...Case Study Report Case 3-45 The requirement of independence, both independence in appearance and independence of mind, is presented by the rules of the AICPA code of professional conduct. Every practitioner in public accounting profession is required to keep their independence and objectives; however, independence area is so complex that not all specific situation can be answered by AICPA. Instead, in most situations, the public accounting firm and auditors should make their own decisions by professional judgments to avoid possible threatens to independence. This is a case study report of Case 3-45, which is the best case to get a better understanding of these difficult situations that relate to auditors' independence. This report is presented in three parts: case introduction, case 1 analysis, case 2 analysis, conclusion and further study. In case introduction part, the firm and case overview is briefly introduced. In following two parts, case 1 analysis and case 2 analysis, include the detailed case overview, analysis according to AICPA rules and references, and opinions over each case. In the final conclusion and further study, the report reaches to the conclusion of Case 3-45 and develops the further study suggestions. Case Introduction In Case 3-45, the main office of a public accounting firm, charged by partners, has met two difficult situations that may impair the firm’s independence. Don Moore and Mary Reed are two professional staff, who, respectively, are involved...
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...believe we gained a deeper understanding of queuing theory and have obtained invaluable experience from this exercise. Rank | Team | Cash Balance ($) | 1 | bigmoney1 | 1,346,320 | 2 | techwizard | 1,312,368 | 3 | makebigmoney | 1,141,686 | 4 | beaters123 | 895,405 | 5 | donothing | 588,054 | 6 | mas001 | 472,296 | Exhibit 1 : OVERALL TEAM STANDING Decisions Made A summary of the rationale behind the key decisions made would perhaps best explain the results we achieved. . Decision 1 Day | Parameter | Value | 54 | station 1 machine count | 2 | When the exercise started, we decided that when the lead time hit 1 day, we would buy one station 1 machine based on our analysis that station 1 takes the longest time which is 0.221 hrs simulation time per batch. (Exhibit 2: Average time per batch of each station). As day 7 and day 8 have 0 job arrivals, we used day 1-6 figures to calculate the average time for each station to process 1 batch of job arrivals. Base on the average time taken to process 1 batch of job arrivals, we were able to figure out how many batches each machine can handle. day | number of jobs arriving each day | utilization of station 1, averaged over each day | utilization of station 2, averaged over each day | utilization of station 3, averaged over each day | 1 | 2 | 0.433 | 0.079 | 0.019 | 2 | 2 | 0.272 | 0.158 | 0.108 | 3 | 1 | 0.398 | 0.106 | 0.165 | 4 | 0 | 0 | 0.052 | 0...
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...your past trend, but also prepares the firm for the future improvements. This sets a challenge in establishing the methods to source for the information, and how to use this information to improve a business position . Data mining is the sourcing of any hidden and predictive business information from a relevant database. It involves a thorough analysis of data gained from various sources, manipulating it into useful tool - a tool that leads to raising business revenue, saving on the running costs or both (http://en.wikipedia.org/wiki/Data_mining). Data mining tool incorporates analytical tools that helps build a useful predictive relationship. Data mining tools helps get answers as it scrutinizes data from different perspective to a precision, than any expert could do. Interplay of data mining process with software and hardware utilities is a big step in data analysis. The integration of artificial intelligence and databases heightens the data-mining goal as the information is translated into human-understandable format. This brings a chain link between databases and other data processing and management systems. When data mining and analysis are paired with decision support system, appropriate responses to the summarized data is given, which serves as a determinant to business’ future position. Data mining is a powerful tool in business modeling. Business modeling...
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...Other for Holidays. For holidays Chocolate is the second best choice. | Alcohol | Tobacco | Tea | Chocolate | Other | Best choice | Corporate | 35 | 22 | 28 | 19 | 22 | Alcohol | Birthday | 16 | 6 | 9 | 62 | 43 | Chocolate | Holiday | 22 | 13 | 23 | 38 | 42 | Other | Gender vs. gift bought per yearAnalysis shows that female buy more gifts per year than male (see the mean below).Group Statistics | | Gender | N | Mean | Std. Deviation | Std. Error Mean | gift_bought_per_year | male | 40 | 2.15 | 1.099 | .174 | | female | 45 | 2.87 | 1.079 | .161 | The outcome above is supported by the table below as the ‘Sig. (2-tailed)’ values are < 0.05 and therefore statistically significant. | t-test for Equality of Means | | t | df | Sig. (2-tailed) | Mean Difference | Std. Error Difference | 95% Confidence Interval of the Difference | | | | | | | Lower | Upper | Gift bought per year | Equal variances assumed | -3.030 | 83 | .003 | -.717 | .236 | -1.187 | -.246 | | Equal variances not assumed | -3.027 | 81.453 | .003 | -.717 | .237 | -1.188 | -.246 | Regression analysis Age vs. Gift bought per year Model Summary shows that age accounts for 7.9% in Gift bought per year. Therefore there is a little influence by age. Model Summary | Model | R | R Square | Adjusted R Square | Std. Error of the Estimate | 1 | .282a | .079 | .067 | 1.105 | a. Predictors: (Constant), Age | ANOVA is statistically significant as Sig. is < 0.05. ANOVAa | ...
