2. Statutoryr reporting These questions relate to the statutory requirements of Financial Reporting. Required: 3) b) The IASB permits a choice when (i) valuing inventory, and (ii) accounting for depreciation. Briey discuss what these alternatives are, and whether you consider allowing such alternatives benefits the users of financial statements. (7 Marks) Many theories that are opposed to regulatory publishing requirements for public listed companies cite Adam Smith's famous image of the 'invisible hand\" of the \"free market'. Smith was, however, aware of the problems that might arise in an unregulated free market. Compare and contrast the alternate perspectives for and against the regulation of financial reporting, drawing on the theories discussed in workshops. (7 Marks) \"The IASB is sometimes portrayed as a self-regulating body that is lacking in democratic accountability. Some have expressed concern that the IFRS Foundation is overly exposed to private, commercial interests and has insufficient regard for the public interest."1 Explain what you consider the \"public interest\" to mean, and briefly discuss whether the structure of the IFRS Foundation, and the Accounting Standard-setting process supports their claim