Question

Integrated reporting differs from traditional financial reporting as integrated reporting: Focuses on the historical accounting data. Addresses the accounting information needs of investors, lenders and creditors only. Focuses on 6 capitals being financial, manufactured, intellectual, human, social and natural capitals. Does not address externalities (e.g. the environment, communities).

Answer 1

Answer : (c)Focuses on 6 capitals being financial, manufacture, intellectual,human ,social ,natural capital.

Explanations :

Integrated reporting is a new area of corporate reporting which focuses on value addition process of organisation. It includes both financial and non finanacial matters responsible for value addition in the organisation. integrated reporting consist of 6 framework as mentioned in the above answer.

Traditional reporting focuses on historical accounting data whereas integrated reporting includes both financial and non finanacial datas.

Traditional reporting repots to only most important stakeholders such as investors creditors, etc.. wheareas integrated reporting includes a wide variety of stakeholders as it involves a sense of social responsibility.

Eventhough traditional reporting reports to internal users and external users, they doesnot necessarily address externalities with a sense of social responsibility as compared to integrated reporting.

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