Communication Information In The Economic â€Myassignmenthelp.Com

Question: Discuss About The Communication Information In The Economic? Answer: Introducation Based on my knowledge as an investor, regarding the proposal of the IASB, concerned with the effectiveness of the information that has been accumulated for the financial report, I desire to make some plans. The investments of the two different organisations namely Westpac and the ANZ are listed on the ASX are considered by me. Often it is considered that the preparation of a financial report is quite difficult based on the viewpoints of the makers themselves. In certain cases problems arise if the information has not been properly depicted. After carefully studying the 1st report I have been able to come across several areas that can be improved for the better presentation. They can also be thought of for the better representation. The proper link of information needs to be created. The highlight of the connection of proper disclosure is essential (Hope, Thomas Vyas, 2013). In certain cases it is found that the investors do not basically understand the need for the valuable information which the annual report contains. It can be said that sometimes certain differences are bound to exist in case of the two organisations. The fiscal reports need to be standardised by nature. It can be said only after the correct analysis of the annual report that it complies with very less number of principles in case of both the companies. Suitable communication of the information regarding the annual report of ANZ bank as well as Westpac is necessary according to me. I have also become familiar with the concept of the seven rules that are mentioned in the discussion paper. The proper analysis in case of both the companies matches very few principles and also lacks the majority. The proper presentation of the financial data is extremely important. The banks by nature are financial institutions and therefore it is necessary for them to prepare the clear disclosure of the liquidity risks as also the risks of credit. No sort of segmental analysis is done by the ANZ banks while the same is done by Westpac. It is important for the renowned banks to disclose the information properly. Basel incorporation is essential for the strengthening of the banking industry (Deegan, 2013). The financial statements were incomplete in the sense that they did not provide much information regarding the credit or the liquidity risks. The Basel incorporation is nothing but an inclusive set of reformative measures. There is proper information about tiers in case of Westpac but ANZ bank has no such information. Those areas which need proper thought are not disclosed (Ball, Jayaraman Shivakumar, 2012). The best possible option for the economic institutions is to use the pictorial or the graphical representations for the presentation of the financial data in the annual reports. No matter whatever form of narrative is used, the graphs are the best form of representation of information. This is because the pictorial representations do not let the information get redundant as the narrative disclosures do. The majority of the IASB is needed to put the most to work which can make it comparable as well as entity specific. The effectiveness of the communication of information can be improved by the use of the correct formatting based on the concept of numerous stakeholders. Several reports have been published by the fiscal institutions depending on the use of the graphs as well as the fiscal report. I can recommend the proper utilisation of formatting in order to effectively put forward the information. In case the data is analysed well no sort of problems will be encountered by the investors regarding the effective communication of the important information. For this case, the effective communication is important and the proper representation of the data is also important. The financial information of the different time periods needs to be properly done and implemented (Nobes, 2014). Finally, I can recommend that, some principles of aiming at the correct communication should be incorporated by the particular organisations. It is only after the correct analysis of the fiscal report of both the companies that some of the effective principles can be incorporated with regard to the entity specificity. The proper utilisation of the formatting is also important. The proper understanding as well as the reporting is also important References: Ball, R., Jayaraman, S., Shivakumar, L. (2012). Audited financial reporting and voluntary disclosure as complements: A test of the confirmation hypothesis.Journal of Accounting and Economics,53(1), 136-166. Deegan, C. (2013).Financial accounting theory. McGraw-Hill Education Australia. Hope, O. K., Thomas, W. B., Vyas, D. (2013). Financial reporting quality of US private and public firms.The Accounting Review,88(5), 1715-1742. Nobes, C. (2014).International Classification of Financial Reporting 3e. Routledge.