...theme Revenue Recognition R evenue is usually the largest single item in financial statements, and the issues involving revenue recognition are among the most important and difficult ones that standardsetters and accountants face. In recent years, concerns related to the recognition of revenue in accordance with Accounting Standards have heightened significantly. Quite often, companies end up tweaking the Revenue numbers, besides some other reasons. Recording revenue improperly is also a commonly used ‘earnings management technique’. The ever evolving business models and the growing online economy have only compounded the issue. Earnings Management/Issues with revenue recognition have been the subject of headlines in the United States and in the other parts of the world in the last few years. -Shrikant Sortur The author is a member of the Institute as well as AICPA, working with Lason Systems Inc, MI, USA. He can be reached at shrikant_ sortur@yahoo.com Revenue Recognition Under US GAAP It is estimated that Revenue Recognition related aspects appear in close to two hundred different pieces of accounting literature; of course these pieces of literature include many nuances, some of which are unique to particular transactions. Since no comprehensive standard on revenue recognition exists, there is a significant gap between the broad conceptual guidance in the Financial International Accounting Standards (IAS) are drafted on a ‘Principles-based’ approach....
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...Management is the only way to control human beings The management is not only the only contributor in managing people, it means that they are liable for the work and performance of others, the success of management very much dependable on the performance of the team or performance of an employee. It is the responsibility of the managers to closely observe and monitor the behavior of an employee and evaluate the people on the basis of their performance, capabilities and attitude towards the work. I am Controlling the employees through Management control can be defined as a regular effort to evaluate performance to prearranged principles i.e. SOP is defined in each and every organization and the management is controlling their staff through the predetermined polices which are written in the SOP .The role of the management is to compare the employee performance with the rules, regulation and polices defined in the SOP. Other than SOP, my Management can adopt different strategies to control the employees i.e. giving high rewards to increase the performance of the employees, recognize them publicly to give motivation, confront the employee in a professional manner. Providing employees the deadlines to change their behavior towards the job and follow the employee and giving them caution such as demotion, termination and suspension. I as employee is paid to get my job in a good manner, offering the incentive will bring a change in the employee behavior, which Is a positive...
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...MANUAL OF PROCUREMENT POLICIES AND STANDARD OPERATING PROCEDURES for THE NHF PROGRAMMES of THE MINISTRY OF HEALTH And THE MINISTRY OF POPULATION WELFARE GOVERNMENT OF PAKISTAN TABLE OF CONTENTS ACRONYMS AND ABBREVIATIONS DEFINITIONS SECTION ONE GUIDELINES AND POLICIES 1. PURPOSE OF THIS MANUAL 2. INTRODUCTION 2.1 Application of this Manual 2.2 Public Procurement in Pakistan 2.3 No Application in the Provinces 3. USE OF STANDARD PROCUREMENT FORMS 4. STANDARD BIDDING DOCUMENTS 5. COMMUNICATION AND RECORDS MANAGEMENT 5.1 Authority for Correspondence and Communications 5.2 Documentary Records 5.3 Responsibility and Accountability 6. PROCUREMENT POLICY GUIDELINES 7. CODE OF ETHICS SECTION TWO 1-49 STANDARD OPERATING PROCEDURES (See List in Section Two) SECTION THREE 1-17 STANDARD PROCUREMENT FORMS (See List in Section Three) SECTION FOUR ADDITIONAL NOTES TO THE STANDARD OPERATING PROCEDURES (See List in Section Four) ACRONYMS AND ABBREVIATIONS ADB Asian Development Bank AG Auditor General AGPR Accountant General Pakistan Revenue BOC Bid Opening Committee EOI Expression of Interest EPI Expanded Programme of Immunization FPC Federal Procurement Cell GFR General Financial Rules, 1951 GoP Government of Pakistan ICB International Competitive Bidding IFI International Financial Institution ITB Instruction to Bidders LC Letter of Credit LCS Least Cost...
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...Accounting for Software Development Costs Applying SOP 98–1 Paul Flanagan Principal Consultant 1552 Lakeport Court, Virginia Beach, VA 23464 Tel: 757-373-1454 / Fax: 810-885-5312 / pflanagan@christophertechnology.com www.christophertechnology.com Disclaimer The author of this report is neither a Certified Public Accountant nor an Attorney. This report should not be construed as providing either financial accounting advice or legal advice. This report represents the views of a senior information technology executive who has significant experience in the application of these accounting guidelines in the real world of business operations. Because applying these concepts depends upon the exact circumstances of your enterprise, this report shows only guidelines which have operated successfully elsewhere, but may not be precisely applicable to your situation. For all accounting or legal advice, please consult a licensed practitioner familiar with your unique situation. Accounting for Software Development Costs Table of Contents Table of Contents Introduction................................................................................................................................... 1 Payoff.......................................................................................................................................... 1 General Applicability..............................................................................................................
