...Electric utility bills. When an electric utility customer uses electricity, the electric company has earned revenues. It is obviously impossible, however, for the company to read all of its customers' meters on the evening of December 31. How does the electric company know its revenue for a given year? Explain. According to historical data, the electricity usage usually tended to be fairly constant from month to month. The company can estimate the revenues for each month, by using historical data. Generally high fluctuation will not occur in electricity usage. We can easily estimate the monthly usage by the data of the same month last year. In this situation, if there is any inaccuracy we can adjust its estimation. Usually, the electricity usage is quite constant over time. Therefore, the company can estimate its revenues based on the data from the last year. If there is any inaccuracy, we can make adjustment in the following month. Retainer fee. A law firm received a “retainer” of $10,000 on July 1, 2006, from a client. In return, it agreed to furnish general legal advice upon request for one year. In addition, the client would be billed for regular legal services such as representation in litigation. There was no way of knowing how often, or when, the client would request advice, and it was quite possible that no such advice would be requested. How much of the $10,000 should be counted as revenue in 2006? Why? Only half of the “retainer” should be recognized. This...
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...ACCT 505 Final Exam (Package) Purchase here http://devrycourse.com/ACCT%20505/acct-505-final-exam-package Product Description 1Version 1 1. (TCO A) Wages paid to the factory maintenance supervisor are considered an example of: (Points : 5) 2. (TCO A) Rent on a manufacturing plant is an element of: (Points : 5) 3. (TCO B) Evergreen Corp. has provided the following data: (Points : 5) 4. (TCO B) Garth Company sells a single product. If the selling price per unit and the variable expense per unit both increase by 10% and fixed expenses do not change, then: (Points : 5) 5. (TCO E) Rebel Company manufactures a single product and has the following cost structure: Variable costs per unit:……………. (Points : 5) 6. (TCO F) Vagon Corporation has provided data concerning the company's Manufacturing Overhead account for the month of September. Prior to the closing of the overapplied or underapplied balance to Cost of Goods Sold, the total of the debits to the Manufacturing Overhead account was $76,000 and the total of the credits to the account was $86,000. Which of the following statements is true? (Points : 5) 7. (TCO G) The net present value (NPV) method of investment project analysis assumes that the project's cash flows are reinvested at the:………… (Points : 5) 8. (TCO G) Logan Company is considering two projects, A and B. The following information has been gathered on these projects:……….Based on this information, which of the following statements is (are) true? I...
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...International Accounting Standards Board Introduction Accounting plays a very significant role in the success of any business organization as it helps its users make decisions. Different accounting principles grew out of the divergent economic and social environments of various nations and regions. Difference among national accounting become more disconcerting when trade barriers between nations were reduced due to international cooperation developments. Efforts have increased during the past decade to move nations toward using international standards. The International Accounting Standards Board (IASB) is an organization that regulates the accounting standards which are accepted globally by almost all the countries in the world. This paper will first discuss the history of IASB. Next it will explain the structure of IASB. After that, the paper will talk about how International Financial Reporting Standards (IFRS) are created. Finally, it will describe the effort to converge IFRS with Generally Accepted Accounting Principles (GAAP). History of IASB International Accounting Standards Board was first known as International Accounting Standard Committee (IASC) which existed from 1973 to 2001. It was responsible for developing the International Accounting Standards (IASs) and promoting the use and application of these standards. After nearly 25 years of achievement, the IASC concluded that it must find a way to converge between national accounting standards and...
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...JWCL165_c10_444-505.qxd 8/12/09 7:24 AM Page 444 10 Liabilities Chapter STUDY OBJECTIVES After studying this chapter, you should be able to: 1 Explain a current liability, and identify the major types of current liabilities. 2 Describe the accounting for notes payable. 3 Explain the accounting for other current liabilities. 4 Explain why bonds are issued, and identify the types of bonds. 5 Prepare the entries for the issuance of bonds and interest expense. 6 Describe the entries when bonds are redeemed or converted. 7 Describe the accounting for long-term notes payable. 8 Identify the methods for the presentation and analysis of long-term liabilities. ✓ The Navigator Scan Study Objectives Read Feature Story Read Preview Read text and answer p. 453 p. 465 ■ ■ ■ ■ ■ p. 458 ■ Do it! p. 461 Do it! ■ p. 463 ■ ■ ■ ■ ■ Work Comprehensive p. 469 Review Summary of Study Objectives Answer Self-Study Questions Complete Assignments ✓ The Navigator Feature Story FINANCING HIS DREAMS What would you do if you had a great idea for a new product, but couldn’t come up with the cash to get the business off the ground? Small businesses often cannot attract investors. Nor can they obtain traditional debt financing through bank loans or bond issuances. Instead, they often resort to unusual, and costly, forms of nontraditional financing. Such was the case for Wilbert Murdock. Murdock grew up in a New York housing project, and always had...
