Contemporary Accounting Issues at Domino's Pizza Enterprises: A Report

This report examines contemporary accounting issues faced by Domino's Pizza Enterprises Limited. The analysis focuses on challenges such as low sales, dividend payments, and share price fluctuations over the past two years. The report references the company's financial performance and share price data from the ASX. It explores how accounting practices influence the company's market performance and offers recommendations for improvements. These include suggestions for employee training, sales strategies, and enhancements to accountants' skills to improve dividend payment calculations. The report concludes with a summary of the key issues and proposed solutions, referencing the company's annual reports and other relevant sources. This report is designed to assist students by providing a comprehensive understanding of accounting issues and their impact on a major corporation. Desklib provides past papers and solved assignments for students.

Accounting
Contemporary issues in Accounting

Introduction
O The aim of the presentation is to reflect upon
the current contemporary issues in the
accounting which is faced by the ASX
Company. Domino's Pizza Enterprises Limited
is selected for this presentation.
O The accounting issues which are faced by the
company are discussed with the reference of
the share price of the last 2 years. The issues
in terms of accounting have influenced the
corporation share price during this time.

Contemporary issues in
accounting
O Domino's Pizza Enterprises Limited
accountants deal with the different issues that
are related to the accounting which affects the
growth of the company in the market. The
company is a well-known company who is
performing operations across the world.

Low sales of Domino’s
Pizza Enterprise
O Domino’s Pizza Company is dealing
with the issues in opening the new
stores which generally occur due to
the availability of the financing with
the acceptable terms.
O The study on Domino’s Pizza
Enterprises shows that in the year
2018, the company presented their
weakest first-half year profit growth in
the 11 years. However, the market
was predicting the company to miss
its net profit growth of 20% for the full
year.

Share price
O The share price of the
company shows that there is
fluctuation as prices of share
are declining from 2017 July
which improved earlier.
O This proves that Domino’s
Pizza share price is improving
which shows that investors
interest in the company has
been improved which leads
to the rise in the capital of
the company.

Payment of dividends
O The research of the PWC shows that the major issue
that has been witnessed by the accountants is
related to the payment of the dividends in the
contravention of the Companies Act 2006.
O The report of research shows that the Domino’s Pizza
group needs to become aware of the different issues
in the terms of the company’s procedures for making
the payments of the historic dividends, particular
purchases of its own shares as well as support that
are provided to the employee benefit trust.

Other issues
O It has been found that accountant of the company is
dealing with the issue of particular purchases of
their own shares as well as provide the support to
the employees that benefit them in the form of trust.

Recommendations
O It is suggested to the Domino’s Pizza to conduct
the sessions and meetings for the employees in
which they will get to know about the purchase or
sale of the shares.
O It is suggested to the company to bring the
improvement in the sales for Domino’s Pizza
Enterprise by selling the new and existing products
in an effective manner for generating the high
profit in market.

Continue…
O It is suggested to the accountants of the Domino’s
Pizza to bring the improvement in their skills and
expert knowledge as this is the only way through
which they can contribute in calculating the historic
data related to the payment of the dividend. This
attracts the maximum investors towards the
company and they can easily get a high amount for
future investment.

Conclusion
O It is summarised that there are different issues
which are faced by the company accountants such
as low sales of dominos, payment of the dividends,
and many other issues.
O Considering the issues faced by the company, the
recommendations for conducting sessions,
improving sales and enhancing the skills and
expertise of accountants are included in the report.

References
O ASX, 2019, DMP [Online]. Available at:
https://www.asx.com.au/asx/share-price-research/company/DMP
[Accessed on 23rd January 2020]
O Domino’s Pizza Group plc, 2018, Annual Report & Accounts 2018
[Online]. Available at:
https://investors.dominos.co.uk/system/files/dominos-pizza-group-
plc-ar18_0.pdf
[Accessed on 23rd January 2020]
O Fuller, C., 2017, PwC takes delivery of Domino's Pizza audit
[Online]. Available at:
https://www.accountancydaily.co/pwc-takes-delivery-dominos-pizza
-audit
[Accessed on 23rd January 2020]
O Hoque, Z., 2018. Methodological issues in accounting research.
Spiramus Press Ltd.
O Schaltegger, S. and Burritt, R., 2017. Contemporary environmental
accounting: issues, concepts and practice. Routledge.