...1. Different accounting theories will provide alternative explanations about why an entity might decide to report social and environmental information. Positive accounting theory tries to make good prediction of real world events and translate them to accounting transactions, while normative theories tend to recommend what should be done. Positive theories try to explain and predict actions such as which accounting policies firms will choose and how firms will react to newly proposed accounting standards. Its overall intention is to understand and predict the choice of accounting policies across differing firms; it recognizes that economic consequences exist（ Colignon, R. and M. Covaleski. 1991）.Under PAT firms want to maximize their prospects for survival, so they organize themselves efficiently. Firms are viewed as the accumulation of the contracts they have entered into. In relation to PAT, because there is a need to be efficient, the firm will want to minimize costs associated with contracts. Examples of contract costs are negotiation, renegotiation and monitoring costs; contract costs involve accounting variables as contracts can be stipulated in terms of accounting information such as net income and financial ratios. The firm will choose the accounting policies that best acknowledge the need for minimization of contract costs （Danos, P. 1977）. PAT recognizes that changing circumstances require managers to have flexibility in choosing accounting policies. This bring forward...
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...1. Introduction Social and environmental accounting has been increasingly important in the organisation because the society has become more industrial-dominant since 1990s (Deegan and Unerman, 2006, pp. 317). Disclosure of social and environmental accounting has regarded as a core reporting method among organisations and it has been eventually separated from the statement of the financial position (Deegan and Unerman, 2011, pp. 385). In the late 1990s, triple bottom line reporting, which considers that economic, social and environmental areas are equally important (Elkington, 1997), but unfortunately, with the higher demand of more integrated reporting, it has been replaced (Deegan and Unerman, 2011, pp. 386). This responsibility also embraces the social and environmental reporting practices on the basis of the personal judgement (Deegan and Unerman, 2006, pp. 318). Social and environment reporting can be defined as the process of the communication with particular stakeholder groups within society regarding the social and environmental impacts of the organisation (Gray, Owen and Maunders, 1987, pp. ix). It has been argued that the accounting standards which deal with this social and environmental sector appear to be somewhat meagre although there are some frameworks in terms of sustainability reporting (Gray et al, 1997). Hence, there may be some claims that an accounting standard regarding social and environmental issues needs to be established while others might think that...
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...pp. 23-30. 2012. Green Accounting for Corporate Sustainability BETTINA HÓDI HERNÁDI ASSISTANT LECTURER e-mail: vgtbetti@uni-miskolc.hu SUMMARY Today, corporate sustainability is one of the greatest challenges facing companies. Therefore, this study aims to show how accounting, as the language of business and the source of information, can meet the criteria of sustainability. This article starts out by analysing the different approaches to corporate sustainability, then it proposes the reinterpretation of the most important accounting principle, the ‘going concern’ principle. In the following section it outlines the characteristics of accounting from the point of view of sustainability. Finally, it proposes ways of transforming green accounting, both in name and content, into sustainability accounting. Keywords: corporate sustainability; the ‘going concern’ principle; green accounting (environmental accounting); sustainability accounting Journal of Economic Literature (JEL) code: M41 INTRODUCTION According to the Brundtland Commission (1987, p. 43), “Sustainable development is development that meets the needs of present generations without compromising the similar needs of future generations. The concept interprets sustainable economic, ecological and social development as a unity.” Today’s companies must also comply with the challenges stemming from this approach, and therefore they must also implement economic, social and environmental goals. The reduction of pollution...
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...Social accounting(also known as social accounting and auditing,social and environmental accounting,corporate social reporting,corporate social responsibility reporting,non-financial reportingoraccounting) is the process of communicating the social and environmental effects of organizations' economic actions to particular interest groups within society and to society at large. [ 1 ] Social accounting is commonly used in the context of business, or corporate social responsibility(CSR), although any organisation, including NGOs, charities, and government agenciesmay engage in social accounting. Social Accounting can also be used in conjunction with Community-Based Monitoring (CBM). For a Toolkit on Community-Based Monitoring methodology, see www.communitymonitoring.org(Available in English and Dari/Farsi). [ 2 ] Social accounting emphasises the notion of corporate accountability. D. Crowther defines social accounting in this sense as "an approach to reporting a firm’s activities which stresses the need for the identification of socially relevant behaviour, the determination of those to whom the company is accountable for its social performance and the development of appropriate measures and reporting techniques." [ 3 ] Social accounting is often used as an umbrella termto describe a broad field of research and practice. The use of more narrow terms to express a specific interest is thus not uncommon. Environmental accounting may e.g. specifically refer to the research or practice...
