services
products and businesses. The corporation operates in a variety of segments, such
as with customer, Business, Westpac Institutional Bank (WIB) and as Westpac-
New Zealand.

Analysis of Westpac's Performance:
Share price:
As on 18/06/2020, Westpac's share is trading at 17.2 which on 05/01/2020 was trading
at 24.65. In company's share there was a major decline after Feb 2020 due to downturn
in economy after corona outbreak but after that there is steady improvement in share
price of company.

Financial Report Materials
Income Statements:

CONTINUE…
Balance Sheet:

CONTINUE…
Company has reported cash funds of 20059 million in year 2019 which was 27786 million in year 2018,
while in year 2017, 2016 and 2015 it was 19445 million, 18405 million and 16079 million respectively.
There is major decline in cash fund level after 2018. Long term debts of company has been increased to
213167 million in year 2019 which was 189861 million in year 2018.

Media Release
Analysis of Media Release provides a thorough review of corporation's present and potential steps in business. In this regard
following is review of several dare wise major media releases reported by company Westpac (Media releases. 2020), as follows:
◦17 August 2020
◦10 August 2020
◦5 August 2020
◦28 July 2020
◦8 July 2020
◦29 June 2020
◦24 December 2019

CONCLUSION AND RECOMMENDATIONS
From above study this has been articulated that accounting is main aspect of
business which help to determine the actual performance of corporation. Review
of financial performance of Westpac Corporation shows that company is
performance has been declined in at the end of 2019 because of corona-virus-
outbreak and economic downturn, but still company performed well and generated
profits. Although there is major decline in profitability but improvement in share
price shows that company will perform better in coming years.

REFERENCES
Warren, C., Jonick, C. and Schneider, J., 2020. Accounting. Cengage Learning.
Robinson, T.R., 2020. International financial statement analysis. John Wiley & Sons.
Online:
Media releases. 2020. [Online]. Available through:
<https://www.westpac.com.au/about-westpac/media/media-releases>
Annual Report of Westpac. 2019. [Online]. Available through: <https://www.westpac.com.au/about-
westpac/investor-centre/financial-information/annual-reports>
Westpac Banking Corporation: About us. 2020. [Online]. Available through:
<https://www.westpac.com.au/about-westpac>
Westpac Banking Corporation: Share Price Movements. 2020. [Online]. Available through:
<https://au.finance.yahoo.com/quote/WBC.AX?p=WBC.AX&.tsrc=fin-srch>