This assignment is worth 25%

PURPOSE

1. Demonstrate an understanding of the nature of the corporate entity and relevant concepts, statutory requirements and other authoritative influences that underpin accounting and corporate reporting in the Australian regulatory environment.

2. Explain the issues surrounding contemporary accounting controversies.

3. Develop and evaluate solutions for accounting problems by critically integrating and applying theoretical and technical knowledge in accounting and corporate governance.

ASSIGNMENT

As a new accounting graduate, you have just joined the financial reporting unit of JB Hi-Fi Limited (ASX: JBH), a company listed in the Australian Securities Exchange (ASX). The Chief Financial Officer (CFO) approaches you with your first task.

Research-Based Business Report Corporate Governance & Risk Management

In the latest Board meeting, directors of your company expressed concerns about issues related to corporate governance and particularly risk management. New and emerging disruptions to the global economy, such as the Covid-19 pandemic, global trade tensions, technological advances, and cybersecurity, add to the growing risks that companies have to deal with. The Board stressed that in times of crisis, good corporate governance and risk management are more important than ever. Particularly, it is noted that the Corporate Governance Council released the new edition of Corporate Governance Principles and Recommendations (the Fourth Edition) on 27 February 2019 and takes effect for a listed entity's first full financial year commencing on or after 1 January 2020. Therefore, the Board has decided to conduct a review of relevant issues.

Based on the Board's decision, the CFO asks you to prepare a business research report focusing on the following two requirements:

Requirement 1: Identify and explain TWO key issues on risk management that are related to TWO specific recommendations in the current version of the Corporate Governance Principles and Recommendations (4th Edition). One of the two key issues must focus on recommendation 7.4 related to environmental or social risks disclosure. You also need to discuss why these two issues are important and support your arguments with relevant theory and research evidence. The 4th Edition can be found on the Corporate Governance Councils website (https://www2.asx.com.au/about/regulation/asx-corporate-governancecouncil).

Requirement 2: Based on your companys most recent Corporate Governance Statement and Appendix 4G Key to Disclosures: Corporate Governance Council Principles and Recommendations, as well as evidence from other sources including research articles and media reports, critically analyse to what extent corporate governance of your company has addressed the TWO key issues that you have identified for requirement 1 and what the company should do to enhance its corporate governance concerning these two issues.

Required:

Part A: Research plan, report structure, and peer feedback (5 marks)

You are required to attend the assignment feedback session in the Week 8 class and bring the print copies of the following documents and draft work:

1) Documents based on your research about the task:

Your companys most recent Corporate Governance Statement and Appendix 4G Key to Disclosures: Corporate Governance Council Principles and Recommendations.

The sections of the Corporate Governance Principles and Recommendations (4th Edition) that are relevant to the two identified key issues on risk management according to Requirement 1.

Two research articles on corporate governance related risk management issues.

2) The draft Table of Contents of the report

3) The plan for the report, including milestones for key components, resources needed and (un)available, significant challenges identified. You are recommended to use Gantt chart, bullet points, tables, and/or graphs. (maximum 150 words)

4) The draft section discussing One of the Two identified issues according to Requirement 1.

You are NOT allowed to use bullet points. (maximum 250 words)

Assessment Criteria

Your grade for Part A will be determined by the following: (see marking rubric on Canvas)

Ability to research and find relevant documents

Ability to plan and structure the report

Engaging with respectful discussions in providing and receiving feedback

Clarity, relevance, and specificity of the feedback provided