Exam 26: Accounting for Corporate Social Responsibility

The Global Reporting Initiative is:

The Global Compact is an initiative of the:

Explain how the move to sustainability accounting detracts from the entity assumption adopted in financial reporting.

A sustainability report is an example of a stand-alone social report.

It is common for 'clean-up' costs to be excluded from traditional financial reports of mining firms because this undertaking is purely voluntary.

Milton Friedman expressed the view in his book,Capitalism and Freedom,that:

Sustainable development has commonly been defined as:

The Shell Group of companies has developed a Social Responsibility Management system that may be described as:

The Global Reporting Initiative has suggested alternative views of the application of the materiality concept in social and environmental accounting,including:

The stand-alone social-responsibility reports voluntarily provided by many companies since the late 1990s include:

Discuss the development of the Equator Principles and how they are applied to project financing.

State the reasons why traditional accounting ignores externalities that make financial reports not able to satisfy the entity's corporate social reporting responsibilities.

Applying the traditional financial accounting approach will mean that an entity that pollutes local waterways until they cannot support life will report:

An externality can be defined as:

The Global Reporting Initiative Sustainability Reporting Guidelines (G3)on report content provides an overview of the categories of indicators that may be found in a sustainability report,including:

Research in corporate environmental disclosures show that entities typically disclose positive environmental information.This would be consistent with:

Which of the following statements is correct?

'Greenwash' is a term applied to environmental reports that are considered to be for the purpose of public relations rather than a balanced report of environmental impacts.

Social and environmental information are often ignored in financial reporting due to the difficulty of quantifying social and environmental costs.

Global Reporting Initiative's (GRI)Sustainability Reporting Guidelines provide guidance to best practice reporting.These include defining the report quality to contain the following qualitative attributes: