...is reasonably assured These criteria are just a simple guideline because depending on the client the recognition could be different. The auditor must further research a client’s transactions regarding aspects such as contracts, shipment of goods, passing of title, sales transactions and returns so they are able to make an informed judgment to determine when and how to recognize revenue. Separate Deliverables The key feature when determining revenue recognition in AOL’s software package is deciding if the sale of software and the monthly Internet services are separate deliverables. If they are not separate deliverables they should be combined and treated as a single unit of accounting. The auditor should gather information regarding if they sell the Internet service and the software separately and if the arrangement has a right to return the service and product by themselves. Based on the information given, AOL should recognize the $19.95 as one accounting transaction to record revenue from the software and the services as the services are provided because the collectability is reasonably assured. Bill & Hold The key feature to determine the recognition of revenue is that the product is being held waiting for the customer’s...
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...Acknowledgement First of all I want to thank God for guiding us the right path in doing this thesis. And to our COMPRO3 Instructor Sir. Jessie. And to my teammates for making this system possible. 1.0 Introduction Lot of things flash into our thoughts when we hear the word technology someone say it is a term that entails for being progressive but other’s won’t. Nowadays we couldn’t live without our gadgets . Because technology we can make our work easier and faster than before. Technology was one of the best invention of all the time . 1.1 Background of the Study PC World is located at Quezon City, Manila. The Pc World opens at exactly 8am to 8pm Monday to Saturday. The nature of their business are selling computer parts like Flashdrive , Motherboard , Mouse , Videocard , Memory etc. Manual Transaction are visible in PC World. It is one of the newest PC store in town. It built by Mr. Richard Galvez 1.2 Statement of the Problem -The following statements are the current problems in the PC World. 1.2.1 General Problem The current manual system gives a slower , Inaccurate and unreliable data -Problem arises on Pc world since they’re using manual on all of their transaction resulting to slow service 1.2.2 Specific Problem Manual transaction makes the processing and validating of the inventory a time consuming task. -Supplies being delivered by the Supplier was counted and processed manually,And the Supplies that are being added...
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...Contents Phase 1: Design Concepts 2 Project Description 2 Use Cases 3 Data Dictionary 4 High Level Design Components 5 Detailed Design: Checkout 7 Diagrams 7 Design Analysis 8 Detailed Design: Product Research 9 Diagrams 9 Design – Using Pseudocode 10 Product Profit 10 Phase 2: Sequential Logic Structures 11 Design 11 Product Profit 11 Phase 3: Problem Solving with Decisions 12 Safe Discount 12 Return Customer Bonus 13 Applying Discounts 14 Phase 4: Problem Solving with Loops 15 Total order 15 Problems to Solve 16 Calculate Profits 16 Rock, Paper, Scissors 18 Number Guessing Game 20 Phase 5: Using Abstractions in Design 22 Seeing Abstractions 22 Refactoring 22 Phase 1: Design Concepts Project Description Although we may be late to the game, we will nevertheless join the world of e-commerce to sell our fantastic product on the Internet. To do so, we need a Web site that will allow for commerce and sales. To be quick about it, we require the following: * Searchable inventory and shopping pages * A shopping cart * A place for customers to register when they make purchases * A checkout process to make the purchase Within this main process, there are a bunch of other needs that must be met, as follows: * We want to track the date of the last purchase a customer make so we can offer incentives and discounts based on the last time they shopped. * We will offer sales based on the number of different items that a person purchases. * We...
