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Explain the difference between (PAT) and normative accounting theory (NAT) and the factors that led to the development of PAT of accounting policy choice


Subject Code: Acct 304 Subject Name: Accounting Theory 
Assessment Title: Individual Assignment 
Format: Essay 
Word count: 2000 words ±10% words (excluding references and appendices) 
Weighting: 35% 
Due Date: 18th May 2017 23.00 hours 
Assessment Description 
You are required to complete the assessment task noted below as a word document and submit your answer electronically through turn it in, within LEO; Instructions are on LEO. 
Any work which has been copied or shared among students will result in a Fail grade for all students concerned. This assignment must be in your own words and not copied directly from any source. 
Please choose one topic out of the topics listed below and write an essay. 
Please keep in mind that a significant proportion of your marks will be weighted how well you integrate your research into your essay. 
TOPIC 1: Positive accounting theory 
-Explain the difference between (PAT) and normative accounting theory (NAT) and the factors that led to the development of PAT of accounting policy choice. Use examples where appropriate to do so.In setting accounting standards which of these accounting theories (positive or normative) would be applied? Explain your answer clearly giving reasons for your choice. 
TOPIC 2: Sustainability and environmental accounting 
During a Government inquiry, several years ago, a leading accounting body, made a submission into corporate social responsibility. It showed that that while there was strong public support (over 78%) and shareholder support (above 85%), for making businesses provide social and environmental reporting. These results were not reflected in opinions held by business leaders, who had just over 50% support. The leading accounting body felt that compulsory reporting would not enhance the value of the information provided and create unnecessary regulation. -Given that sustainability reporting is not mandatory, preparing such reports is simply a waste of resources.- 
Discuss this statement, and explain what advantages do companies think they have in issuing sustainability reporting? 
TOPIC 3: Regulation of financial accounting: 
In an article discussing relevance IFRS to developing countries by Chand and White (2007), they state that, while the forces of globalisation and convergence are moving accounting practices towards a unified or at least harmonised regulatory framework for financial reporting, this is unlikely to best serve the diverse interests of the disparate user groups of financial reports. What do you understand by harmonisation as opposed to standardisation in relation to financial accounting? Explain your answer using examples where appropriate to illustrate your point. 
Marking Criteria 
Maximum marks 
Introduction 5 
Discussion 20 
Conclusion 

Presentation (referencing, spelling, grammar, spacing, proper use of tables, figures, etc.) 

Total 
35 
APPENDIX 
Rubric – Individual Assignment 
ILO s Criteria Standards 
Below Expectations Meets Expectations Exceeds Expectations 
Level 1 (e.g. F) Level 2 (e.g. P) Level 3 (e.g. C) Level 4 (e.g. D) Level 5 (e.g. HD) 
LO1 Content and development Does not answer question. 
Content is incomplete. 
Does not reference any course readings; 
-Major points are not clear and /or persuasive. Partially answers question; 
Content is not comprehensive and /or persuasive. 
Minimal reference to 
course readings 
Major points are addressed, but not well supported. 
Research is inadequate or does not address course concepts. 
Content is inconsistent with regard to purpose and clarity of thought. Answers question adequately. Content is comprehensive, and 
accurate; 
Good reference to course readings; 
Major points are stated clearly and are generally supported. 
Research is adequate, timely (not ancient) and addresses course concepts. 
Content and purpose of the writing are clear. Content is covered very well, accurate, and persuasive. 
Course readings play comprehensive role in making points/developing arguments. 
Major points are stated and are well supported. 
Research is very good, timely (incorporates news/current events) and addresses course concepts. 
Content and purpose of the writing are clear. Content is comprehensive, accurate, and persuasive. 
Course readings play comprehensive role in making points/developing arguments. 
Major points are stated clearly and are well supported. 
Research is excellent, timely (incorporates news/current events) and addresses course concepts. 
Content and purpose of the writing are clear 
LO6 Organisation and structure 
Organization and structure detract from the message o the writer. 
Introduction and/or conclusion is missing. 
Paragraphs are disjointed a 

Assignment is Structure of the Poor 
assignment is not easy to f follow. 
Introduction is missing or, if provided, does not preview major points. 
nd lack transition of thoughtsParagraph transitions need improvement. 
Conclusion is missing, or if Structure of the assignment is clear and easy to follow. 
Introduction provides sufficient background on the topic 
Paragraph transitions are 
. present and logical and maintain the flow of thought throughout the paper. 
Structure of the assignment is clear, easy to follow and interesting to read. 
Introduction provides and sufficient background information on the topic and previews major points. 
Paragraph transitions are present and logical and maintain the flow of thought Structure of the assignment is clear, easy to follow and interesting to read. 
Introduction provides an abundance in background information on the topic and previews major points. 
Paragraph transitions are 
inadequate/excessive in length. provided, does not flow from the body of the paper. 
Assignment is over/ under word length Conclusion is logical and flows from the body of the paper. 
Assignment is the appropriate length as described for the assignment throughout the paper. 
Conclusion is logical and flows from the body of the paper and 
is impacting on its final message. 
Assignment is the appropriate length as described for the assignment present and logical and maintain the flow of thought throughout the paper. 
Conclusion is logical and flows from the body of the paper and is impacting on its final message 
Assignment is the appropriate length as described for the assignment. 
LO1 & 2 Referencing Citations and references are not provided. 
There are mistakes in using the Harvard style for referencing. 
Assignment provides citations, but they are incorrectly prepared. 
There are no mistakes in using the Harvard style for referencing 
Citations and references are used appropriately. 
There are no mistakes in using the Harvard style for referencing. 
Citations and references are used appropriately. 
There are no mistakes in using the Harvard style for referencing. 
Citations and references are used appropriately. 
There are no mistakes in using the Harvard style for referencing. 
LO1 & 2 Grammar, 
Punctuation & 
Spelling Assignment contains numerous grammatical, punctuation, and spelling errors. 
Language uses jargon or conversational tone. Assignment contains few grammatical, punctuation and spelling errors. 
Language lacks clarity or includes the use of some jargon or conversational tone Rules of grammar, usage, and punctuation are followed; spelling is correct. 
Language is generally clear and precise; sentences display some varied structure. Rules of grammar, usage, and punctuation are followed; spelling is correct. 
Language is clear and precise; sentences display mostly varied structure. Rules of grammar, usage, and punctuation are followed; spelling is correct. 
Language is clear and precise; sentences display consistently strong, varied structure.

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