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Question:
Write a report of 2000 words to the chairpersons of the Financial Reporting Council and the Australian Accounting Standards Board, commenting on the following argument: Attempts to bring about radical change through the introduction of a conceptual framework have failed. When it appeared as though SAC 4 would require firms to report a greater number of liabilities, lobbying began in earnest and business ensured that any innovation was quashed. As such, the best that can be hoped for from a conceptual framework is that it legitimises current practice, maintains existing social and economic status, and staves off public sector attempts to control accounting standard setting.
Requirement: Students are required to answer questions in an essay format (introduction, body, conclusion and references) attached a cover with students' information. Front size 12, 1.5 line space, must be typed in word and submit it in through Turin-it-in. Similarity rate must be lower than 20%, between 20%-30%, you will receive penalty on your report, higher than 30%, you will fail your report immediately.
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This is an essay writing assignment in which an analysis is required to be made in relation to failure of introduction of the conceptual framework with an attempt to bring the radical changes. With the introduction of SAC-4 (Statement of Accounting Concepts); it would make necessitate the firms to make reporting of a greater number of liabilities, lobbying began earnest and business also ensured that any innovation was quashed. The important fundamental to be discussed in this paper; is expectation of best practice in relation to conceptual framework that it can legitimizes the current practice, helps to maintain the existing position of social as well as economic status and also staves off the public sector organizations from making controlling to accounting standard practice.
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