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...Tatweer-ALJLH will raise project CAPEX budget approval for all renovation and construction works (Project) required by the tenant for the existing owned properties. d. Tatweer-ALJLH will earn a development management fee1 of 5% of the total project construction cost. e. Upon completion of the development work, the total development cost (TDC)2 will be bought by (transferred to) the tenant as a leasehold improvement which will be amortized in their books. f. For the project feasibility process purpose by end-user business, ALJLH will provide TDC only. 2. Existing Leased Properties: a. All existing leased properties contracts will remain under the end-user businesses (Tenant) name as a tenant. b. Tatweer-ALJLH will raise project CAPEX budget approval for all renovation and construction works (Project) required by the tenant. c. Tatweer-ALJLH will earn a development management fee of 5%. d. Upon completion of the development work, the total development cost (TDC) will be bought by (transferred to) the tenant as a leasehold improvement which will be amortized in their books. 1 Development management fees is 5% of (construction cost + soft costs (all other costs incurred on the project other than construction cost e.g. design, PM, supervision, statutory fees)), and wherever 5% fee doesn’t cover the associated cost, Tatweer-ALJLH will follow a cost plus model. 2 Total development cost (TDC)= construction cost + soft costs (all other costs incurred on the...
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...December 2011 Mini Country Report/Romania under Specific Contract for the Integration of INNO Policy TrendChart with ERAWATCH (2011-2012) Mini Country Report Thematic Report 2011 under Specific Contract for the Integration of INNO Policy TrendChart with ERAWATCH (2011-2012) December 2011 Author: Marina Ranga, Stanford University Table of Contents Preface ii Executive Summary iii 1. Innovation policy trends 1 1.1 Trends and key challenges for innovation policy 1 1.2 Innovation governance 7 1.3 Recent changes in the innovation policy mix 12 1.4 Internationalisation of innovation policies 15 1.5 Evidence on effectiveness of innovation policy 16 2. Innovation policy budgets – an overview 19 2.1 Trends in funding of innovation measures 19 2.2 Departmental and implementing agency budgets for innovation policies 2 1 2.3 Future challenges for funding of innovation policy 22 3. Thematic report: Demand-side innovation policies 23 3.1 Trends in the use of demand-side innovation policies 24 3.2 Governance challenges 30 3.3 Recent demand-side innovation policy measures 3 1 3.3.1 Sectoral specificities 3 1 3.3.2 Good practice case 3 1 Appendix A : Plan to increase the efficiency and effectiveness of RDI expenditure (Summary of provisions) 32 Appendix B : Recommendations of World Bank’s Functional Review for the reform of the Romanian RDI...
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...Total Quality Management in Construction Industry: A Pakistan Perspective ABSTRACT Purpose - The primary objective of this study is to evaluate the issue of suitability, acceptability and degree of implementation of Quality Management (QM) practices in the construction industry of Pakistan. Currently the status of adoption of QM principles particularly in this industry and more specifically in the prevailing culture and context of Pakistani environment is overwhelmingly poor which led the researcher to go for this study. Methodology/sampling - The study entails questionnaire development and the analysis of its responses from seventeen leading construction organizations operating in Pakistan during year 2012. The study also incorporates data from various secondary sources. The analysis was carried out using basic statistical tools such as mean, median and standard deviation and bar chart was employed to represent the data. Findings - The findings revealed that the concept and meaning of quality is not understood and interpreted in its true sense. The conformance to standard specifications (SOPs) is considered to be equivalent to implementation of Quality Management which is far from truth. It was also determined that general lack of awareness and untrained employees that are mostly uneducated labor is one of the major causes towards this dismal. Practical Implications - It is hoped that the outcomes of this study may provide a guideline to the owners of the construction industry...
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...Summary Nick O’Brian is a recent college graduate. He began working in the accounting department at his aunt’s software company, O’Brian Software. Nick is going over the financial statements when he recognizes some questionable revenue recognition issues. Nick proceeds to address his concerns with the chief financial officer of the company, Lee Marchetti. Lee explains to Nick how revenue recognition is broken down and that a lot of information and judgment is involved. It is also pointed out that since the company went public three years ago they have consistently received ‘clean’ opinions from external auditors. Nick admits that Marchetti strikes him as a honest man with years of experience. Out of concern for his aunt’s company he approached his aunt, who is not known for her accounting expertise, but is the CEO of O’Brian Software. After explaining his concerns she asked Nick whether or not they should present this information to the audit committee. Issues/Questions The initial question is whether or not the audit committee should be made aware of Nick’s revenue recognition concerns. As President and CEO of Softrax Corporation, Robert O’Connor, points out, this is a serious claim. It is imperative that Nick does his research before making such a claim. The underlying issue in this case is if O’Brian Software is creating ‘cookie jar’ reserves by understating profits in periods of prosperity and then creating false reserves in times the company needs a boost. The...
