Stewardship
Stewardship is the responsible management of resources entrusted to a person or organisation, together with reporting on their use. Directors manage the company’s assets on behalf of shareholders and explain significant decisions and results. It is a reason for accounting and accountability mechanisms.
Worked example
Directors report how they used shareholder funds to acquire equipment and how the investment performed.
Common mistake
Stewardship is not the same as the auditor’s independent opinion on the financial statements.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | AA | Direct | September 2026–June 2027 |
| ACCA | FR | Supporting | September 2026–June 2027 |