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...Executive Summary This report provides an analysis and evaluation of Triple Bottom Line (TBL) accounting. Many corporations adopt and follow the novel term, along with the public increasing public concern of social and environmental performances. The research pays attention to the arguments for and against the TBL accounting in corporate accounting reporting. Many companies concur with the significance of concept to reinforce their business, yet others hold the view that TBL is accompanied by diverse debates. The findings of this review show that TBL accounting: • Refers to a good tool of the measurement of accountability and transparency • Provides a beneficial opportunity to obtain the value of a corporate name and the market share in completion • Contributes to the reduction of production cost and the conservation of environment through making use of resources efficiently • Improves corporate management and employee productivity due to the measurement of accountability and transparency • Impacts on a core competency of business and a social situation • Adjusts a methodology to measure social and environmental performances TBL accounting with economic, social, environmental activities has been some negative thus far. However, the arguments against TBL accounting, which are related to core competency, poor societies and measure standard, are still doubtful and cannot address a strong persuasive in opposition to...
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...Contents lists available at GrowingScience Uncertain Supply Chain Management homepage: www.GrowingScience.com/uscm Sustainable accounting reporting practices of Indian cement industry: An exploratory study Shagufta Khana , Vineet Chouhanb*, Bibhas Chandrac and Shubham Goswamib a Research Scholar, School of Management, Sir Padampat Singhania University, Udaipur-India Assistant Professor, School of Management, Sir Padampat Singhania University, Bhatewar, Udaipur-India, 313601 c Associate Professor, School of Management, Sir Padampat Singhania University, Bhatewar, Udaipur-India, 313601 b CHRONICLE Article history: Received September 10, 2013 Received in revised format 10 December 2013 Accepted February 25 2014 Available online February 27 2014 Keywords: Cement Industry Sustainability Financial Information Environment Accounting Reporting Sustainable Reporting Practices ABSTRACT Cement is the single most important and profitable product in the building material sector. With the economic boom, in India, Indian cement industry is a market of opportunities waiting to be tapped. However, at the same time cement industry is also experiencing a surge in demand. Production of Cement will always release carbon dioxide and change in the climate of the earth that is why despite its profitability, the cement industry faces many challenges regarding environmental concerns and sustainability issues. In order to minimize the impact of all of the above mentioned issues, it is clear that the...
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...Accounting Theory is designed to provide students with an understanding of historical and contemporary issues that influence the development of accounting thought. As it has developed accounting theory has three main approaches, the descriptive or positive, the normative and the critical viewpoints. Based on these theoretical perspectives this unit will examine current issues such as social and environmental accountability, the ethical and global dimensions of accounting and the political context within which accounting policy decisions are made. The unit will take a research focus in that the work of researchers in accounting will be discussed. Accounting Theory is designed to provide students with an understanding of historical and contemporary issues that influence the development of accounting thought. As it has developed accounting theory has three main approaches, the descriptive or positive, the normative and the critical viewpoints. Based on these theoretical perspectives this unit will examine current issues such as social and environmental accountability, the ethical and global dimensions of accounting and the political context within which accounting policy decisions are made. The unit will take a research focus in that the work of researchers in accounting will be discussed. Accounting Theory is designed to provide students with an understanding of historical and contemporary issues that influence the development of accounting thought. As it has developed accounting...
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...University of Greenwich ASSIGNMENT SUBMISSION COVER SHEET SUBJECT CODE : ACCO 1095 SUBJECT TITLE : MANAGEMENT ACCOUNTING PROGRAMME : BA H ACCOUNTING AND FINANCE SEGi ID : SCKL-000-38656 UOG ID : 000900130 LECTURER’S NAME : MR. KANTARUBAN LEARNING CENTRE : SEGi COLLEGE KUALA LUMPUR SUBMISSION DATE : 04TH OCT 2015 Introduction The main problem is the "green accounting and green eyeshades Twenty Years Later" (Thornton, 2013). Green accounting is also referred to as environmental accounting, it is designed to better measure sustainability measures to expand the welfare state and products, investment, including non-market values, and in particular, the environment-related goods and services. In addition, the green accounting is aimed at the cost and benefit of the protection of the environment and resource depletion of natural capital. It is one of two measurement values are usually not included in the national accounting system, such as the gross domestic product (GDP). Although different in view of how the green accounting, and the technology is used worldwide. Green accounting has many purposes. First, the aim is to use an isolated and elaborate on each of the environmental flow and also to the traditional securities account. By doing so, it can provide an estimate of the total expenditures for the protection of the environment, and the gross domestic product can counter with defensive expenditures. The second purpose is the...