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...standards of service are what we all shoot for." Turn Returns into Sales: Once we sell a product or service to a customer, the last thing a retailer wants is to get that item back. However, our job is to satisfy our customers and returns and refunds are a reality of retailing. Here’s how to turn those inconvenient returns into exchanges and avoid refunds by implementing these simple customer service skills. 1.Listen and Learn: Start the return transaction by genuinely listening to the customer. This allows the customer to be heard and it’s your chance to understand the shopper’s needs. Once the customer is finished speaking, begin asking any unanswered questions to establish the reason for the return. Why is the item being returned? What is wrong with the item? What end result is the customer seeking? Once the reason for the return is known, we can offer solutions to the problem. 2.Offer Suggestions: Now that we understand why an item is being returned, we can suggest alternative products or solutions. Would the shopper like a different style, color or size? Could a similar item serve the customer’s needs? Do we offer a better product than the one being returned? If so, make those suggestions. Be sure to mention the benefits to the customer. This isn’t just a return; it’s another opportunity to sell. 3.Cross-Sell and Up-Sell: If no substitution will satisfy the customer, all is not lost. Depending on the store’s return policy, it may be possible to offer in-store credit or...
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...purchase order number 28956 for speakers made on October 9th 2012. I bought 2 Bose speakers set model number, NX694 at your store. I then returned 1 set of speakers on 17th October. I initially called up Lisa, your customer service representative, to check for your company’s return policy. She informed me that the products could be returned within 7 business days if the return is for personal reasons and that within 3 months if the product is damaged or not working. So I confirmed with her that I could return my speakers set as they were damaged. I stopped at your store to return the speakers set but James, at the returns counter refused to accept the speakers set saying it was against company policy to accept products after 7 business days. I told him about my conversation with Lisa, even then he was not ready to accept the speakers. I then called us customer service center and I was informed that Lisa was out of the office. I approached a customer service manager and explained him about the situation and was able to return the speakers. He informed me that James had recently started working at the store and so he didn’t knew about all of the company’s policies. I have always liked the wide range of products that are available at your store and that is the reason I have shopped at your store for the past 2 years. I hope none of your customers will come across this kind of situations in future and that you would thoroughly train your employees before letting them start working...
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...high-tech approach, building furniture with exact specification. The second competition is one of the largest retailers who have expanded which caused an influx of people and jobs. This paper will evaluate Guillermo processes and determine how to handle the challenges they are facing from a changing market. Guillermo’s financial interest, return, and risk and its ability to maintain its business ethic taken in consideration if they decide to continue business on their own sticking with its traditional way of making fine furniture; Adapt the new high-tech developments of producing furniture or merge with a possible alliances, taking on new services as a distributor. The financial interest for Guillermo Furniture Store is to manufacture a product that best fit the needs of the business and its customer. Examine their budget information, can be analyze to determine if the company will be more profitable by staying independent or merging with its competitor, to become more efficient they must look at their competitor’s process of production and strategize to create a product in similar fashion without driving up cost in production. To duplicate a product at a faster rate, high-tech computers can manufacture the same handcrafted quality in less amount of time. To covert from handmade to machine produced furniture, they must evaluate the cost to invest in computerized machines to...
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...of payment that they accept online and in store to make it affordable to look good on a low budget because all of the people in the target group that the are marketing towards don’t have much disposable income but are all at the time in their lives that they want to look the best they can and do spend a lot of time on the way they look and what they go out the house wearing. All the policies that Topman use and support are and have been adapted to suit the needs and characteristics of the target market. Topman offer and will always provide student discount online as well as in store. Topman outline the fact that they are really easy going on the return of items and don’t mind if you choose to return as long as the product is in the shop condition. They have also promised that they will recycle unused, unsold, and in saleable products to reduce the impact on the environment. They also outline that they try to keep prices as low as possible, this then...
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...generated by Angel customers. Strategic Alternatives 1) Encourage the Angel customers to make more frequent and in larger volume purchases a. Group bundle promos such as ‘family bundle’ or ‘barkada bundle’ promos, these are promos where customers can buy specific items at a lower price by buying in groups. b. Membership Cards to increase customer loyalty. These cards will let members avail special privileges such as free delivery, service priority, and special discounts on promo items. This will also generate profit since membership cards are for sale. 2) Discourage the Devil customers Discourage the Devil customers from their buying schemes by a. improving return policies by setting an allowable ‘return period’ which is 15 days from receipt date. However, there is an allowable ‘free’ return within the first three days. b. cutting back on promotions and...
