Financial reporting policy in a dynamic environment

To cope with the increasing globalisation of capital markets, financial regulators in Australia have embarked on an ambitious program to converge national accounting standards with International Financial Reporting Standards. The convergence program means a significant departure from present financial reporting policy and will necessitate substantial change by reporting entities. The effectiveness of the existing differential reporting policy is drawn into question in the light of the changes taking place. An evaluation of the perceptions of the effectiveness of the extant differential reporting model is undertaken and alternative policy approaches considered. The findings indicate that certain aspects of the differential reporting model have inherent problems not necessarily related to the recent policy change and that corrective action needs to be undertaken to maintain its relevance.

Using technology to improve peer review and collaborative conversations to benchmark academic standards

In 2010 the Australian government commissioned the Australian Learning and Teaching Council (ALTC) to undertake a national project to facilitate disciplinary development of threshold learning standards. The aim was to lay the foundation for all higher education providers to demonstrate to the new national higher education regulator, the Tertiary Education Quality and Standards Agency (TEQSA), that graduates achieved or exceeded minimum academic standards. Through a yearlong consultative process, representatives of employers, professional bodies, academics and students, developed learning standards applying to any Australian higher education provider. Willey and Gardner reported using a software tool, SPARKPLUS, in calibrating academic standards amongst teaching staff in large classes. In this paper, we investigate the effectiveness of this technology to promote calibrated understandings with the national accounting learning standards. We found that integrating the software with a purposely designed activity provided significant efficiencies in calibrating understandings about learning standards, developed expertise and a better understanding of what is required to meet these standards and how best to demonstrate them. The software and supporting calibration and assessment process can be adopted by other disciplines, including engineering, seeking to provide direct evidence about performance against learning standards. © 2012 IEEE.

Accounting for the multidimensional nature of the relationship between adult obesity and socio-economic status : the French second National Individual Survey on Food Consumption (INCA 2) dietary survey (2006–07)

The objective was to study the multidimensional nature of the relationship between adult obesity (OB) and socio-economic status (SES),
using comprehensive indices of SES taken separately or synthesised in an overall index. A nationally representative sample of adults aged
18–79 years was taken from the French second National Individual Survey on Food Consumption (INCA 2) dietary survey (2006–07).
Weight and height were measured and OB defined as BMI $ 30 kg/m². SES variables were reported in questionnaires and included
occupation, education and characteristics of household wealth. Composite indices of SES (household wealth and overall SES indices)
were computed by correspondence analysis, and relationships with OB were investigated with logistic regression analysis. In total, 11·8
(95% CI 10·1, 13·4) % of French adults were obese, without significant difference by sex. While no significant relationship was observed
in men, all SES indicators were inversely correlated to OB in women. Both education and the household wealth index were retained in the
stepwise multivariate model, confirming that different socio-economic variables are not necessarily proxies of each other regarding the OB
issue. On the other hand, ‘controlling for SES’ while including several measures of SES in multivariate models may lead to collinearity, and
thus over-adjustment. A more integrative approach may be to derive a synthetic index by including the SES factors available in a given
study. Beyond this methodological perspective, understanding how OB is related to the different dimensions of SES should help to
target the more vulnerable groups and increase the effectiveness of prevention.

Are negative perceptions of the accounting profession perpetuated by the introductory accounting course? An Australian study

This study investigates perceptions of the work of accountant:! held by first-year accounting students as part of a national survey of accounting students. First-year commerce students from five tertiary institutions were surveyed about their perceptions of the accounting profession as well as their intention to complete a major study of accounting at tertiary level. lnfluences on the formation of their perceptions formed an important part of the study. The results reported in this paper serve to illustrate that the majority of students surveyed had negative perceptions of accounting. The source of influences on perceptions indicated that perceptions were mainly derived from tertiary education experiences. As perceptions influence choice of major and career choice, the findings have important implications for accounting educators and professional accounting bodies

Dietary patterns of Australian adults and their association with socio-economic status: results from the 1995 national nutrition survey

Objective: To describe dietary patterns among men and women in the Australian population, and to explore how these varied according to socioeconomic status (SES).

Design: A cross-sectional self-report population survey, the 1995 Australian National Nutrition Survey (NNS), was used.

Setting: Private dwelling sample, covering urban and rural areas across Australia.

Subjects: Data provided by 6680 adults aged 18-64 who participated in the NNS were used in the analyses.

Methods: Factor analyses were used to analyse data from a Food Frequency Questionnaire (FFQ) completed by participants. Associations between SES and dietary pattens were assessed using ANOVA.

