ASSESSMENT BRIEF
Subject Code and Title ACCT6007 Financial Accounting Theory and Practice
Assessment Assessment 2: Case Study
Part A) – Written Component
Part B ) - Video Presentation (5 mins +/- 10% )
Individual/Group Individual
Learning Outcomes a) Identify the underlying social and corporate imperatives that underlie the accounting conceptual framework.
b) Identify the key players in Australian financial reporting regulation and articulate the relationship between International Financial Reporting Standards (IFRSs) and Australian Accounting Standards (AASs).
c) Explain the relationship between accounting theory, the accounting conceptual framework and accounting standards.
d) Work individually and in groups to identify and apply appropriate accounting standards to a range of authentic accounting scenarios.
Submission Week 8 Sunday 11:55 PM (AEST)
Weighting 20% (Part A 15% + Part B 5%)
Total Marks 100 Marks
Context:
The purpose of the assessment is to assess understanding of the topics covered at the beginning of the trimester, specifically understanding of the AASB Conceptual Framework and accounting theories. Students are expected to utilise the knowledge covered in the first two modules as well as conduct their own research.
Instructions:
Part A
Part A consists of 3 separate tasks you need to address and combine into one assessment document. Please follow the submission instructions on Blackboard. Submit the assessment file in a Word or Pdf format including cover sheet and reference list using the APA referencing style.
Part B
Since the assessment replaces an invigilated class test, the purpose of the part B is to prove the authenticity of the student completing Part A.
• Marks will be awarded for your understanding of the subject content, as well the presentation itself.
• Visual aids can be used to support your presentation although it is required that you present in front of the camera at all times.
• Reading from notes should be avoided.
• Please introduce yourself and the purpose of your presentation.
• Important Note: Assessments missing Part B) will not be marked.
Submission Instructions:
Part A
Submit the assessment document via the Assessment link in the main navigation menu in ACCT6007 Financial Accounting Theory and Practice.
Note: JPEG files or similar cannot be opened and will not be marked.
Part B
• Upload your video file on Blackboard following the instructions contained in the link:
https://laureateau.blackboard.com/webapps/blackboard/content/listContentEditable.jsp?content_id=_387629_ 1&course_id=_4044_1
Part A Task 1
The AASB Accounting Conceptual Framework provides six qualitative characteristics, including two fundamental and four enhancing qualities.
Utilising AASB Conceptual Framework and relevant evidence, compare and contrast ‘relevance’ and ‘faithful representation’ qualities. Discuss whether there is a trade- off between the two or they can be considered equally important.
Task 2
In an article that appeared in The Australian on 28 July 2014 entitled ‘Southern Cross CFO quit over write-down’ (by Darren Davidson) it was reported that:
Mr Lewis joined Southern Cross after it issued a profit downgrade in May. The owner of the 2DayFM radio network said that it expected full-year net profit to fall 10 per cent below the previous year’s underlying NPAT of $89 million. Although the company’s gearing remains within its banking covenant of less than 3.5 times earnings before interest, taxes, depreciation and amortisation, there is concern in the market the company is slipping into a danger zone with its debt covenants. Some market analysts believe that if revenues continue to deteriorate, gearing of above three times EBITDA could trigger a breach of banking covenants. REQUIRED
Critically analyse the above scenario using Positive Accounting Theory.
Task 3
In 2016, the Australian Government established an inquiry into corporate social responsibilities with the aim of deciding whether the Corporations Act should be amended so as to specifically include particular social and environmental responsibilities within the Act. At the completion of the inquiry it was decided that no specific regulations would be added to the legislation, and that instead, ‘market forces’ would be relied upon to encourage companies to do the ‘right thing’ (that is, the view was expressed that if companies did not look after the environment, or did not act in a socially responsible manner, then people would not want to consume the organisations’ products, and people would not want to invest in the organisation, work for them, and so forth. Because companies were aware of such market forces they would do the ‘right thing’ even in the absence of legislation).
REQUIRED
Critically analyse the decision of the Australian Government not to regulate social and environmental responsibilities from the perspective of the Public Interest Theory and Capture Theory.
Part B: Video Presentation
Prepare a short video presentation explaining your approach to each task in Part A. Summarise main conclusions reached as the result of your research and analysis. You will be assessed on your understanding and application of the knowledge as well as the presentation itself.
For more details on how you will be assessed, visit the Learning Rubric at the end of the Assessment Brief.
