...degree and certifications, a person can get a certificate in accounting in one year. An associate degree in two years, a bachelors in four years, a master’s in six, and doctoral in eight years. For any of these accounting degrees a person has to attend college classes. With a certificate, associate and bachelors a person can get their certification as Certified Public Account (CPA) the CPA test consist of four tests. A master’s degree a person can get there Certified Management Account (CMA), and Certified internal auditor (CIA) with a doctoral in accounting a person can go into researchers or teaching (Different Accounting Degrees, 1999). Auditor, there are internal and external auditors, and internal auditors work as a full-time or part- time employee, their job is to find ways for the company to save money. External auditors are hired to make sure their financial reports are factual, or by an agency, government or investors, to make sure the company is following regulations. If the auditor files...
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...Individual Assignment – David Jones Limited 1. (a) DJS is a public company that issues shares to the general public and is a separate legal entity. (b) The income statement shows tax being deducted directly from company profit. The equity section show contributed equity instead of owners or partners’ equity. Also retained earnings after dividends or allocation to another equity account. 2. (a) Net assets and total equity have the same dollar value of $775,704,000. (b) Equity is the residual interest in the assets of the entity after deducting all its liabilities. 3. The finanical statements include the assets, liabilites and results of its subsidiaries incorporated in Australia. 4. The interest bearing liabilities comprises bank overdraft and unsecured bank loans. Overdraft and bank loan expiring in 15 December are reported as current liabilitis and bank loans expiring in 15 December of 2014 and 2016 respectively are reported as non-current liabilities. 5. (a)Contributed equity, reserves and retained earnings are reported under Company’s equity’s section. Contributed equity is the amount of total purchased ordinary shares. Retained earnings are the sum of profit retained in the entity after dividends payout. The share-based payment arises on the grant of share optons to employees and executives under share option plan and the cash flow hedge reserves. (b) Total equity of 775 millions in 2012 and 785 millions in 2011 are reported. (c)...
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...Running head: XBRL: THE NEW REPORTING XBRL: The New Reporting Julie Mercer Strayer University Chapter One Introduction This chapter consists of research ideas relating to eXtensible Business Reporting Language or XBRL, also how the American Institute of Certified Public Accountants (AICPA) and the Securities and Exchange Commission (SEC) are moving towards this type of reporting. The chapter consists of context of the problem, statement of the problem, research question and sub-questions, significance of the problem, research design and methodology, and organization of study. The chapter will also include a tentative reference list. Context of the Problem There is a time limit as to when an organization has to report financials to the SEC. There are several forms that are required to be filed to the SEC by public organization, for the purpose of this research paper we will focus on quarterly statements (10-Q) and yearly statements (10-K). For the 10-Q the organization has forty-five days, after each of the first three quarter ends to file the report with the SEC and ninety days, after the fiscal year end. (Yuille, n.d.) Given the time-frame organizations have to report the quarterly earnings, it would seem to be enough, but let us look at an organization that has an enterprise resource planning (ERP) system, along with Hyperion Financial Manager (HFM). The ERP system captures data from all the locations, if the organization has more...
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...Toyota | | Lean Changed the Auto Industry Introduction In order for any business to succeed, the business needs a strong leader. Taiichi Ohno, Toyota’s businessperson and engineer, led the implementation of Lean during the 1950’s and 1960’s. Prior to Ohno leadership, he learned the auto industry from Toyota founder Kicchiro Toyoda. In the post World War II recession, Toyota was near bankruptcy, and workers went on strike. In 1950, Toyota began to restructure their company and settle the strike. In the settlement, Toyoda and other top executives resigned (1). After the strike, Toyota utilized Lean to save their company from bankruptcy. In the process of developing Lean, Toyota became a leader in the auto industry. They sold 10.23 million vehicles in 2014, which ranked them number one in global sales (15). The report show and pinpointed how Toyota developed and used Lean Accounting and Manufacturing to become the number one seller of automobiles. The Development of Toyota Production System Taiichi Ohno, the primary architect, and his consultant Shigeo Shingo designed the Toyota Production System (TPS). The TPS emphasizes on avoiding any waste. Toyota lacked resources to invest in new production equipment or carry inventory. The TPS concept is the anti economies of scale. Cho and Taiichi preached this concept to their employees as they transformed into a lean organization. They could only afford to purchase the exact amount of materials needed to produce...