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...Professional Achievements (Zafar Iqbal Khan) I am a proven professional with strong human resource management and operational/administration background. I started my career from Pakistan Navy. Complete basic training and start working in executive branch. I was best player of Hockey. Was member team of division in house unit and represents my division in inter division Cup hockey tournament. My performance bring the resulting on Top position. I was represent many time from my unit. Participate in all Pakistan Navy Inter Unit Championship and bring my unit’s team on Top continuously two time. After short while I volunteer for Special Services Group training and complete it. Done sensitive assignments during my service. Got chance to work as junior instructor with Turkish and Saudi Arabian classes. Pakistan Navy groom my capabilities, give me a confidence, worked with pressure and timely deadlines. I got opportunity to work with Bell Canada Telecommunications Company who was the main builder of Telecom Systems under the Ministry of Telecom in Kingdom of Saudi Arabia. This experience change me totally and learn multi national norms. Learn working style and culture of many types of nationalities like Arabian, Canadian, British and Philippines. After finish the contract of three years come back and join M/S Al-Wakeel Corporation Lahore. My responsibility were over here Maintain contact with companies working in Kingdom of Saudi Arabia to fulfill their manpower demand from Pakistan...
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...necessary to stock them. IKEA also offers a low competitive price because of the economies of scale (30% lower than competitors) Exclusive relationship between IKEA and its suppliers, offering modern and exclusive designs for IKEA. Designers also work closely with suppliers, keeping the costs low. Ready-to-assemble kits help to stack products in shelves in order to maintain larger inventories. The cash and carry shopping formula; you can go to the rack directly to collect the product and go home to build it by yourself. Successful use of the word of mouth and the use of catalogues in order to reduce the advertising costs. IKEA has simple and plain staff levels, lowering the fixed costs and giving more freedom to its employees. This management structure also helps making decisions in a faster way. 2. What are the cultural factors that make expansion abroad in retailing difficult? What has made it possible in IKEA’s case? Ikea has encountered many problems when entering the U.S. market because it had to adapt its products and its shopping style to the American standards. IKEA had to redesign its beds because the American citizens were not buying the European size beds (Beds in America are wider than in Europe). We can see an adaptation to the American shopping culture in the installation of new cash registers to avoid long checkout lines. IKEA also modified store layout to conform American shopping styles, and now has a more generous return policy and next-day delivery...
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...WHO/IVB/05.24 ORIGINAL: ENGLISH V A WHO guide to good manufacturing pratice (GMP) requirements Part 3: Training Immunization, Vaccines and Biologicals WHO/IVB/05.24 ORIGINAL: ENGLISH V A WHO guide to good manufacturing pratice (GMP) requirements Part 3: Training Immunization, Vaccines and Biologicals The Department of Immunization, Vaccines and Biologicals thanks the donors whose unspecified financial support has made the production of this document possible. This document was produced by the Access to Technologies Team of the Department of Immunization, Vaccines and Biologicals Ordering code: WHO/IVB/05.24 Printed: April 2006 This publication is available on the Internet at: www.who.int/vaccines-documents/ Copies may be requested from: World Health Organization Department of Immunization, Vaccines and Biologicals CH-1211 Geneva 27, Switzerland • Fax: + 41 22 791 4227 • Email: vaccines@who.int • © World Health Organization 2006 All rights reserved. Publications of the World Health Organization can be obtained from WHO Press, World Health Organization, 20 Avenue Appia, 1211 Geneva 27, Switzerland (tel: +41 22 791 3264; fax: +41 22 791 4857; email: bookorders@who.int). Requests for permission to reproduce or translate WHO publications – whether for sale or for noncommercial distribution – should be addressed to WHO Press, at the above address (fax: +41 22 791 4806; email: permissions@who.int). The designations employed...
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...III. Production and Operations plan Product Design and/or Business model Key Networks -Goldsboro Commercial, Inc. (packaging) -Chocolate Lover, Inc. (chocolates) -Peotraco Industries (flour) -DW Plastic Corporation (straw) -Aquapure (water) -BRS Apartments (warehouse) -Food Bizz (stall) -SM Business Center (location) Key Partners -Emilisa Salih (General Manager) -Shepherd Busto (Operations Manager) -Kimberly Ragasa (Marketing Manager) -Charlene Sorilla (Finance and HR Manager) Key Activities -Supply the raw materials needed. -space for the further processing of raw materials (not included in stall process) -construction of the stall -stall location Key Resources - containers and foils -straws -chocolate bars -flour -water -warehouse -stall -location Value Propositions -Grab N Go snack - all-in-one -Low cost -snack food -new to the snack market, since it provides 3-in-1 snack meal. -innovative packaging -new to the customers but medium barriers to entry because of uncertainty of intellectual property (packaging based from another country) -Quality product making using technologies -Specially made for students. -Cold Drink but hot and freshly made churros, quick punch straw. Customer Relationship -friendly employees that can accommodate customers at any age. -Maintaining cleanliness in workplace -brand establishment Distribution Channels -Intramuros stall -Franchises (if any) -Schools (to be able to get in touch...
