Reference no: EM131932776 , Length: word count:2000
Accounting Theory Assignment
Assessment overview
The assignment is based on the Harvard Business School case study provided to you [i.e., Eccles, R.G., Serafeim, G., Andrews, P, (2013). Mandatory Environmental, Social, and Governance Disclosure in the European Union, 9-111-120, Harvard Business School: Boston]
Pages 12-14 of the case study explains five hypothetical scenarios that were discussed in the 5th workshop organised by the European Commission (EC). The objective of exploring these five scenarios was to determine how the 2003 Accounts Modernisation Directive should be amended. The 2003 Accounts Modernisation Directive which went into effect in 2005 read as:
To the extent necessary for an understanding of the company's development, performance or position, the analysis [in the annual review] shall include both financial and, where appropriate, non-financial key performance indicators relevant to the particular business, including information relating to environmental and employee matters.
Assessment details
a) Explain why the 2003 Accounts Modernisation Directive should be amended?
Your answer should be informed by scholarly academic research on corporate social responsibility, sustainability and integrated reporting. You are required to draw on at least two theories explaining voluntary corporate reporting when forming your answer. (Word limit: 800 words)
b) Out of the 5 scenarios discussed in the 5th Workshop, which one do you think is the most suitable option? When arriving at your conclusion, discuss the pros and 2 cons of each of the 5 scenarios. Your discussion should go beyond the pros and cons highlighted in the case and draw on relevant theories you have learned in this unit of study. You should demonstrate that you have conducted sufficient research using both academic and non-academic sources to build insightful arguments. (Word limit: 1200 words)
Additional guidance
In this research assignment you will be providing your personal view based on research evidence, theory and original thought.
In your assignment, you are expected to draw on:
- relevant accounting theories
- scholarly articles from academic journals
- reports issued by professional accounting bodies, accounting firms (particularly, the Big 4), regulatory bodies, the IIRC and other transnational organisations
- media reports on sustainability and integrated reporting
Sustainability and Integrated reporting are covered in Chapter 9 of the textbook. The theoretical knowledge necessary to complete this research assignment is not confined to one or few topics but spread across many topics in this unit. The theoretical knowledge provided in Chapter 8 of your textbook is particularly relevant to this assignment. However, theories explained in Chapters 7 and 10 can be drawn upon to inform your arguments where appropriate as well.
The class on "research skills and assignment workshop" is designed specifically around this assessment. You would benefit more from this class if you had already started your assignment and made sufficient progress in relation to each of the four questions prior to attending this class. This is because you will have a better understanding of the assignment and thus be able to clarify your doubts in this class. The assignment should take the form of a report and include an executive summary.
The entire assignment should not exceed 2000 words (+/- 10 %). There is no need to provide a table of contents and an executive summary. The word count includes footnotes, endnotes and appendices. A reference list should be provided but is not incldued in the word count.