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... Hence, as a method to support managers needs to meet stockholders expectations, a number of tools and methods have been created. Essentially, the problem is there are so many strategic management analysis tools choosing the right one is challenging. Research on strategic analysis is not abundant, despite the numerous reviews on the subject matter. It should be noted that all of the authors of existing reviews state that strategic analysis is the premise of any strategic plan. Before we go any further, one must first define what is strategic management analysis. Strategic management analysis is how management analyzes business procedures and the process of evaluating the business environment within which an organization operates as part of a process of developing long-term goals (Q Finance, 2011). Hence, the essential method in...
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...from 1962 to 1967. The original complex was comprised of three venues: Dorothy Chandler Pavilion, Mark Taper Forum, and Ahmanson Theatre. In 2003, the Music Center added the Walt Disney Concert Hall to there list of venues. Other venues that are part of the Music Center include: outdoor theaters, plazas, and gardens. The Music Center campus covers 12 acres in downtown Los Angeles. The largest venue is the Dorothy Chandler Pavilion, which seats approximately 3,200 audiences. Followed by the Walt Disney Concert Hall, Ahmanson Theatre, and Mark Taper Forum. According to the organization’s Form 990, their mission is to be “A leader at the cultural heart of Los Angeles County, the Performing Arts Center of Los Angeles County brings to life one of the world’s premier arts destinations by creating opportunities for arts participation, enabling compelling programming and providing first class facilities and services.” The audited financial statements and Form 990 will be used to analyze the financial health and position of the Performing Arts Center of Los Angeles. SARBANES OXLEY ACT The Sarbanes Oxley Act of 2002 required a number of disclosures, including information on internal control mechanisms, corrections to past financial statements, and material off-balance sheet transactions. The Act also requires companies to disclose information on material changes in the operations or financial situation of the...
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...the equity method of accounting for investments Chapter Outline I. Three methods are principally used to account for an investment in equity securities along with a fair value option. A. Fair value method: applied by an investor when only a small percentage of a company’s voting stock is held. 1. Income is recognized when dividends are declared. 2. Portfolios are reported at fair value. If fair values are unavailable, investment is reported at cost. A. Consolidation: when one firm controls another (e.g., when a parent has a majority interest in the voting stock of a subsidiary or control through variable interests, their financial statements are consolidated and reported for the combined entity. A. Equity method: applied when the investor has the ability to exercise significant influence over operating and financial policies of the investee. 1. Ability to significantly influence investee is indicated by several factors including representation on the board of directors, participation in policy-making, etc. 2. According to GAAP guidelines, the equity method is presumed to be applicable if 20 to 50 percent of the outstanding voting stock of the investee is held by the investor. Current financial reporting standards allow firms to elect to use fair value for any investment in equity shares including those where the equity method would otherwise apply. However, the option, once taken, is irrevocable. After 2008, an entity can make...
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...Company History TD bank for more than 150 years, has been providing excellent customer service .They have a model of wowing the customer. This wow Factor has bin embedded in the the Td culture since the beginning the bank.The bank first opened in 1852 as Portland Savings Bank in Portland, Maine. Later on grew through many mergers and became Peoples Heritage Bank in 1983. The opportunity for expanstion came up ,as Peoples Heritage Bank, by going through some acquisitions, there growth grew deeper into New England and took the name Banknorth. In Cherry Hill, New Jersey-based company called Commerce Bank was turning heads and getting a lot of attention. The customers that they had already were turning into fans as America’s Most Convenient Bank. Commerce Bank was Founded in 1973,The founder Vernon Hill was a CEO of a well know food chain called Burger King. Commerce Bank rapidly grew over the next 35 years into Philadelphia. New york ,south florida and Washington DC. Since the CEO was from burger king he brought many of his traditions to Commerce. For example longer house and being customer friendly and giving them what customer want. In this model commerce , began winning new customers with WOW! service and convenience. Bank north, In 2004 began to caputure the attention of many other banks. In doing very well and being one of the top 10 banks in the Unites states. In doing this it grabbed the attention of TD Bank group of Toronto. TD bank group shortly after became a large...