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...FINANCIAL MANAGEMENT CASE STUDY: ARCADIAN MICROARRAY TECHNOLOGIES, INC. EXECUTIVE SUMMARY As an investment manager from Sierra Capital Partners, Rodney Chu is interested in purchasing a 60% equity interest of Arcadian Microarray Technologies, Inc., a biotechnology firm. The bid is currently at $40 million. The Arcadian’s managers have optimistic projections for their firms’ performance over the next 11 years. However, based on Sierra’s calculations, come up a much more conservative view. With the request of Mr. Chu, a fair bid price could be calculated along with any appropriate counterproposals. Appropriate steady state growth rates and terminal values would be included and explained. I. Objective The main objective of this paper is to exercise the terminal value of a firm. The other objectives are to acknowledge: 1. Concept of terminal value 2. Various terminal value estimators along with its advantages and disadvantages 3. The use of tax on terminal value 4. Assumption on liquidation 5. Forecast horizon for estimating terminal value 6. Constant-growth valuation model and its derivation 7. Fisher’s formula for estimating growth rate to infinity 8. Triangulation of a terminal value estimate. II. Analysis We could see in the case that the lessor was trying to understand the lessee’s point of view. Thereby, the lessee’s financing problem is the lessor’s investment problem. This perspective would be explained thoroughly...
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...Allen & Bose Insurance Services Firewall Security Project Business Requirement and proposed Solution Report CIS 343 July 10, 2013 Dr. Table of Contents Executive Summary 3 Introduction/Background and History 4 Issues faced and specific needs to be solved by installing upgrades 5 Projects Assumptions and Constraints 7 Business Requirement ….………………………..………………………………………..8 Definition of Terms ….……………………………..……………………………………..9 Project Scope...……………………………………..……………………………………10 References…………………………………………..……………………………………13 Executive Summary The objective of this paper is to educate both the senior management of Allen & Bose Insurance Inc. on the network security threats that exist with our current network design. The enclosed report presents an analysis on Allen & Bose Insurance Services current security posture and highlights the issues we have face over the past year as well as industry best practices and recommended updates we should make to our network security design that will protect the organization from the myriad of security threats that are out there. Introduction/Background and History Allen & Bose Insurance Services has become a dynamic and intricate player in the automotive and home insurance market. The company has grown from 25 employees in one office to over 225 employees in 3 offices. In the early days the computer systems that were used were on a close network of networked computing...
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...Handbook of Management Accounting Research Volume 3 Edited by CHRISTOPHER S. CHAPMAN Imperial College London, UK ANTHONY G. HOPWOOD University of Oxford, UK MICHAEL D. SHIELDS Michigan State University, USA AMSTERDAM – BOSTON – HEIDELBERG – LONDON – NEW YORK – OXFORD PARIS – SAN DIEGO – SAN FRANCISCO – SINGAPORE – SYDNEY – TOKYO Elsevier The Boulevard, Langford Lane, Kidlington, Oxford OX5 1GB, UK First edition 2009 Copyright © 2009 Elsevier Ltd. All rights reserved No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means electronic, mechanical, photocopying, recording or otherwise without the prior written permission of the publisher Permissions may be sought directly from Elsevier’s Science & Technology Rights Department in Oxford, UK: phone ( 44) (0) 1865 843830; fax ( 44) (0) 1865 853333; email: permissions@elsevier.com. Alternatively visit the Science and Technology Books website at www.elsevierdirect.com/rights for further information Notice No responsibility is assumed by the publisher for any injury and/or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any methods, products, instructions or ideas contained in the material herein. British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging-in-Publication Data A catalog record for...