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...Dr. Vikhe Patil Foundation’s Pravara Centre for Management Research and Development SPECIALIZATION: FINANCE SEMESTER III – Aug - Nov 2014 QUESTION BANK ON DIRECT TAXATION Compiled by Mrs. Divya Y. Lakhani RESIDENTIAL STATUS 1. Mr. Jai left India for the first time on May 20, 2012. During the financial year 2014-15 he came to India once on May 27, for 53 days. Determine his residential status for A.Y.2015-16. 2. Mr. Viru comes to India for the first time, on April 16, 2012. During his stay in India up to Oct.5, 2014, he stays at Delhi up to April 10, 2014 and thereafter remains in Pune till his departure from India. Determine his residential status for A.Y. 2015-16 3. Mr. JOLLY, an Indian citizen who is appointed as senior taxation officer by the Govt. of Nigeria, leaves India, for the first time, on Sept. 26, 2013 for joining his duties in Nigeria. During the previous year 2014-15 he comes to India for 176 days. Determine his residential status for A.Y. 2014-15 and 2015-16. 4. Mr. Jack, a foreign citizen (not being a person of India origin), comes to India, for the first time in last 30 years on April 15, 2005. During the F.Y. 2010-11, 2011- 12, 2012-13, 2013-14 and 2014-15 he is in India for 130 days, 80 days, 13 days, 210 days, and 75 days. Determine his residential status for A.Y. 2015-16. 5. Mr. P was born in Lahore in 1946. He has been staying in England since 1970. He came to visit India on 03.10.2014 and returns on 30.3.2015. Determine his residential...
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...Pakistan Construction & Materials: Lucky Cement 19 December 2014 Target Price: PKR 596 Current Price: PKR 477 Stock Data Price (PKR/Share) Reuters LUKC.KA Bloomberg LUCK PA 477 Website www.lucky-cement.com 513.8 /278.4 2% 154 1,534 269 2.8 Lucky Cement Limited Company Report Growing on all fronts! We initiate coverage on Lucky Cement Limited (LUCK) with a target price of PKR596/sh, offering an upside of 25%. Our conviction for the scrip stems from i) growing cement demand in the country (5 year CAGR of 4%), ii) expanding footprint beyond national borders (Congo and Iraq), iii) increasing margins backed by cost efficiencies, iv) accumulating cash reserves, v) diversification into low risk power business and vi) growing profitability of subsidiary ICI. Factoring in the mentioned factors, our 3yr earnings (consolidated) CAGR for the company settles at 15%. Additionally, mounting cash reserves will result in continued funding of investments through internal cash generation, making a strong case for multiple expansion via continued scrip re-rating. Given a strong track record and management efficacy, LUCK stands out as a preferred long term play –BUY! Expanding beyond borders: Given limited space in the local industry, LUCK has opted to expand aboard specifically in Africa to benefit from higher demand and margins in the region. This is expected to add significantly to the bottomline of company given ~80%-100% higher margins compared to Pakistan. As per the management, Congo and...
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...SEC Staff Accounting Bulletin: No. 101 – Revenue Recognition in Financial Statements Securities and Exchange Commission 17 CFR Part 211 [Release No. SAB 101] Staff Accounting Bulletin No. 101 Agency: Securities and Exchange Commission Action: Publication of Staff Accounting Bulletin Summary: This staff accounting bulletin summarizes certain of the staff's views in applying generally accepted accounting principles to revenue recognition in financial statements. The staff is providing this guidance due, in part, to the large number of revenue recognition issues that registrants encounter. For example, a March 1999 report entitled Fraudulent Financial Reporting: 1987-1997 An Analysis of U. S. Public Companies, sponsored by the Committee of Sponsoring Organizations (COSO) of the Treadway Commission, indicated that over half of financial reporting frauds in the study involved overstating revenue. Date: December 3, 1999 For Further Information Contact: Richard Rodgers, Scott Taub, or Eric Jacobsen, Professional Accounting Fellows (202/942-4400) or Robert Bayless, Division of Corporation Finance (202/942-2960), Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549; electronic addresses: RodgersR@sec.gov; TaubS@sec.gov; JacobsenE@sec.gov; BaylessR@sec.gov. Supplementary Information: The statements in the staff accounting bulletins are not rules or interpretations of the Commission, nor are they published as bearing the Commission's official...
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