You are newly employed by Surat Global Ltd to promote their environmental approach to mining for minerals.
Question:
You are newly employed by Surat Global Ltd to promote their environmental approach to mining for minerals. In their annual report and promotional material, Surat Global Ltd states that protecting the environment while mining is one of its most important goals. This is what attracted you to your new position. Having completed an accounting subject during your marketing degree, rather than simply accepting the budget at face value, you decide to scrutinise it to see what you can learn about your new employer. You find no resources budgeted for revegetating and regenerating old mine sites, and mining practices appear to be based on minimising costs rather than minimising damage to the environment. However, you do find budgeted expenditure for lobbying politicians to grant mining rights in national parks and you are pleased to see a large amount of resources allocated to marketing the company’s positive environment image. Discuss whether what the budget communicates is consistent with the stated position on environmental issues of Surat Global and how this might affect on your continuing employment with the company.
Step by Step Answer:
Accounting
ISBN: 978-1118608227
9th edition
Authors: Lew Edwards, John Medlin, Keryn Chalmers, Andreas Hellmann, Claire Beattie, Jodie Maxfield, John Hoggett