Emerging issues in accounting and finance

Historically, producing financial statements that users find useful has been a long-standing challenge around the world. To help meet this challenge the quality of the accounting standards that companies have to comply with has risen strongly since their introduction in the 1970’s. Despite this, there continues to be too many instances where published financial statements don’t help users get a reliable picture of what is happening in a business.  A fair conclusion to reach from all this must be that finding the solution to this problem is not the responsibility of the accounting profession as it has done all it can reasonably do.

Critically evaluate this statement and reach a conclusion.

Introduction (Approx. 180 words)

Marks for an introduction are given under presentation and structure. A good introduction will draw the reader in.

Here are some ideas for how you might want to use an introduction

Section 1 (Approx. 360 words) –1 or 2 references

Historically, producing financial statements that users find useful has been a long-standing challenge around the world. To help meet this challenge the quality of the accounting standards that companies have to comply with has risen strongly since their introduction in the 1970’s.

You will need to look over the material/reading/tutorials for units 4 and 5 and think about some of the key challenges that have been faced when producing financial statements

It is important not to spend too much of your word count on this as there is very little or no critical evaluation in this section. Most of the marks in this this section are from the content section and remember using your own words is key here.

Section 2 (Approx 540 words) – Minimum of 5 references

Despite this, there continues to be too many instances where published financial statements don’t help users get a reliable picture of what is happening in a business

Is it true that there are too many instances where published financial statements where published financial statements don’t help users get a reliable picture of what is happening in a business? You could use some annual reports for this section or look at some of the FRC/Parliamentary reports. You could also use some of the newspaper articles or use any documentary (CASE will help you with references any of these).

Section 2 will either conclude that there is a problem with financial reporting standards or it will conclude that there is not financial standards that are the issue

Section 3 (Approx 540 words) – Minimum of 5 references

A fair conclusion to reach from all this must be that finding the solution to this problem is not the responsibility of the accounting profession as it has done all it can reasonably do.

Are there still problems with Accounting standards? – this is a statement that you need to critically evaluate. You may have your own view on this – but it is important that you consider both views – this will give you a high mark for Breadth/Depth

Financial Reporting standards are fine as they are. Again – use your previous discussion from units 1 and 2

Yes – there is still an issue with Accounting standards – look at unit 8 to find resources to support this. You can also use your research from your discussion and units 1 and 2

Conclusion (Approx 180 words) – No new references

Specific marks will go for how you conclude in this essay