Meditari : Research Journal of the School of Accounting Sciences - latest Issue
Volume 18, Issue 2, 2010
The incorporation of soft skills into accounting curricula : preparing accounting graduates for their unpredictable futuresAuthor R. De VilliersSource: Meditari : Research Journal of the School of Accounting Sciences 18, pp 1 –22 (2010)More Less
This paper explores the changing needs of employers and the business community in relation to the balance between technical and soft skills, such as communication skills, business presentation skills and other interpersonal skills. The researcher discusses the importance of soft relational skills for all business graduates, including accountants. The study further explains how soft skills can complement the technical skills taught to ensure that graduates are equipped to deal with the demands of a complex global business environment. The needs of different stakeholders, possible barriers to change and the way in which academic faculty can contribute are reviewed.
A South African study comparing the effectiveness of computer-based learning materials and face-to-face teachingSource: Meditari : Research Journal of the School of Accounting Sciences 18, pp 23 –37 (2010)More Less
This paper compares the effectiveness of in-house developed computer-based learning (CBL) materials with face-to-face teaching. Two groups of higher education students were randomly assigned to complete tutorial work in one highly structured topic of introductory accounting using either CBL materials (treatment group) or face-to-face teaching (control group). The effectiveness of both approaches was measured according to the students' performance in a class test, in relation to their prior accounting knowledge and gender. The results showed that the students with no prior accounting knowledge who completed the CBL materials achieved a significantly higher test mark than the face-to-face teaching group. However, there was no significant difference in the marks of the students with prior accounting knowledge, and there was no difference on the basis of gender. The results of this South African study correspond to results in existing literature in other countries, and contribute to the overall knowledge of the effectiveness of CBL materials with respect to prior accounting knowledge and gender.
Author J. RossouwSource: Meditari : Research Journal of the School of Accounting Sciences 18, pp 38 –56 (2010)More Less
Although the intention of the International Accounting Standards Board (IASB) is not to permit choices in the accounting treatment of similar transactions and events, International Financial Reporting Standards (IFRSs) still contain various choices of accounting treatment. Different accounting alternatives for similar transactions limit the comparability of financial information. Certain accounting policies result in differences in recognition, measurement and disclosures. This article identifies 16 such accounting policy choices and presents the descriptive empirical results on which accounting policies were in fact chosen by a sample of 157 South African listed companies, in cases where IFRSs allow a choice between alternative accounting policies. Disclosure of accounting policies is necessary for the users of financial statements to enable them to compare the financial statements of various entities in making economic decisions. The research also found a lack of disclosures relating to chosen accounting policies in limited cases.
An examination of the due process in South Africa which led to the adoption of the draft International Financial Reporting Standard for Small and Medium-sized EntitiesAuthor L.J. StainbankSource: Meditari : Research Journal of the School of Accounting Sciences 18, pp 57 –71 (2010)More Less
Differential reporting was introduced in South Africa with the enactment of the Corporate Laws Amendment Act 24 2006. Since it was urgent that the standard-setters provide limited interest companies with interim guidance as to the preparation and presentation of financial statements, South Africa adopted the International Accounting Standards Board's International Financial Reporting Standard for Small and Medium-sized Entities in its draft form.
This study looks at the development of accounting standards for small and medium-sized entities in South Africa. It also examines analyses of prior research on differential reporting and the due process of the International Accounting Standards Board on this topic, as well as the due process of the South African standard-setter. The paper provides a contextual analysis of the unique reporting environment of South African companies and concludes that adopting the draft IFRS for SMEs may have been the best option for the standard-setting body in providing relief for limited interest companies from the cost of complying with the International Financial Reporting Standards while still enabling auditors to express an opinion on the financial statements.
Applying the Canadian "reasonable expectation of profit" test to a section 80M(1)(d) reportable arrangementAuthor L-A. SteenkampSource: Meditari : Research Journal of the School of Accounting Sciences 18, pp 72 –88 (2010)More Less
A section 80M(1)(d) reportable arrangement is defined in the Income Tax Act 58 of 1962, as amended, and contains the reasonable expectation of a pre-tax profit requirement. Such an arrangement must be reported to the Commissioner of the South African Revenue Service within 60 days. Failure to do so can result in a R1 million penalty. It is submitted that this requirement is subjective because of a lack of indigenous litigation and implementation guidelines. The Canadian reasonable expectation of profit (REOP) test may be of value to formulate objective standards against which to apply the section 80M(1)(d) reportable arrangement.
The impact of the Minerals and Petroleum Resources Royalty Act on the South African mining industry : a critical analysisSource: Meditari : Research Journal of the School of Accounting Sciences 18, pp 89 –103 (2010)More Less
The Minerals and Petroleum Resources Royalty Act (MPRRA) became effective on 1 March 2010. This legislation may have a significant impact on employment, foreign investment and future exploration in the South African mining industry. This article reports on a critical analysis of the MPRRA prior to its implementation in order to identify aspects that may impact adversely on the South African mining industry and would require further research after the implementation of the MPRRA. Based on the findings, the authors recommend that the impact of the level of royalties levied as well as the mechanism to promote downstream beneficiation be researched to establish whether the legislators ought to reconsider these provisions in the light of their impact on the mining industry.