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...Financial Analysis & Management Assignments 1. Discuss the extent to which the legal and professional regulatory framework of accounting ensures that corporate reports provide reliable, relevant, objective, and comparable information to users. 2. Critically evaluate the importance of discounted cash flow techniques in investment decisions. Illustrate your answer with your examples. 3. Discuss the relative importance profitability and liquidity for the survival of a business and explain how the working capital can be managed to minimise the risk of liquidity problems. Shahrzad Parhizgar Student Number: B0229JTJT1112 February 2013 Lecturer:PalanAmbikai Word Count: 2980 Financial Analysis & Management Assignments February 1, 2013 Table of Content LEGAL & PROFESSIONAL REGULATORY FRAMEWORKS ENSURING RELIABLE, RELEVANT, OBJECTIVE, AND COMPARABLE DATA ........................................................................................................................................ 3 INTRODUCTION ....................................................................................................................................................... 3 FINANCIAL INFORMATION USERS ................................................................................................................................ 3 LEGAL AND PROFESSIONAL REGULATORY FRAMEWORKS ................................................................................................. 4 FINANCIAL REPORTS...
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...Contract Administration and Change Issues Government Contract Law/LEG 505 [ June 3, 2011 ] Abstract Contract administration varies from contract to contract and contractor to contractor. There are many factors that come into play when dealing with contractors, government personnel and the demands that each party may bring to the table. The Contracting Officer must be able to handle the administration of the contract, communicate effectively with all stakeholders involved with the contract and ensure that any contractual issues are handled within the legal and federal guidelines for a timely resolution that does not affect the budget or scope of the contracts original intent. However, in the event the contract may need to be modified, the Contracting Officer needs to be fully aware of the appropriate steps to do so. Contract Administration and Change Issues The administration of a contract does not end once the contract is awarded. In all reality, the true administration happens after award and during the life of the contract. It is up to the Contracting Officer to balance the requirements of the Government and the needs of the contractor. It is their responsibility to ensure prompt payment for services rendered or products delivered and that the customer’s needs are being met as detailed in the terms and conditions of the contract. It is also the Contracting Officers role to balance the Government and customer and to ensure that all parties are being treated...
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...store or transmit electronically or photocopy any part of the study material. You must take care of your study material to ensure that it is not used or copied by anybody else. Legal action will be taken if these terms are infringed. In addition, we may seek to take disciplinary action through the profession or through your employer. These conditions remain in force after you have finished using the course. © IFE: 2011 Examinations The Actuarial Education Company CT2: Assignment X1 Solutions Page 1 Assignment X1 Solutions Answers to multiple-choice questions The following table gives a summary of the answers to the multiple-choice questions. The answers are repeated below with explanations. 1 2 3 4 5 B B C B B 6 7 8 9 10 D C B C D...
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...MODULE B Professional Ethics LEARNING OBJECTIVES | | | | | |Review |Exercise, Problems, | | |Checkpoints |and Simulations | | | | | |Understand general ethics and a series of steps for making ethical |1, 2, 3, 4 |54 | |decisions. | | | | | | | |Reason through an ethical decision problem using the imperative, | |55, 56, 57 | |utilitarian and generalization principles of moral philosophy. | | | | | |...
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...Chapter 5 REVENUE AND MONETARY ASSETS Changes from Tenth Edition The chapter has been updated. The SEC’s SAB101 Revenue Recognition tests have been added. Approach The sequence of transactions for accounts receivable and bad debts often causes difficulty; indeed, the time that one is sometimes forced to spend on this topic is all out of proportion to its importance. Students often do not understand why an Allowance for Bad Debts account is necessary at all; they do not grasp the notion that although we feel reasonably sure that some accounts will go bad, we do not know which ones they will be. Even when they do understand this, the chain of transactions involved in estimating bad debts, writing off specific accounts, and booking bad debts recovered, is complicated and not easy to follow. If experience is any guide, it is quite likely that at the time this chapter is taught the press will be describing a company that has gotten into trouble for overstating its revenue or understating its bad debt or warranty allowance. Discussion of such a situation would be interesting. Cases Stern Corporation (A) is a straightforward problem in handling accounts receivable and bad debts. MacDonald’s Farm, by contrast, has few technical calculations but provides an excellent opportunity for a realistic discussion of alternative ways of measuring revenue and of valuing assets. Joan Holtz (A) is a different type of case. It is a device for raising several discrete, separable...
