The Corporate Sustainability Reporting Directive (CSRD) includes specific reporting mandates that
organizations must comply with. Below is an evaluation of each option:
A . True – The CSRD requires organizations to conduct a double materiality assessment, considering
both financial materiality (impact on the company’s financial position) and impact materiality (the
company’s impact on the environment and society).
B . True – Organizations reporting under the CSRD must follow a specific reporting format, which
includes structured disclosures using European Sustainability Reporting Standards (ESRS).
C . False – The CSRD applies to both EU and non-EU companies that have operations in the EU and
meet the reporting threshold criteria. Non-EU companies generating more than €150 million in
annual turnover in the EU and having at least one EU-based subsidiary or branch are subject to CSRD
requirements.
D . True – The CSRD is interlinked with other EU legislation, including the EU Taxonomy Regulation
and the Sustainable Finance Disclosure Regulation (SFDR), ensuring companies align with broader EU
sustainability goals.
E . False – Organizations must report on value chain information as part of the impact, risk, and
opportunity (IRO) management process within the ESRS framework.
F . False – The CSRD mandates external assurance for sustainability reports, starting with limited
assurance and progressing toward reasonable assurance in the coming years.
Official Reference:
Commission Delegated Regulation (EU) 2023/2772, Sections on Double Materiality, Reporting
Format, and Value Chain Information.
EU Taxonomy Regulation & SFDR – Linkages with CSRD.