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...Disclosures This IAS contains amendments resulting from the adoption of Commission Regulations (EC) No. 2238/2004 of 29 December 2004 , Nr. 2237/2004 of 29 December 2004, No. 2236/2004 of 29 December 2004 and No. 108/2006 of 11 January 2006. Objective 1. The objective of this IFRS is to require entities to provide disclosures in their financial statements that enable users to evaluate: (a) the significance of financial instruments for the entity’s financial position and performance; and (b) the nature and extent of risks arising from financial instruments to which the entity is exposed during the period and at the reporting date, and how the entity manages those risks. 2. The principles in this IFRS complement the principles for recognising, measuring and presenting financial assets and financial liabilities in IAS 32 Financial Instruments: Presentation and IAS 39 Financial Instruments: Recognition and Measurement. Scope 3. This IFRS shall be applied by all entities to all types of financial instruments, except: (a) those interests in subsidiaries, associates and joint ventures that are accounted for in accordance with IAS 27 Consolidated and Separate Financial Statements, IAS 28 Investments in Associates or IAS 31 Interests in Joint Ventures. However, in some cases, IAS 27, IAS 28 or IAS 31 permits an entity to account for an interest in a subsidiary, associate or joint venture using IAS 39; in those cases, entities shall apply the...
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...Discussion paper Do you agree with the concept that there is only one social responsibility of business- to use it's resources and engage in activities to increase it's profits so long as it stays within the rules of the game, which is to say, engages in free and open competition without deception or fraud? I feel that businesses have an obligation when it comes to social responsibilities to not only act ethically but to act responsibly when it comes to all business engagements. I don`t agree with the Idea of a business being created just for the idea of making money but I believe that the core of each business should be to improve the lives of others and their surroundings. If the cocept of others are placed in the heart of each business and if the businesses abide by it, then the amount of deception, fraud, and the lack of ethics that may be found in business today will dramatically decrease.I don`t think that there is only one social responsibility of a business but there are a few responsibilities that businesses should take in and apply. I can`t think of all the responsibilities because it can change do to the nature of the business, but a couple things that should always be the priority for all businesses are to take care of the workers and the customers. If the business can keep their workers and the customer happy, then it will be a foundation for a successful business."A firm that consistently fulfills its social obligations makes itself a desirable member of the community...
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...BestJet B: The European budget airline industry: origins, growth, market and competition May 2006 __________________________________________________________________ Allan Kinross prepared this case. It is intended to be used as a basis of class discussion rather to illustrate the effective or ineffective handling of an administrative situation Introduction to the European budget airline industry After 9 years of spectacular growth and success, at the beginning of 2006 the European low cost budget airline sector still faced a number of challenges. Though the industry had consolidated with easyJet’s acquisition of Go and Ryanair’s takeover of Buzz, every month in the new millennium seemed to see the start up of new budget airlines and new routes or bases being announced. There were over 75 in autumn 2004. Leading players, easyJet and Ryanair, had orders between them for over 300 aircraft requiring both to more than double in size in the face of growing competition from new entrants, a fight back by established airlines and powerful tour operators. In the two and a half years to October 2004, average seat prices had continued to fall, and Ryanair had not managed to sell all of its ‘free’ seats on offer in special promotions. Revenues were under attack from extreme overcapacity and costs were hit by high fuel prices. In the future, would there be enough (profitable) growth for all, and where would that growth...
