Financial Reporting Essay

2020 Words 9 Pages
Financial reporting is the communication that enables users of financial statements to assess the profitability and the financial state of a company( Scott, 2009). This information is provided within an accounting framework to ensure neutrality, comparability and understandability for all users of financial statements. The key role is to reduce information asymmetry between the managers and stakeholders such as investors, creditors, governments, employees, consumers and the general public. These stakeholders are direct or indirect participants in the capital markets from where companies vie for finances in the form of equity or credit(Scott, 2009). In Canada, financial reporting is overseen by the Accounting Standards Board(ASB) whose …show more content…
The Environmental Performance Index(EPI) is used by the United Nations to supplement global environmental targets. The Index includes large policy categories such as air pollution, water, biodiversity and habitat, productive natural resources including forestry, fisheries, agriculture as well as climate change. In EPI terms, environmental performance is the impact of activities economic and otherwise upon human health and upon the ecosystem. Based on amalgamation of difference scores, countries are awarded a standing on the EPI index from best to worst. Sustainability on the other hand is a broad term that can mean different things to different industries(Deloitte, 2010). Perhaps a better explanation is summarized by when a sustainability issue arises. Sustainability issues arise when we are faced with the risk of irreversible loss of qualities of the environment as such environmental sustainability includes actions that increase efficient use of resources, the use of renewable rather than non renewable resources and finally the redesign of processes in effort maintain and improve the environment (Sutton, 2004). In defining environmental performance and sustainability, there is admission of an inescapable fact that resources such as air, water, land, plants, and animals are identifiably affected by business

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