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...part. If the water softeners are damaged while in the hands of a dealer, Sea-Soft agrees to accept the return of the damaged softeners with no obligation to the dealer. Past experience indicates that 75% of all softeners distributed on this basis are sold by the dealer. In June, 100 units are delivered to dealers at an average billed price of $800 each. The average cost of the softeners to sea-Soft is $600. Based on the expected sales, Sea-Soft reports profit of $15,000. Evaluate Sea-Soft's revenue recognition policy for its compliance with GAAP. What recommendations would you make? Sea-Soft’s revenue recognition policy is not in compliance with GAAP. Based on the facts described above, Sea-Soft grants its dealers rights of return if they are unable to sell the water softeners within 90 days or the products are damaged. Because the return of merchandise can negate benefits of having made a sale, the seller must be able to make reliable estimate of future returns, and the right of return should be specified contractually as expiring on some future date. According to SAB No. 101, revenue is recognized when “persuasive evidence of a sales arrangement exists; delivery of goods occurs through transfer of title and risk and rewards of ownership, the selling price is fixed or determinable and collectability is reasonably assured…” In this case, even thought a 25% of return within 90-day period can be estimated by Sea-Soft, there is still a high degree of uncertainty that the...
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...month or longer if being shipped from overseas. There could be delays on the delivery, or miscommunication and you can’t go to the store or get in contact with someone face to face. Usually, there is no one to ease your frustration about any delays that occur. - Shipping costs on your item can be extremely high in comparison to what you paid for the sofa, sometimes making the purchase not worth it. - Sometimes looks can be deceiving. You don't get to test the product before you buy it. What might have looked beautiful to you in picture might not live up to your expectations once received. Then what? - If it’s an online store that doesn’t have a local store in your area, returning the sofa will be a HUGE hassle. Make sure before you purchase online that you are clear on the stores return policies. Make sure that no matter how good the deal is that you have the option to return if need be. You wouldn’t want to spend 500+ dollars on furniture you can’t bring back. - Another factor to remember about returns. You will have to pay the charge for shipping it back, repackaging, and stocking in most cases, unless it’s a manufacturing problem. - People worry about fraud or theft with credit cards purchases. Make sure every website you shop from is security verified secure and protected and has this information displayed clearly on their website. Also, read the privacy policy on the website to see what they will do with your information. Do anything to make you feel secure...
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...possible. We are the world that does not sleep and is never unplugged from the electronics that run our world. It is easy to see why online shopping is becoming so popular. Online shopping and brick and mortar shopping are very similar but also very different, but both types of shopping are still vulnerable to criminals. Brick and mortar shopping is becoming more of the past and online shopping is taking its place. Brick and mortar shopping has some advantages over online shopping. When one purchases an item online, all they show is a picture and some specifications. Clothing can be difficult to buy online because it cannot be tried on, one has to buy it and hope for the best. In the store, the item can be compared to similar products. The item can be obtained immediately when shopping in a brick and mortar store. When shopping online overnight shipping is always option, it will hit you hard in the pocket book, and it will still take a day to receive the item. Brick and mortar offers many benefits for one’s shopping experience. Either brick and mortar or online shopping offer benefits to help in the search for the item desired. When shopping online the main goal is convenience or the item needed is only available online. Online shopping can be done from anywhere at any time. While waiting at a doctor’s office or for a meeting, using your smart phone to buy presents for your family. Online stores have apps for smartphones that make it so easy to access...
