Receiving And Referring: Investigation Statutory Reports Essay

Question:

Discuss about the Receiving and Referring for Investigation Statutory Reports.

Answer:

Introduction:

We would like to represent on you on the company accounting system made on the recommendation and feasibility report. In this report I am discussing about the company sources of findings as well as company’s policy on corporate governance as well as also provide the suggestion.

Funding is backbone of any organization and it helps the organization to achieve its set of objective in most effective and successful manner (Bragg, 2009). Therefore the funding associated with the finance is also most vital for the company Rio Tinto that is based upon the global mining and metals groups focused upon mining, funding, marketing as well as processing the Earth’s mineral resources. So that to obtain the objective in most vital as well as effective manner the organization implementing both internal as well as external sources of finances. The organization work on the high and effective quality project delivering company leading returns across the wide range of supplies. Therefore to obtain such quality of product the organization implementing internal sources of findings such as owner’s findings as well as existing cash reserves as well as future earnings from processing ore supplies. The main benefits of implementation of such type of sources of finances are that the company does not require repaying the interest.

As per the evaluation and analysis of the financial statement it has been seen that company requires funds for development and well as extension objective with not raising the share capitals. Therefore to generate better fund the company borrow fund from the general public with the help of implementing issuing the certificates at fixed rate. Making funds such type of techniques known as debenture. As per the company financial report 2015, it has been obtained that the company obtaining funding from the equity share as well as quoted funds that have been considered in terms of debenture is approximately $157 million. Apart from that from the findings it has been occurred that the company achieving money in terms of funds from the other investment and loans is $206million in same years. Moreover to raise the funds in effective manner the organization implements Bank loans as sources of finances. As per the financial reports it has been occurred that the organization funded by the international financial institution and export credit agencies on behalf of Canada, The united state and Australia along with the fifteen commercial financial banks. The main benefits of implementation of the bank loan are that it is easily available for the company and also bank provides long time to payment the loan. Moreover, within the bank loan the interest rate does not change with the time.

As per the financial report of the company it has been also seen that company implementing the equity shares that are considered one of the effective sources of funds for big organization. The main objective of these sources of finances is the sharing of the organization ownership rights thereby the present stakeholder’s right adulterated to some extent. From the given information it has been occurred that in the year of 2015 the organization achieve equity shareholder’s funds was $24970 whereas in year of 2014millon the company obtained $25143million respectively. The organization Rio Tinto announced in year of 12 June 2015 the company introduced bounds by Rio Tinto finance limited. Bonds are distinguish from the other debt financing this is due to fact that the organization identifies the interest rate as well as when the organization will pay back. Therefore from the analysis and evacuation of the funding procedures it has been seen that the company effectively uses the sources of finance.

The organization Rio Tinto implements the unified procedures to corporate governance to incorporate with obligations and rules assorted with three effective principles stock exchanging listing in US, Australia and UK. As per the evaluation and analysis it has been seen that the organization effectively implementing company’s policy on corporate governance within the company financial. Management of the organization is responsible for maintaining and establishing effective internal control over financial reporting. The organization’s published financial statement for the purpose of external reporting in agreement with IFRS i.e. international financial reporting standards. Moreover the rules and regulations that are relevant and incorporated by the management within the financial statement are following; the company provides reflect and accurate transactions as well as disposal of assets in effective and successful manner. Provide effectible or reasonable assurances in which the transaction of the company is recorded as important to permit peroration of the company financial statements with IFRS (Wo?ltje, 2008).

Moreover the management of the company is prepared its financial statement true and fair at the end of financial year. Within the financial statement the company incorporates UK regulations that help them to represent the report fair and correct. The company making the remuneration report that contains the information needed by Regulation 11, schedule 8. Apart from that the organization also implements the accounts and reports regulation 2008 as amended as well as Australian corporation act 2001 that helps them to make its financial statement clear and effective (Mallett, Kendall and Boyd, 2007). Apart from that the management of the company is effectively responsible for maintaining effective accounting system in agreement with the Australian and UK regulations (Chapman, 2005).

Therefore from the evaluation it has been said that the company effectively incorporating company’s policy on CG within the financial statement. Sustainability is the main purpose of any organization to run the business for long time therefore that the company effectively maintains sustainability with incorporation of norms and regulations. To maintain the sustainability in most effective manner the management designed effective strategies that would helps them to manage both environmental and social risks, overseeing organization’s management procedures and standards as well as obtaining compliance with the environmental and social resposibities. The sustainability committee members evaluates that the company effectively maintains rules and regulations associating with safety, relationship with neighboring committee as well as health employment practicing.

In order to achieve better transparency as well as gain better performance the company corporate governance agencies provide the internal assurance which involves the group audit and assurance. The main role and resposibities of group audit and assurance is to offers objective and independence assurance on the effectiveness and adequacy of the group’s procedures for internal control, risk management as well as government with suggestion to enhance the efficiency of the company procedures and system. Moreover internal audit methodology effectively align with the international auditing standards established by the IIA i.e. institute of internal auditors (riotinto, 2017). The organization Rio Tinto uses the external service provider services. The procedures and policies act in accordance with the IIA’s standards on self-government (Pickett, 2011).

In annual report the management of the company effectively stated that the company with provision C2.1 of the code that they effectively and sufficiency carried out vigorous and healthy assessment of the principle issues suffering the groups containing those that would intimidate its company model, solvency and performance.

The main objective of the Rio Tinto’s vision and objective is to be an organization that is have a high regard and respected for delivering effective business values as the company’s trusted partners. In order to sustain the business performance and execution for long the organization manages risks using risks assessment process, build long term values for their stakeholders as well as also maintain license to perform. In order to sustainable development the company implements the global reporting initiative guidance on completeness and materiality that would helps them to run business for long time. Moreover, to sustainability development in effective manner the company manage environmental regulations successful manner. The company Rio Tinto dealings its performance next to environmental norms by rating and tracking incidents in accordance with their actual compliance and environmental influence with the help of implementing five severity categories including medium, major, minor, catastrophic and serious (Wong, 2010). In order to manage the environmental in most effective and sufficient manner the company effectively implements the Australian national greenhouse and energy reporting regulations ACT 2007.

Therefore from the analysis and findings it has been obtained that the company effectively maintain government rules and regulation in its financial statement as well as effective maintain the environmental act that helps them to run the business in smooth as well as profitable manner.

References

Bragg, S. (2009). Accounting control best practices. 1st ed. Hoboken, N.J.: Wiley.

Chapman, G. (2005). Report on Australian Accounting Standards tabled in compliance with the Corporations Act 2001 on 30 August and 16 November 2004. 1st ed. Canberra: Commonwealth of Australia.

Mallett, J., Kendall, K. and Boyd, B. (2007). ASIC's processes for receiving and referring for investigation statutory reports of suspected breaches of the Corporations Act 2001. 1st ed. Canberra: Australian National Audit Office.

Pickett, K. (2011). The essential guide to internal auditing. 1st ed. Chichester, West Sussex: Wiley.

riotinto. (2017). riotinto. [online] Available at: [Accessed 21 Jan. 2017].

Wo?ltje, J. (2008). IFRS. 1st ed. Mu?nchen: Haufe Verlag.

Wong, W. (2010). The risk management of safety and dependability. 1st ed. Boca Raton, Fla.: CRC Press.

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