Comparing the Disclosure for Intangible Assets of Cls and Acrux
Research report
Topic: Comparing the disclosure for intangible assets of CLS and Acrux
Details: Analyze the disclosure of intangible assets about two selected company CSL and Acrux.
Executive Summary
The Australian Securities & Investments Commission 's (ASIC) Financial Reporting Surveillance Program was purpose to improve the quality of financial reporting by reviewing the annual financial reports of two listed companies whether or not compliance with the Corporations Act and Australian Accounting Standards. Martha Miller who is the Head of the Financial Reporting Surveillance Program just intended to analyze intangible assets and related disclosures. Thus, comparing the disclosures for the intangible assets of CSL and Acrux, there are four main parts to analyze the disclosure of intangible asset.
Firstly, using the annual report of two companies stated the research and development expense and the notes of intangible assets. Then, critically evaluate whether the disclosures made by each company are consistent with paragraphs 118 – 123 and paragraphs 126 – 128 of AASB 138. According to the evaluation, the companies were focus on following paragraphs 118, 119, 120.
Moreover, compared with CSL and Acrux, the explanation of research and development expense, accounting policy used in intangible assets, the analysis of accumulated amortization and impairment were the main difference in the disclosure. Finally, provide the recommendation to advice how the company can improve the qualities of their disclosure about intangible assets such as providing sufficient information about the useful life was indefinite or finite and separating classes of intangible assets.
Conclusion：The two companies prepared their annual reports are also in high quality and followed AASB 138 requirements, however, it still exist some problems in each company that not fully satisfied the requirements. Companies should pay attention to these problems to improve their quality in
Topic: Comparing the disclosure for intangible assets of CLS and Acrux
Details: Analyze the disclosure of intangible assets about two selected company CSL and Acrux.
Executive Summary
The Australian Securities & Investments Commission 's (ASIC) Financial Reporting Surveillance Program was purpose to improve the quality of financial reporting by reviewing the annual financial reports of two listed companies whether or not compliance with the Corporations Act and Australian Accounting Standards. Martha Miller who is the Head of the Financial Reporting Surveillance Program just intended to analyze intangible assets and related disclosures. Thus, comparing the disclosures for the intangible assets of CSL and Acrux, there are four main parts to analyze the disclosure of intangible asset.
Firstly, using the annual report of two companies stated the research and development expense and the notes of intangible assets. Then, critically evaluate whether the disclosures made by each company are consistent with paragraphs 118 – 123 and paragraphs 126 – 128 of AASB 138. According to the evaluation, the companies were focus on following paragraphs 118, 119, 120.
Moreover, compared with CSL and Acrux, the explanation of research and development expense, accounting policy used in intangible assets, the analysis of accumulated amortization and impairment were the main difference in the disclosure. Finally, provide the recommendation to advice how the company can improve the qualities of their disclosure about intangible assets such as providing sufficient information about the useful life was indefinite or finite and separating classes of intangible assets.
Conclusion：The two companies prepared their annual reports are also in high quality and followed AASB 138 requirements, however, it still exist some problems in each company that not fully satisfied the requirements. Companies should pay attention to these problems to improve their quality in