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...Case 04-7: Lighthouse I. Summary The Lighthouse Company is dedicated to offer services to marine or shipping companies. Their services are based on the tracking and location of the boats of their clients. In order to offer the service, Lighthouse must install an equipment of tracking boats which will have a cost of sale of $10.000,00 dollars, no reimbursable and a tracking system with a monthly cost of sale of $300,00 dollars. This way their clients will continuously receive the data on the location and routes of their boats. The clients must accept this service by means of two contracts. One that stipulates the purchase of the tracking equipment and other that stipulates the monthly fee by the tracking service, usually with duration of a year. Both contracts could have a discount, depending on the amount of services and equipment that is acquired. Lighthouse is the only producer of the tracking equipment and it does not have competitors in the present market compatible with its service. Another factor is that the clients could cancel their services at any time. II. Issue Several factors as services and sale of equipment based on GAAP, entrances of accounting, mercantile right are due to consider. • How are due to recognize the sales and income of Lighthouse, like sale equipment or sale service? • Is the tracking equipment independent of the service? • Is due to consider the income of Lighthouse like a hybrid between equipment and service, like a single...
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...was instantly requested and will show on your credit card statement within 3 business days. If you are returning the item for a refund to your original payment method, you should receive your refund within 2 weeks of the carrier having received your item. Because it takes time to get your item’s information, including the name of the item, when did you buy it, how much is it, your payment type, whether it is a new one that returns back within 30 days, and Amazon will calculate the amount of money it will return to you. After that, it will send the money return information, including the amount of money, credit card number to the bank. If you buy it by using your Amazon Gift Card, it will send the financial information to Amazon fund settlement department. 3. What do you have to do to return the headphones? Firstly, visit online Returns Center and obtain a return mailing label and return mailing authorization. Secondly, pack the items and return mailing authorization securely in a box or the package used to deliver the item. Thirdly, secure the return mailing label to the outside of the box (clear tape is usually best). Lastly, drop the package off at your designated carrier's location. Then, provide your answer to...
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...Buyer Buyer 1 Buyer Buyer When we as consumers think of making a purchases there are so many things that go through our heads, what to buy, price, location to make the purchase. These are the same thoughts that a manager has go through when they make large quantity of purchases, but there’s purchases are on a larger scale. When you are a consumer you want the quality of the product and also pricing must be reasonable. If traveling to a certain location, the question is does it take a lot of gas? Searching on the internet brings on the question, is this site safe and does this site take debit our credit? Some stores will sell refurbish items. What is the return policy if I don’t want the item? The first item I have chosen is a 70” flat screen television, the brand is Vizio it is a LED “235 ultra-slim 1080p 120HZ HDTV E7-li-A3, and the cost is only $1, 689.00 this does not include taxes and I looked around at Kmart and Target and there cost was about $30.00 dollars higher. With this Vizio Razor the resolution is very clear picture and also smooth display for the action scenes with a stunning detail and clarity. This television in the customer review is the number one choice. When choosing a television you must think of the environment, and if it the family will enjoy your choice. 2 My second choice would be shoes for the family or for you. There are billions of shoe sold all around the world from year to year. How we as consumers make the difficult choices of the right...
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...and adjustment Complaints about goods or services are inevitable and need to be investigated immediately. Steps should be taken to rectify matters if goodwill is to be retained. * Job application, offer and reference A wide variety of letters pass back and forth in the recruitment process. * Financial Collection letters, credit requests and credit rating enquiries all come under this heading. * Circulars and mailshots To promote goods, services or special events, an organisation may send a letter simultaneously to many recipients. Word processors may be used to personalise such messages. * Sales letters Attracting potential customers in future promotions, new products or services, and special writing techniques have to be adopted in order to put over the products or services in an interesting and enthusiastic way. * Congratulations, sympathy, thanks Maintaining goodwill is important in business. Thank you letters are often sent after a dinner or other function. Messages of condolence may be sent on the death of a business associate or colleague. Congratulations may be sent to associates on promotion or other achievements. FULLY BLOCKED LAYOUT WITH OPEN PUNCTUATION The fully blocked layout is now the most widely used method of display for all business documents. In the business letter, it is only necessary to leave one clear line space between each section of the letter. 1. Letterhead – Company’s name, address and telephone/telex/fax...
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