This document presents a comprehensive solution for ACC510 Financial Reporting Task 2, covering key aspects of financial reporting. The solution addresses four main questions, including a case study on fair value measurement and the "highest and best use" principle, with detailed accounting justifications and relevant issues. It also includes an exercise on impairment testing, providing calculations and journal entries for both 2016 and 2017. Furthermore, the assignment explores accounting for research and development, differentiating between research and development phases and providing accounting treatments. Finally, the solution tackles an exercise on employee benefits, focusing on a defined benefit plan, calculating the net defined benefit liability, net interest, and a reconciliation of the defined benefit obligation and plan assets, along with the summary journal entries. The document references relevant AASB standards throughout the solution.