Learning Rubrics
Assessment Attributes Fail (Unacceptable) 0%-49% Pass
(Functional)
50%- 64% Credit
(Proficient)
65%-74% Distinction
(Advanced)
75%-84% High Distinction
(Exceptional)
85% - 100%
Grade Description (Grading Scheme)
Evidence of unsatisfactory achievement of one or more
of the learning objectives of the course, insufficient
understanding of the course content and/or
unsatisfactory level of skill development. Evidence of satisfactory achievement of course
learning objectives, the
development of relevant skills to a competent level, and adequate interpretation and critical analysis skills. Evidence of a good level of understanding, knowledge and skill development in relation to the content of the course or work of a superior quality on the majority of the learning objectives of the course. Demonstration of a high level of interpretation and critical analysis skills. Evidence of a high level of achievement of the learning
objectives of the
course demonstrated in such areas as
interpretation and
critical analysis,
logical argument, use of methodology and communication skills. Evidence of an exceptional level of achievement of learning objectives across the entire content of the course demonstrated in
such areas as interpretation and critical analysis, logical argument, creativity,
originality, use of
methodology and communication skills.
Relevance and Faithful representation. Is there trade off?
15
Does not meet minimum
standard
Demonstrates no awareness of content and/or purpose of the assessment.
Meets minimum standard
Demonstrates limited awareness of content and/or purpose of the assessment.
Moves beyond minimum
standard
Demonstrates consistent awareness of content and/or purpose of the assessment.
Exceeds minimum
standard
Demonstrates an advanced and integrated understanding of content and/or purpose of the assessment.
Exceeds minimum standard and exhibits
high levels of
independence
Consistently demonstrates a systematic and critical understanding of content and purpose of the assessment.
PAT and Debt hypothesis explained
20 Limited understanding of required concepts and
knowledge
Key components of the assessment are not addressed.
Knowledge or understanding of the field or discipline.
Resembles a recall or summary of key ideas.
Often conflates/confuses assertion of personal opinion with information substantiated by evidence from the research/course materials.
Thorough knowledge or understanding of the field or discipline/s. Supports personal opinion and information substantiated by evidence from the research/course materials.
Demonstrates a capacity to explain and apply relevant concepts.
Highly developed understanding of the field or discipline/s.
Discriminates between assertion of personal opinion and information substantiated by robust evidence from the research/course materials and extended reading.
A sophisticated understanding of the field or discipline/s.
Systematically and critically discriminates between assertion of personal opinion and information substantiated by robust evidence from the research/course materials and extended reading.
Public interest theory
and capture theory
20
Does not meet minimum
standard
Demonstrates no awareness of content and/or purpose of the assessment. Meets minimum standard
Demonstrates limited awareness of content and/or purpose of the assessment. Moves beyond minimum
standard
Demonstrates consistent awareness of content and/or purpose of the assessment. Exceeds minimum
standard
Demonstrates an advanced and integrated understanding of content and/or purpose of the assessment. Exceeds minimum standard and exhibits
high levels of independence.
Consistently demonstrates a systematic and critical understanding of content and purpose of the assessment.
Video presentation
25 Specific position (perspective or argument) fails to take into account the complexities of the issue(s) or scope of the assessment.
Makes assertions that are not justified.
Specific position (perspective or argument) begins to take into account the issue(s) or scope of the assessment.
Justifies any conclusions reached with arguments not merely assertion. Specific position
(perspective or argument) takes into account the complexities of the issue(s) or scope of the assessment. Others’ points of view are acknowledged.
Justifies any conclusions reached with well-formed arguments not merely assertion. Specific position (perspective or argument) is expertly presented and accurately takes into account the complexities of the issue(s) and scope of the assessment. Justifies any conclusions reached with well-developed arguments. Specific position (perspective or argument) is presented expertly, authoritatively and imaginatively, accurately taking into account the complexities of the issue(s) and scope of the assessment. Limits
of position are acknowledged.
Justifies any conclusions
reached with sophisticated arguments.
Use of academic and
discipline conventions and sources of evidence.
Grammar, spelling and referencing
20
Poorly written with errors in spelling, grammar.
Demonstrates inconsistent use of good quality, credible and relevant research sources to support and develop ideas.
There are mistakes in using the APA referencing style.
Is written according to academic genre (e.g. with introduction, conclusion or summary) and has accurate spelling, grammar, sentence and paragraph construction.
Demonstrates consistent use of credible and relevant research sources to support and develop ideas, but these Is well-written and adheres to the academic genre (e.g. with introduction, conclusion or summary).
Demonstrates consistent use of high quality, credible and relevant research sources to support and develop ideas.
Is very well-written and adheres to the
academic genre.
Consistently demonstrates expert use of good quality, credible and relevant research sources to support and develop appropriate arguments and statements. Shows evidence of reading Expertly written and adheres to the academic genre.
Demonstrates expert use of high-quality, credible and relevant research sources to support and develop arguments and position statements. Shows extensive evidence of reading beyond the key
reading
are not always explicit or well developed.
There are no mistakes in using the APA referencing style. There are no mistakes in using the APA referencing style.
beyond the key reading
There are no mistakes in using the APA referencing style. There are no mistakes in using the APA referencing Style.