Task:In assessing Assignment 1, the marker will take into account your performance in the following areas:
Topic 1 Theories of accounting
Topic 2 Measurement in accounting
Topic 3 Accounting policy choice
Topic 4 Regulation of accounting
Topic 5 Corporate governance
Topic 6 CSR
Corporate issues in accounting theory
The main aim of this accounting theory assignment is to shed light on a strong foundation of the relationship between institutional mechanisms and corporate social responsibility (CSR) in Pakistan and New Zealand. Such is known as social disclosure. The accounting theory assignment starts with the literature that is existing in Pakistan and New Zealand and the fact that how the segment of financial reporting might be able to balance the corporate disclosure area and to trace the new theoretical discussions. The accounting theory assignment initiates with the development that is witnessed in the area of social disclosures as per the assessment of the literature. Studies that can be applied in this regard is the legitimacy theory and the positive accounting theory. As per the theory of positive accounting theory, a sound prediction is made of real-world events and this is translated to the accounting transactions (Harrison & Coombs, 2012). A number of actions like that of accounting policies, regulations will be selected and the way in which the firms will send a reaction to the new accounting standards. Business response to pressure from the stakeholders becomes more and more, such pressure has been traced as either normative or coercive. In response to such pressure on environmental, social and community, corporate governance has come out with major criteria for investment decision making (Khan et. al, 2018). As per positive accounting theory, it helps in making strong predictions of the events that pertain to the real world and translates them into accounting transactions. When it comes to the legitimacy theory, it is being used by the researchers that required explanation pertaining to social and environmental disclosures (Rudzioniene & Gipiene, 2007). As per the article, it is observed that there is a legitimacy gap and the gap happens due to the differences that exist between the expectation of the society and the performance of the firm that can be assumed not to be evaluated properly (Khan et. al, 2018).
Personal reflection : From the accounting theory assignment, I have understood why it is important to study the concepts in the light of the theories such as Positive accounting theory and the legitimacy theory. From the discussion, it came to the forefront that secondary research is important to understand the concepts in detail. Going by the application of positive accounting theory, it can be said that PAT makes the good prediction of the events that pertain to the real world. In this scenario, CSR is dealt in exhaustively (Mathews & Perera, 1999). It was simple to understand the concern regarding positive accounting theory and the legitimacy theory. An accounting policy is important when it comes to the business entity. Further, from the discussion, it was imperative that corporate regulations differ from one country to another and the institutional realities strive to produce the result that is remarkably high (Rudzioniene, 2012). This accounting theory assignment gave a strong reflection that the institutional realities vary from one jurisdiction to another. On the conduct of analysis, it became evident that there exists a vast difference between the two jurisdictions. accounting theory assignment are being prepared by our commerce experts from top universities which let us to provide you a reliable accounting assignment help service.
Harrison, J. S., and Coombs, J. E. (2012). The Moderating Effects from Corporate Governance Characteristics on the Relationship Between Available Slack and Community-Based Firm Performance. Journal of Business Ethics, Vol. 107, Issue 4, 409–422
Khan, M. , Lockhart, J.C., and Bathurst, R.J. (2018). Institutional impacts on corporate social responsibility: a comparative analysis of New Zealand and Pakistan. Journal of Corporate Social Responsibility. 3(4), 2-13
Mathews, M. R., and Perera, M. H. B. (1999). Accounting Theory / Editor J.V. Sokolova, I.A Smirnova. Moskva: Audit, JNITI
Rudzioniene, K. (2012a). Financial Accounting Theory. Vilnius: Vilnius University Press Rudzioniene, K., Gipiene, G. (2007). Financial Accounting Policy Choice in small Lithuanian