Results: Separate factor analyses of the FFQ data for men and women revealed 15 factors, accounting for approximately 50% of the variance in both men's and women's dietary patterns. Several gender and SES differences in food patterns were observed. Lower SES males more frequently consumed 'tropical fruits', 'protein foods', and 'offal and canned fish', while high SES males more often ate 'breakfast cereals' and 'wholemeal bread'. Lower SES females more often ate 'traditional vegetables', 'meat dishes' and 'pasta, rice and other mixed foods', while high SES females more frequently ate 'ethnic vegetables' and 'breakfast cereal/muesli'.

Conclusions: These findings contribute to a better understanding of the dietary patterns that underscore gender-specific SES differences in nutrient intakes. Analyses of the type employed in this study will facilitate the development of interventions aimed at modifying overall eating patterns, rather than specific components of the diet.

Corporate governance, board responsibilities and financial performance : the National Bank of Australia

This paper examines board responsibilities and accountability by management and Board of Directors in relation to the National Australia Bank's (NABs) performance. The NAB, an international financial service provider within the top thirty most profitable banks in the world, is compared with the Australian major banks. The evidence suggests that NABs poor performance was consistent with a lack of accountability, poor corporate governance and board dysfunction associated with fraudulent currency trading and the subsequent AUD360 million foreign currency losses. The NAB's performance is investigated by utilising accounting-based measures of profitability and cost efficiency as proxies for performance. Following the foreign currency trading losses in 2004 the NAB under-performed the other major Australian banks in terms of profits, cost to income ratio and growth in assets. In terms of profitability and cost efficiency NAB had the lowest ROE and ROA with a 19.7% fall in net profit and the highest cost to income ratio of 5 7.4% of any of the five largest banks. This case study provides an Australian example of poor corporate governance and suggests that financial institutions and regulators can learn from the NAB's experience. Failure to have top-down accountability can have significant impact on over-all performance, profitability and reputation. In particular, it suggests that management and Boards need to review their risk management procedures and regulators need to be more pro-active in their prudential oversight of financial institutions.

The moral reasoning abilities of Australian and Malaysian accounting students : a comparative analysis

If national culture is a significant determinant of ethical attitudes, it is not unreasonable to expect ethical decision-making to be influenced by one's culture. However, problems arise when the notion of right differs from one culture to another. The question addressed in this paper is whether the moral reasoning abilities of Australian and Malaysian accounting students in their final year of study differ because of their cultural upbringing. This study uses primary data collected from 34 final year accounting students (12 Australian and 22 Malaysian) enrolled in an Australian degree program. The test scores collected at the beginning and end of the academic year indicate that culture and other explanatory variables do not have an affect on students' moral judgment. The findings in this study suggest that culture as an independent variable does not influence the way accounting students analyse and resolve ethical dilemmas.

Globalising water accounting : lessons from the globalisation of financial reporting

Water management is a matter of global concern. To underpin sound management of water scarcity and quality issues requires high quality, consistent, understandable and credible information. In a world first, accounting and water industry experts in Australia have developed a system of water accounting as an accounting sub-discipline, analogous to financial accounting to guide national and intra-national decision-making. With a conceptual framework and a Preliminary Australian Water Accounting Standard in place, Australia’s approach is being evaluated internationally within the water and mining industries. Its fate as a discipline will depend upon regulatory politics as well as the intellectual and practical rigour of the system and the rate of its adoption. In this paper, we explore the application to water accounting of regulatory theories that have been valuable to gaining an understanding of financial accounting standards development. We predict the international path of the water accounting a sub-discipline of accounting, as an outcome of political forces.

Business ethics and accounting students : Australia, South Asia and East Asia

Recent corporate collapses around the world show that there are no national boundaries for these occurrences. Australian corporate collapses including HIH Insurance, One.Tel, Ansett Australia and Harris Scarfe have raised public expectations of investigation of the causes of collapses (Mirshekary, Yaftian & Cross, 2005). The main reason for the collapse of HIH was mismanagement, with an emphasis more on the directors’ personal qualities such as integrity, honesty and morality rather than tougher legislation and rules. Accounting students are our future business leaders. The teaching of ethics in the classroom to multicultural groups of students provides an opportunity to facilitate the sharing of knowledge, and to increase interaction and debate around different approaches to ethics among students from different countries.
This study uses previous literature to explain the attitudes of accounting students towards academic and business/accounting ethics at an Australian university which is a multi-campus institution undertaking programs and activities at regional, national, international levels and by distance education.
This study reports the results of cross-cultural investigations of students’ ethical perceptions on moral values, academic and accounting/business vignettes, given that all students share the same learning opportunities, knowledge of ethics and interaction with their peers and lecturers. The results indicate no significant differences in responses between the students from Australia, South Asia and East Asia.