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...1 ABSTRACT 2 CHAPTRER ONE: INTRODUCTION 3 1.0 Introduction 3 1.1 Research Background 3 1.2 Corporate Social Responsibility in China 5 1.3 Problem Statement 7 1.4 Objectives of Research 8 1.5 Scope of the Research 9 1.6 Research Questions 9 1.7 Structure of Research 9 CHAPTER TWO: LITERATURE REVIEW 11 2.0 Introduction 11 2.1 Corporate Social Responsibility 11 2.1.1 Definition of CSR 11 2.1.2 The Triple Bottom Line 12 2.1.3 The Importance of CSR in Commerce 14 2.2 Social & Environmental Accounting 16 2.2.1 Definition of Social & Environmental Accounting 16 2.2.2 Social & Environmental Accounting 18 CHAPTER THREE: THE STATUS OF SEA IN Chinese COMPANIES 23 CHAPTER FOUR: THE STATUS OF SEA IN FOREIGN COMPANIES 32 CHAPTER FIVE: CONCLUSION 38 5.1 Conclusion 38 5.2 Recommendation 39 5.3 Limitation of Study 41 5.4 Suggestion of Future Research 41 REFERENCES 43 ABSTRACT It goes without say that with the increase in globalization and standardization of commercial standards of practices, the manner in with commerce views social and environmental issues vis-à-vis financial reporting has increased. Whereas various contemporary literature seem to suggest or opine differently on the impact that Social and Environmental accounting seems to offer on the greater financial reporting of companies, developed nations are now taking a joint strategy towards...
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...a) Briefly outline what you understand by environmental accounting and environmental reporting? Throughout this essay the social accounting issue ‘environmental accounting’ will be discussed. Environmental accounting is ‘the practice of including the indirect costs and benefits of a product or activity, for example, its environmental effects on health and the economy, along with its direct costs when making business decisions.’ Also ‘the term environmental accounting is frequently used within the accounting and environmental management literatures. Environmental accounting is a broader term that relates to the provision of environmental-performance-related information to stakeholders both within, and outside, an organisation.’(epa.vic). There are many definitions for environmental accounting, however, there is no accepted single definition. Environmental accounting is also connected to Green accounting. Green accounting is seen as one of the most important aspects of environmental accounting. ‘The term, green accounting, has been around since the 1980s, and is known as a management tool used for a variety of purposes, such as improving environmental performance, controlling costs, investing in “cleaner” technologies, developing “greener” processes and products, and forming decisions related to their business activities.’(articalbase). Being a ‘green’ company it has a positive impact and makes the company or business look good. It also measures ‘carbon footprint’, how sustainable...
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...qwertyuiopasdfghjklzxcvbnmqwertyui opasdfghjklzxcvbnmqwertyuiopasdfgh jklzxcvbnmqwertyuiopasdfghjklzxcvb AF301 ACCOUNTING THEORY nmqwertyuiopasdfghjklzxcvbnmqwer & APPLICATIONS tyuiopasdfghjklzxcvbnmqwertyuiopas dfghjklzxcvbnmqwertyuiopasdfghjklzx Group Seminar Report cvbnmqwertyuiopasdfghjklzxcvbnmq TOPIC:2 – CORPORATE SOCIAL wertyuiopasdfghjklzxcvbnmqwertyuio & ENVIRONMENTAL REPORTING pasdfghjklzxcvbnmqwertyuiopasdfghj klzxcvbnmqwertyuiopasdfghjklzxcvbn mqwertyuiopasdfghjklzxcvbnmqwerty uiopasdfghjklzxcvbnmqwertyuiopasdf ghjklzxcvbnmqwertyuiopasdfghjklzxc vbnmqwertyuiopasdfghjklzxcvbnmrty uiopasdfghjklzxcvbnmqwertyuiopasdf ghjklzxcvbnmqwertyuiopasdzxcvbnm STUDENT NAME MELISA SINGH ASHVINI SAHAYAM SHABINA FARNAAZ SHANEEL PRASAD KRITHNEEL SINGH TOTORIAL DAY / TIME TUTORS NAME GROUP MEMBERS STUDENT ID NUMBER S11066108 S11065177 S11065043 S11065627 S11065615 THURSDAY 8 – 10AM MISS FAZEENA HUSSAIN TABLE OF CONTENTS DECLARATION OF ORIGINALITY ........................................................................................... 3 ACKNOWLEDGEMENT .............................................................................................................. 4 IMPORTANCE OF ACCOUNTING FOR SOCIAL AND ENVIRONMENTAL ISSUES ......... 5 INTRODUCTION .......................................................................................................................... 6 THEORETICAL UNDERPINNING ...........................................
