BSD110 ACCOUNTING
WEEK 1 HOMEWORK QUESTIONS
Readings on Blackboard:
• Chapter 28 – Issues in Financial Accounting – Henderson, Pierson, Herbohn, Artiach and Howieson 15th Edition pp912-924
BSB110 Accounting Textbook – Chapter 1 – Pages 7-10.
HOMEWORK QUESTIONS
(Need to be completed before your tutorial)
Answer the following questions:

1. ‘Corporate social responsibility’ seems to represent different things to different people. What is your understanding of the phrase ‘corporate social responsibility’?

2. Why do you think there has been an increase in voluntary corporate disclosure of social responsibility?

3. What are the three reasons why companies voluntarily disclose their contribution to social responsibility? Explain each of these.

4. Do you think that the disclosure of social and environmental information by Australian companies should be regulated?

5. What is enlightened self-interest? Can it be relied on to ensure socially responsible corporate behaviour? Give some examples of businesses that you know undertaking enlightened self-interest activities.
6. Dumpit Ltd is a household name in technological equipment, including digital equipment to download music and movies. Increased competition has prompted management to shift its manufacturing operations from Australia to an underdeveloped country, where the wages for employees are cheaper. It has recently been announced in the media that Dumpit Ltd has been paying children to work in its assembly plants at $5 per week. The retail price of its product in Australia is $200.
(a) List some of the social impacts of Dumpit Ltd moving from Australia to another country.
(b) You have decided to purchase new equipment to download music. The product offered by Dumpit Ltd is $50 cheaper than that of the nearest competitor. Would you be prepared to purchase its product? State your reasons.