Regulatory theory insights into the past, present and future of general purpose water accounting standard setting

Purpose – Accounting and water industry experts are developing general-purpose water accounting (GPWA) to report information about water and rights to water. The system has the potential to affect water policies, pricing and management, and investment and other decisions that are affected by GPWA report users' understanding of water risks faced by an entity. It may also affect financial returns to accounting and auditing firms and firms in water industries. In this paper the authors aim to examine the roles of the accounting profession, water industries and other stakeholders in governing GPWA. Recognising that the fate of GPWA depends partly upon regulatory power and economics, they seek to apply regulatory theories that explain financial accounting standards development to speculate about the national and international future of GPWA.

Design/methodology/approach – Official documents, internal Water Accounting Standards Board documents and unstructured interviews underpin the authors' analysis.

Findings – The authors speculate about the benefits that might accrue to various stakeholder groups from capturing the GPWA standard-setting process. They also suggest that internationally, water industries may dominate early GPWA standards development in the public interest and that regulatory capture by accounting or water industry professionals will not necessarily conflict with public interest benefits.

Practical implications – Accounting for water can affect allocations of environmental, economic, social and other resources; also, accounting and water industry professional standing and revenues. In this paper the authors identify factors influencing GPWA standards and standard-setting institutional arrangements, and thereby these resource allocations. The paper generates an awareness of GPWA's emergence and practical implications.

Originality/value – This is an early study to investigate water accounting standard-setting regulatory influences and their impact.

Accounting students' feedback on feedback in Australian universities: they're are less than impressed

Undergraduate accounting students in Australian universities are dissatisfied with the feedback that they currently receive. Recent evidence from the Course Experience Questionnaire (CEQ, a national survey of Australian university graduates) suggests that the accounting discipline ranks poorly on assessment feedback when compared to other disciplines. This finding aligns with the results of local university data, which also shows that students appear dissatisfied with feedback. Similar results can be found in other jurisdictions, as noted by the Higher Education Academy in the UK. Given the importance of feedback to enhancing students' learning, these results are of concern to accounting academics and other stakeholders, including professional accounting bodies and graduate employers. To date, few studies have sought to understand in a comprehensive manner the relatively poor performance in feedback scores in the discipline of accounting. This exploratory study seeks to address this gap by investigating the reasons underlying students' dissatisfaction. We report on students' perceptions obtained from a large survey of Australian undergraduate accounting students across 12 universities. Over 2600 students responded to the survey. Our findings indicate that accounting students value feedback that is individualised, detailed, constructive and timely, and that currently they are not receiving feedback with these attributes.

Social moderation, assessment and assuring standards for accounting graduates

Evidencing student achievement of standards is a growing imperative worldwide. Key stakeholders (including current and prospective students, government, regulators and employers) want confidence that threshold learning standards in an accounting degree have been assured. Australia’s new higher education regulatory environment requires that student achievements are benchmarked against intended programme learning outcomes, guided by published disciplinary standards and a national qualifications framework, and against other higher education providers. Here, we report on a process involving academics from 10 universities, aided by professional practitioners, to establish and equip assessors to reliably assure threshold learning standards in accounting that are nationally comparable. Importantly, we are learning more about how standards are interpreted. Based on the premise that meaning is constructed from tacit experiences, social interactions and intentional reflection on explicit information, we report outcomes of three multi-part calibration interventions, situated around judgements of the quality of the written communication skills exhibited in student work and their related assessment tasks. Qualitative data from 30 participants in the calibration process suggest that they perceive that the process both assists them both in developing a shared understanding of the accounting threshold learning standards and in the redesign of assessment tasks to more validly assess the threshold learning standards.

Does calibration reduce variability in the assessment of accounting learning outcomes?

Reliable, consistent assessment process that produces comparable assessment grades between assessors and institutions is a core activity and an ongoing challenge with which universities have failed to come to terms. In this paper, we report results from an experiment that tests the impact of an intervention designed to reduce grader variability and develop a shared understanding of national threshold learning standards by a cohort of reviewers. The intervention involved consensus moderation of samples of accounting students’ work, with a focus on three research questions. First, what is the quantifiable difference in grader variability on the assessment of learning outcomes in ‘application skills’ and ‘judgement’? Second, does participation in the workshops lead to reduced disparity in the assessment of the students’ learning outcomes in ‘application skills’ and ‘judgement’? Third, does participation in the workshops lead to greater confidence by reviewers in their ability to assess students’ skills in application skills and judgement? Our findings suggest consensus moderation does reduce variability across graders and also builds grader confidence.