only part A and B
© TAFE NSW – Higher Education Assessment Event Due Date 2. GROUP RESEARCH ASSIGNMENT PART A: Individual Research Outline (10%) – COMPULSORY Week 8 PART B: Group Research Report (20%) Week 12 PART C: Group Research Presentation (10%) Week 12 Subject Code: ACACT305A Subject Name: Contemporary Accounting Concepts Weighting: 40% Learning Outcomes: 1, 2, 4, 5 Graduate Attributes: 1, 2, 3, 4, 5, 7 Due: Week 9 and Week 12 Assessment Overview This assessment requires groups to conduct research based on a case study scenario which will be provided on the subject Moodle in Week 3. Each group member will be assigned one area to research independently of the group and then integrate their research into the final group report and presentation. The focus of this assessment is to use your understanding of the accounting theories and perspectives to critically analyse and evaluate all the facts of the case study scenario and make recommendations supported by the application of accounting theories and perspectives. Groups will be allocated during class time, and as a group, you are expected to express and justify your viewpoints both in writing and verbally in a group setting. Version Date: July 2022 ASSESSMENT 2: Group Research Report and Presentation Subject: ACACT305A Contemporary Accounting Concepts Assessment 2: Group Research Paper © TAFE NSW – Higher Education Page | 2 RESEARCH PAPER SCENARIO The year is 2030 and you work for one of the big accounting firms in Sydney, Australia. The US FASB and the London based IASB have just announced that they have agreed in principle to a merger, however, there are several areas that are still in contention and yet to be resolved. As part of the merger, the FASB are seeking to bring IFRS into line with the US standards so that accounting standards are congruent with Sarbanes Oxley and the Dodd Frank Act. The result of this will be that the USGAAP will be applied where there are differences with IFRS requiring many of the current IFRS accounting standards to be completely rewritten. The IASB whilst keen to unite is in the process of negotiating key environmental and social responsibility disclosures being included under the new reporting regime. The US has agreed to this in principle, however, have indicated that these new performance measurements will create a significant cost in the first two years of changeover, equating to about 40% of the projected compliance cost increase due to the new environmental performance measurement and auditing. Whilst there is in principle agreement between the IASB and the US FASB, there is no clear indication of what will be included in the proposed environmental and social responsibility accounting standards which at this time are sparse and mostly vague and notional. In addition, many of the proposed financial accounting changes are far-reaching and extremely complex and likely to result in a significant amount of additional regulation and compliance, with early projections estimating that compliance costs will at least double when compared to the current system. Some of the purely financial accounting changes are likely to negatively impact upon Australia’s small and medium sized businesses whilst providing significant advantages for most large multinational corporations. The impact on the accounting profession will be significant and not surprisingly, the proposed changes have polarised both the geopolitical landscape and the political environment within Australia with many of the proposed changes proving to be highly controversial locally. Internationally, there has been a public backlash with Russia, Brazil, Singapore, China, India, Turkey and South Africa vocally opposing the merger. They have already indicated that they will not agree to the proposed merger, and instead have determined they will be establishing their own version of IFRS. On the other hand, the UK Financial Reporting Council, Korean Accounting Standards Board, Financial Reporting and Assurance Standards Canada and the Accounting Standards Board of Japan are publicly committed to joining. Within Australia, the Australian Industry Group is worried about compliance costs and uncertainty and the Australian Shareholders Association doesn’t believe the changes will provide any additional information. Both have joined the calls for the AASB to abandon international standards and replace them with new regulations designed specifically for Australia which would mostly consist of reverting to pre 2005 Australian GAAP. Conversely CAANZ, CPA Australia and the big 4 are publicly supporting the move based on increased global integration and unification. The board of the AASB however, are still undecided as to what is the best course of action for Australia and are consulting widely. Subject: ACACT305A Contemporary Accounting Concepts Assessment 2: Group Research Paper © TAFE NSW – Higher Education Page | 3 Your Task You and your team have been asked to prepare a research paper which will be presented to the Board of the AASB. The purpose of the presentation is to outline the impacts of the proposed merger on the Australian Accounting Standards and the business community. Your advice is required to critically analyse and evaluate the facts of the scenario and based on your analysis provide detailed advice recommending the best course of action for the AASB. Research Areas 1. The costs and benefits of accounting regulation The scenario highlights some of the divisive attitudes regarding accounting regulation and identifies some of the contemporary issues that are facing the accounting profession, particularly, the power of accounting to define the direction of the global economy. This proposal may have significant impacts on future accounting regulation and reporting disclosures across the world. Analyse and discuss how accounting regulation has developed over time and provide some commentary on the role that the accounting profession has played in the global economy. Using your analysis, critically evaluate the costs and benefits of the proposal and in your advice to the AASB, outline the key considerations for the Australian Accounting Profession. 