Financial Accounting Theory. Assignment 2 Essay

Financial Accounting Theory. Assignment 2 - Essay Example While accounting for sole trader and partnership are taken up only for the purposes of tax reporting, corporate accounting is widely shared across the world so that the information can be accessed by the various users who may be affected by such information. Naturally, with a wide user base, if the reporting is not done on certain specific guidelines, interpretations may widely differ thereby destroying the very purpose of reporting. To avoid such discrepancies, a framework of concepts have been developed which bind the information into understandable statements with the underlying obligation of â€Å"relevance, objectivity and feasibility† (Anthony & Reece, 1994). These concepts combined with the three golden rules of accounting viz. Personal, Real and Nominal form the language which conveys the same meaning to all the people (Shukla, Grewal and Gupta, 2008). A small description of these concepts would give a bird’s eye view on the basics of accounting language: Dual Aspect Concept: Any income is an outcome of some benefit foregone called the expense. As such, any asset is the result of liability undertaken to acquire that asset. The equation is Asset = Liabilities +Owners’ equity. Accounting Period Concept: Financial reporting has to be done for a particular period of time, usually for a year. All transactions which take place in that year have to be recorded in the books of that period. However, due to the increasing diversity of the nature of transactions, it becomes imperative that a periodical review of the set standards is taken up so that the book-keepers do not face any confusion while recording such transactions. For this sake, International Accounting Standards Committee (IASC) and such account standards periodically to guide the users towards a standardized version of financial statements. After 2004, it was decided that issue of new standards are to be done only in compliance to the International

LEADERSHIP Term Paper Example | Topics and Well Written Essays - 2000 words

LEADERSHIP - Term Paper Example In this context, it can be said that having open heart requires leaders to stimulate and encourage others for taking a chance to foster desired changes. On the other hand, having open determination necessitates leaders to take risks and brave steps. Essentially, making a positive difference in the professional context requires executing the unconventional aspects. Every challenge includes confrontation of status quo. This denotes that in order to make positive differences, leaders will need to experiment the unconfirmed aspects, dug deep in the implicit aspects and challenge the unrestrained parts (Wren, Hicks and Price 3-47). THESIS STATEMENT Focusing on this aspect, the paper discusses how a leader in a professional context can challenge the status quo and make a positive difference. The objective of the paper is to identify the challenges which can be faced by a leader while making the difference. Furthermore, the paper also intends to develop a plan for changing the present profe ssional context. In line with this aspect, the paper further provides examples of two exceptional leaders in the field of politics who had made positive differences in their field namely Franklin Roosevelt and George Washington. PLANNING FOR CHANGE AND IMPROVEMENT IN PROFESSIONAL CONTEXT In the professional field, change has become a common mode of operations for most of the organizations. The change initiatives are intended to improve the performance of organizations. One of the key skills required for a leader to commence such changes is ‘context thoughtfulness’, i.e. the capability to understand the context and accordingly plan methods for change which would be effective for such a context. Successful change necessitates context-based approach. In the professional context, there are several approaches which require the consideration of a leader such as change type and management style. A common way of describing the type of change is to syndicate speed related to cha nge with the level of change. In accordance with speed, change can be reactive or proactive. Reactive context is a type of context where organizations require undertaking certain changes instantly due to a crisis situation. On the other hand, proactive context is a context which is related with long-run strategic development. In this aspect, the planned change is based on proactive context, i.e. the planning would be made for developing the context on a long run basis. This type of change in the professional context is referred as system change i.e. implementing more sophisticated technology in the workplace. This change will definitely lead to changes in policies, processes and job roles of people in the organizations. The key reason for change is to enhance the benefits of an organization with respect to more productivity and effectiveness (Hailey and Balogun 153-178). Successful change requires changes from status quo to future state. Following is the plan for changing status quo in professional context: Demonstrating the Change: This is a phase in which a leader requires demonstrating various ways to change ‘status quo’. In order to shape the behavior of people effectively towards change, values of change will be expressed to everyone within the organization. The value will comprise both individual