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...33, No. 2, Summer 2002 pp. 298–318 Firm financial condition and airline price wars Meghan Busse∗ A firm that knows that cutting price may trigger a price war must weigh present versus future gains and losses when considering such a move. The firm’s financial situation can affect how it values such tradeoffs. Using data on 14 major airlines between 1985 and 1992, I test the hypothesis that firms in worse financial condition are more likely to start price wars. Empirical results suggest that this is true, particularly for highly leveraged firms. The article also explores which firms join existing price wars and finds that a firm is more likely to enter a price war the greater the share of its traffic on routes served by the price-war leader. 1. Introduction Economists’ explanations for price wars differ from those of other observers of the airline industry. Most economic models of price wars, which apply more generally than to the airline industry alone, have emphasized the role of fluctuations in demand. Changes in demand alter the expected profitability of undercutting a tacitly collusive equilibrium; depending on the assumptions made, the models predict that price wars occur either when demand booms or when it slumps. Industry insiders, meanwhile, identify the financial troubles of an individual carrier as an important motivation in initiating the fare cuts that trigger price wars. For example: [Mark Daugherty, airline industry analyst for Dean Witter] said weaker airlines are...
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...2 Graduate Thesis By Teia R. Merring Copenhagen Business School Strategic and financial analysis and valuation of B&O 0 1 Executive Summary................................................................................2 Introduction............................................................................................6 1.1Motivation.................................................................................................................. 6 1.2Problem Specification................................................................................................ 8 1.3Problem Identification................................................................................................ 8 1.4Problem Handling .................................................................................................... 10 1.5Structure and Methodology...................................................................................... 12 1.5.1Introduction and Presentation........................................................................... 12 1.5.2Strategic Analysis............................................................................................. 12 1.5.3Financial Statement Analysis ........................................................................... 13 1.5.4Prognoses and Budgets..................................................................................... 14 1.5.5Valuation.......................................
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...1 CHAPTER 21 VALUING FINANCIAL SERVICE FIRMS Banks, insurance companies and other financial service firms pose particular challenges for an analyst attempting to value them for two reasons. The first is the nature of their businesses makes it difficult to define both debt and reinvestment, making the estimation of cash flows much more difficult. The other is that they tend to be heavily regulated and the effects of regulatory requirements on value have to be considered. In this chapter, we begin by considering what makes financial service firms unique and ways of dealing with the differences. We then look at how best we can adapt discounted cash flow models to value financial service firms and look at three alternatives – a traditional dividend discount model, a cash flow to equity discount model and an excess return model. With each, we look at a variety of examples from the financial services arena. We move on to look at how relative valuation works with financial service firms and what multiples may work best with these firms. In the last part of the chapter, we examine a series of issues that, if not specific to, are accentuated in financial service firms ranging from the effect of changes in regulatory requirements on risk and value to how best to consider the quality of loan portfolios at banks. Categories of financial service firms Any firm that provides financial products and services to individuals or other firms can be categorized as a financial service firm. We...
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...ACCT504 Week 1 Objectives (JAN15) 1 of 2 https://devry.equella.ecollege.com/file/c3a70b64-5599-41cb-be31-a270... Print Given an annual report, the student should be able to read, understand, analyze, and explain a A company’s Balance Sheet to other decision makers and use the knowledge and skills to make business decisions. Key Concepts Understand the environment of financial reporting in the United States and explain the importance of generally accepted accounting principles. Explain the meaning and purpose of a balance sheet and the items that appear in the balance sheet. Determine the interrelationship among the basic financial statements. Analyze the relationship between certain items in the balance sheet and the income statement with the help of ratio analysis. Evaluate the way that different assets, liabilities, and stockholders' equity items are presented in a balance sheet. Given an annual report, the student should be able to read, understand, analyze, and explain a B company’s Income Statement to other decision makers and use the knowledge and skills to make business decisions. Key Concepts Explain the meaning and purpose of an income statement and the items that appear in the income statement. Determine the interrelationship among the basic financial statements. Analyze the relationship between certain items in the balance sheet and the income statement with the help of ratio analysis. Evaluate the way that different revenues, expenses...
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