2. Environmental and Social Responsibility Performance Measures Environmental sustainability and social responsibility reporting are increasingly critical to our global society and the fact that they will potentially be reported under the banner of “Global Accounting Standards’ will place a spotlight on corporations that may reveal some uncomfortable truths. Analyse and discuss how social responsibility and environmental reporting has developed over time and provide some commentary on the types of performance measures that could potentially be adopted. Using your analysis, critically evaluate the value of these types of environmental and social responsibility accounting standards to our future global society and in your advice to AASB outline the factors that will impact Australian companies and businesses. 3. Political nature of accounting It is also well known that the FASB has long opposed a merger and that the adoption of the International Standards in Australia in 2005 were contentious and highly political. It has been suggested in the scenario that from Australia’s perspective, the proposed merger could potentially mean taking a backward step, that is ‘reverting to pre 2005 Australian GAAP’. Analyse and discuss Australia’s adoption of the International Accounting Standards in 2005 and provide some commentary on the arguments used both for and against the adoption of IFRS at that time. Using your analysis, critically evaluate the political positions of each of the players in the scenario and in your advice to the AASB identify any issues or outcomes that might impact the Australian business community. Summary of Conclusions and Recommendations to the AASB The final report will detail your research and potential impacts from the proposed merger and provide key advice on the best course of action for the AASB. Subject: ACACT305A Contemporary Accounting Concepts Assessment 2: Group Research Paper © TAFE NSW – Higher Education Page | 4 Part A – Individual Draft Research Outline (10%) - COMPULSORY Please see Assessment Criteria in the rubric provided Each group member is required to research their allocated research area (if your group has only two members then choose only 2 of the 3 research areas) and to prepare an outline for submission as follows: 1. Summary of the Facts o Write a summary of the facts of the scenario as they pertain to your research area 2. Theories, ideas and practices o Write down the specific theories, ideas, or practices that you will be applying and explain how these relate to the facts of the scenario 3. Recommendations and Links o Write a brief outline of what you think you might recommendation to the AASB and try to explain how these link to the theories you have identified above o Write some ideas about the arguments that you might use to support your recommendations 4. Group Report Integration – Complete in Collaboration with your group (Week 8) o Explain how you will integrate your research and recommendations into the final group report and presentation. Remember you are working together as a team and your final product needs to be presented professionally and cohesively. Week 8 workshop will include a Facilitated Group Research Session prior to the submission of the Research Outline. Submission: Each group member to upload their completed Draft Research Outline by the due date. NOTE: This Assessment is COMPULSORY and MUST BE SUBMITTED to be awarded an overall result for ASSESSMENT 2 Individual Draft Research Outline Requirements • Word document to be uploaded to Turnitin • Appropriate headings and subheadings • Brief paragraphs only, no dot points • No more than 3 typewritten pages Part B – Group Research Paper (20%) Please see Assessment Criteria in the rubric provided Each group member is required to contribute to the research, writing, and editing of the final Group Research Paper, which will be used to inform the Group Presentation. Submission: Only ONE group member to upload the completed Group Research Paper on behalf of the group by the due date. Report Style and Format Requirements • Word document to be uploaded to Turnitin • 12-point Arial font; double spaced with minimum 2cm margins. • Title page with group number, each group member’s student details, Subject: ACACT305A Contemporary Accounting Concepts Assessment 2: Group Research Paper © TAFE NSW – Higher Education Page | 5 • Separate table of contents • Executive Summary briefly outlining each research area and recommendations (not included in word count) • The body of the report to include an introduction, section headings and subheadings where required • A succinct and concise conclusion • Overall word count is within +/- 10%