Ompanies Annual Reports have become increasingly complex over the years, sacrificing understandability for complexity
In recent times many different commentators have made the following comment:
i??Companiesi?? Annual Reports have become increasingly complex over the years, sacrificing understandability for complexityi??.
You are required to write an essay discussing the above comment.
As a guide, in order to discuss the comment, you will need to:
a) Give a short explanation of the purpose of Annual Reports
b) Discuss the characteristics of information that is presented in Annual Reports, with reference to the Conceptual Framework
c) Consider why Annual Reports might have become more complex, taking into account the work of the IASB and other organisations
d) Comment on an Annual Report, providing illustrations from a companyi??s accounts that you have found (not taken from text books or accounts that you have been provided with).