Prepare a discussion “should human capital be included in the financial balance sheet?”

Assessment Item – Case Study Part 1 You will hear the most firms say: “people are our greatest asset”. However, they are rarely recorded as such in the balance sheet. Whilst human capital is not commonly recognised in the balance sheet, clearly there are some economic benefits to be obtained from the skills and attributes of certain individuals. Prior literature shows that human capital has become a significant factor determining the success of an organization and superior human capital is associated with better firm performance (Crook et al., 2011). You as an accountant, based on your interpretation of the Accounting Standards and Conceptual Framework, discuss “should human capital be included in the financial balance sheet?” Some research papers have been provided that may be helpful. You may use these references in your submission if you choose, but are also encouraged to research more broadly and find your own references. Required: 1. Prepare a discussion and address the question: “should human capital be included in the financial balance sheet?”. In your response you should address both sides of the argument (with appropriate references), before coming to your own conclusion. Please write the discussion in a professional manner and you may use accounting terminology. 2. Your discussion should be referenced appropriately. References should be provided both intext and as a post-script to your discussion. 3. Your discussion must not exceed 1,500 words. Assessment Item – Case Study Part 2 In this section, you will need to prepare a pre-recorded video interview, with a maximum of five minutes, to answer the following questions: “Firstly, can you please explain to us why human capital is related to the financial balance sheet?” “Following on from that, in your opinion, should human capital be included in the financial balance sheet? And are there any perspectives that contradict your view?” “Finally, has your perspective changed since the peer review? If so, how has the correspondence from your peers influenced this change?” Required: You are required to submit a video recording of yourself, addressing the above questions. The recording must be submitted via MyLO and must be no longer than five minutes in duration. It is not necessary for the questions to be repeated verbatim in the recording. For example, you might like to present your responses as a monologue or use your video-editing skills to incorporate the questions visually. You may complete this task in pairs (with one person acting as the interviewer) if you would prefer. If you choose to complete the task in pairs please note that the interviewer must be off-camera – it is the interviewee (you) who is being assessed, and you must record two separate videos and submit them individually – this is not a group assessment.