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...Chapter 5 REVENUE AND MONETARY ASSETS Changes from Tenth Edition The chapter has been updated. The SEC’s SAB101 Revenue Recognition tests have been added. Approach The sequence of transactions for accounts receivable and bad debts often causes difficulty; indeed, the time that one is sometimes forced to spend on this topic is all out of proportion to its importance. Students often do not understand why an Allowance for Bad Debts account is necessary at all; they do not grasp the notion that although we feel reasonably sure that some accounts will go bad, we do not know which ones they will be. Even when they do understand this, the chain of transactions involved in estimating bad debts, writing off specific accounts, and booking bad debts recovered, is complicated and not easy to follow. If experience is any guide, it is quite likely that at the time this chapter is taught the press will be describing a company that has gotten into trouble for overstating its revenue or understating its bad debt or warranty allowance. Discussion of such a situation would be interesting. Cases Stern Corporation (A) is a straightforward problem in handling accounts receivable and bad debts. MacDonald’s Farm, by contrast, has few technical calculations but provides an excellent opportunity for a realistic discussion of alternative ways of measuring revenue and of valuing assets. Joan Holtz (A) is a different type of case. It is a device for raising several discrete, separable...
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...What is Balanced Scorecard? In the early 1990s, Balanced Scorecard was developed as a new approach to performance measurement due to troubles of short-termism and past orientation in management accounting (Kaplan and Norton 1992). Balanced scorecard is a strategic planning and management system that is widely used in business and industry, government, and nonprofit organizations to side with business activities to improve internal and external communications and monitor organization performance against strategic goals (Balanced Scorecard Basics n.d) The balanced scorecard has changed from its simple performance measurement structure to a full strategic planning and management system. The balanced scorecard has evolved from its early application as a simple performance measure framework to a full strategic planning, a simple public presentation-measuring framework to a full strategic planning (Balanced Scorecard Basics n.d).The new balanced scorecard transforms an eye-catching but unreceptive document into the "marching orders" for the organization on a daily basis. It offers a framework that provides performance measurements as well as helping planners identify what should be through and considered. It also enables executives to truly implement their policies (Balanced Scorecard Basics n.d) The balanced scorecard does not only focus on attaining financial objectives, furthermore, it emphasizes the nonfinancial objectives that an organization must accomplish to convene and...
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...Total No. of Questions : 4] [Total No. of Printed Pages : 2 [3874]-101 B. B. M. (I.B.) ( Semester - I ) Examination - 2010 INDIAN BUSINESS ENVIRONMENT (New 2008 Pattern) Time : 3 Hours] Instructions : (1) All questions are compulsory. (2) Figures to the right indicate full marks. [Max. Marks : 80 Q.1) Answer in 20 words each : (Any Ten) (1) (2) (3) (4) (5) (6) (7) (8) (9) Define Environment. Parallel Economy Causes of Regional Imbalance Economic Environment Two Examples of Topography affecting Business Infrastructure Conservation of Resources Sustainable Development Water Resource Management [20] (10) List down any two effects of Global Warming on India. (11) Mention any two examples about effect of Technology on Business Environment. (12) Kyoto Protocol (13) Noise Pollution [3874]-101 1 P.T.O. Q.2) Answer in 50 words each : (Any Two) (a) (b) (c) (d) Explain concept of Indian Business Environment. Explain in brief about Green House Effect. Describe effects of River Pollution. Mention causes of Regional Imbalance. [10] Q.3) Answer the following in 150 words each : (Any Two) (a) (b) (c) (d) Describe Impact of Climate on Business Environment. Discuss Causes of Poverty. Explain Role of Tradition in Setting of Business Development. Give brief account on types of Resources. [20] Q.4) Answer the following in 300 words each : (Any Two) (a) (b) (c) (d) Examine in detail need of Environmental Studies for Business. Explain Principles of Conservation of Resources for Sustainable...
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