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...Accounting, Auditing & Accountability Journal Emerald Article: Sustainability accounting and reporting: fad or trend? Roger L. Burritt, Stefan Schaltegger Article information: To cite this document: Roger L. Burritt, Stefan Schaltegger, (2010),"Sustainability accounting and reporting: fad or trend?", Accounting, Auditing & Accountability Journal, Vol. 23 Iss: 7 pp. 829 - 846 Permanent link to this document: http://dx.doi.org/10.1108/09513571011080144 Downloaded on: 04-11-2012 References: This document contains references to 57 other documents Citations: This document has been cited by 12 other documents To copy this document: permissions@emeraldinsight.com This document has been downloaded 5947 times since 2010. * Access to this document was granted through an Emerald subscription provided by UNIVERSITI MALAYSIA TERENGGANU For Authors: If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service. Information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/authors for more information. About Emerald www.emeraldinsight.com With over forty years' experience, Emerald Group Publishing is a leading independent publisher of global research with impact in business, society, public policy and education. In total, Emerald publishes over 275 journals and more than 130 book series, as well as an extensive range of online products and services...
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...Journal of Business Ethics (2009) 88:351–366 DOI 10.1007/s10551-008-9968-9 Ó Springer 2008 Determinants of Corporate Social Responsibility Disclosure Ratings by Spanish Listed Firms Carmelo Reverte ABSTRACT. The aim of this paper is to analyze whether a number of firm and industry characteristics, as well as media exposure, are potential determinants of corporate social responsibility (CSR) disclosure practices by Spanish listed firms. Empirical studies have shown that CSR disclosure activism varies across companies, industries, and time (Gray et al., Accounting, Auditing & Accountability Journal 8(2), 47–77, 1995; Journal of Business Finance & Accounting 28(3/4), 327–356, 2001; Hackston and Milne, Accounting, Auditing & Accountability Journal 9(1), 77–108, 1996; Cormier and Magnan, Journal of International Financial Management and Accounting 1(2), 171–195, 2003; Cormier et al., European Accounting Review 14(1), 3–39, 2005), which is usually justified by reference to several theoretical constructs, such as the legitimacy, stakeholder, and agency theories. Our findings evidence that firms with higher CSR ratings present a statistically significant larger size and a higher media exposure, and belong to more environmentally sensitive industries, as compared to firms with lower CSR ratings. However, neither profitability nor leverage seem to explain differences in CSR disclosure practices between Spanish listed firms. The most influential variable for explaining firms’ variation...
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...Full Cost Accounting A Course Module on Incorporating Environmental and Social Costs into Traditional Business Accounting Systems Noellette Conway-Schempf, Ph.D. Carnegie Mellon University Pittsburgh, PA 15213 1 Overview: This module describes methods for incorporating environmental information into accounting management information systems to allow financial decision makers to include environmental criteria in their decisions. The module is subdivided to permit a progression of detail concerning accounting systems and their role in encouraging the design and development, marketing, and use of more environmentally-conscious products, services, and manufacturing processes. The module is suitable for use as part of an engineering or business environmental management course, at either the undergraduate or graduate level, through the selection of various components of the module. Thus for example, in an MBA course, the early material on types of accounting systems would be unnecessary, or in an engineering environmental management course, more emphasis could be placed on the managerial/cost accounting section than on the national accounting section. The module is subdivided as follows: 1) Introduction What is accounting? Relevance of accounting and capital budgeting to environmental management and engineering issues Types of accounting systems Shortcomings of accounting systems as environmental information systems Full cost accounting 2) Incorporating...
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...Corporate Social and Environmental Disclosure in Developing Countries: Evidence from Bangladesh M. Hossain Hail Community College, Saudi Arabia, monirulhossain@yahoo.com K. Islam University of Wollongong, mksi747@uow.edu.au J. Andrew University of Wollongong, jandrew@uow.edu.au Publication Details This conference paper was originally published as Hossain, MA, Islam, KS and Andrew, J, Corporate social and environmental disclosure in developing coutries: evidence from Bangladesh, in Proceedings of the Asian Pacific Conference on International Accounting Issues, Hawaii, October 2006. Research Online is the open access institutional repository for the University of Wollongong. For further information contact Manager Repository Services: morgan@uow.edu.au. Corporate Social and Environmental Disclosure in Developing Countries: Evidence from Bangladesh Abstract This is an exploratory study designed to investigate the extent and nature of social and environmental reporting in corporate annual reports. Specifically, we examine the relationship between social and environmental disclosure and several corporate attributes in a developing country, Bangladesh. In order to do this, we have developed and utilized a disclosure index to measure the extent of disclosure made by companies in corporate annual reports. This study reports significant differences in levels of social and environmental disclosure, as measured by the mean values of the social and environmental disclosure...
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