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...I. Case Title: PepsiCo 2005 Case Analysis Our Mission “Our mission is to be the world's premier consumer products company focused on convenient foods and beverages. We seek to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.’ Our Vision "PepsiCo's responsibility is to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today." “Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company.” Performance with Purpose “At PepsiCo, we're committed to achieving business and financial success while leaving a positive imprint on society – delivering what we call Performance with Purpose. “ “Our approach to superior financial performance is straightforward – drive shareholder value. By addressing social and environmental issues, we also deliver on our purpose agenda, which consists of human, environmental, and talent sustainability.” PepsiCo: Products * Pepsi-Cola * Pepsi, Mountain Dew, Mug Root Beer, Sierra Mist, Slice, Aquafina, SOBE, Lipton… * Gatorade * Gatorade Thirst Quencher, Propel Fitness Water, Tiger Woods...
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...Panera Bread Case Study What does a SWOT Analysis reveal about the overall attractiveness of its situation? Panera Bread is all about the idea of having good unique food that will keep the customers coming back. They also give a good ambience in the restaurants that strengthen the customer intuition to go back. To start the SWOT Analysis Panera Breads Strengths are: * Attractive and Appealing Menu Items * Trained Bakers * Homemade Items (Breads, Cookies, Bagels) * Nationwide Leader in the baker-café segment * Good Franchisees- higher sales in franchised stores compared to company owned * Financial strength of the company, able to expand * Local customer base * “Panera Warmth” * Catering The strengths of Panera Bread far out way the weakness. Even though that Panera is not as well known as some of these other chain restaurants they still bring in the same amount and Panera is slowly working their way to where they belong. The weaknesses of Panera Bread are: * A less well known name then other rival restaurants * Sales at franchised stores higher the company-owned stores * Some hard times from the 08-09 recession * Weak dinner menu, more lunch or small meals * Marketing * Quality in food could vary Even though there is some weakness to the company, they must realize this and overcome these shortcomings. Every chain restaurant will have its weakness but to improve is to move forward. Which...
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...Hoppy Peanut Butter Case Facts Hoppy Peanut Butter is one among five major players in Southern Florida There are six million households in the market Consumers make 1.2 trips/week to the grocery store The marketing department of Hoppy Peanut Butter has identified four possible strategies for increasing profitability in southern Florida sales region including Increasing advertising Either offering discount coupons for the product alone Offering discount coupons for the product when purchased in conjunction with jelly or jam Market research firm Informatrix indicates that consumer purchases of peanut butter and jelly can be modeled as a Markov process Each visit consumers made to a grocery store were classified into one of four states: Purchase neither peanut butter nor jelly; Purchase peanut butter but not jelly; Purchase jelly but not peanut butter; Purchase both peanut butter and jelly. Informatrix estimates the transition matrix for consumers as follows: Next Visit Neither Butter nor Jelly Butter but not Jelly Jelly but not Butter Both Butter and Jelly Current Visit Neither Butter nor Jelly 0.42 0.21 0.17 0.2 Butter but not Jelly 0.36 0.2 0.28 0.16 Jelly but not Butter 0.39 0.23 0.15 0.23 Both Butter and Jelly 0.51 0.13 0.12 0.24 Consumer choice of peanut butter brand in southern Florida can be modeled as a Markov process, with the following transition matrix: Next Peanut Butter Purchase Hoppy Captain...
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...Finance VII Cases in Finance Executive Team Summaries (3-4 pages) 1. Introduction a. Main facts of the case: Ben & Jerry is being a victim of a hostile takeover. Because they aren’t reaching their full potential. They’ve been increasing their revenues, but, with a slower rate than their main competitors, making them nearly mediocre. They have a very strong commitment with the community, with social responsible programs and with organizations like Greenpeace. b. Most important Characteristics of the company studied in the case i. Industry FOOD Industry ii. Position in its industry Medium-Low iii. Main competitors Dreyer’s, Eskimo Pie, TCBY & Yocream. 2. Answer the Questions presented at the end of the 1st session and reviewed and answered in the second session. A- Why Ben & Jerry became target of a takeover? Because Ben & Jerry has not generated the returns and has not increased the shareholders wealth at the level that is expected from this company. 3. Analysis of Financial Information (Exhibits) c. What information do the exhibits present? In the exhibit 1 shows an increase on sales and a reduction to their long-term debt but it doesn’t represent their full potential. Exhibit 2 shows the highs & lows of Ben & Jerry comparing them with their close competition in those years. Exhibit 3 and Exhibit 4 show just some information referring to different things about internal...
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...Business Research Paper RES/351 02/13/2013 Business Research Paper In this paper I will be going over the business ethics of a company that is known for one of the biggest frauds in corporate America. The company is Enron and I found an article that is titled " The Case Analysis of the Scandal of Enron" and in this article the author talks about the business practices on Enron and the unethical research they used to grow their business and in the end they ruined a lot of good people's lives, and damaged their futures. According to "Dictionary.com" (2013) ethics are the values relating to human conduct, with respect to the rightness and wrongness of certain actions and to the goodness and badness of the motives and ends of such actions. Every person has ethics and a code that they live by, but the difference is that not everyone has that same code and especially in the business world that word can be tricky for people and standing up for the code they believe in is hard for some. Unethical business practices is not a new thing, and as the economy has grown these practices have been more common. One unethical practice would be skewing the research results, or the skewing the research from your company. That is one thing that Enron did do, and they even took a step further and did certain practices that no one had ever thought of before. Enron was a natural gas company, and what they did is that they built power plants in a few different places and they took their future...
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...Case 20-1 Spartan Heat Exchangers Inc. Aaron Nelson Summary Spartan, who was a leading designer and manufacturer of specialized industrial heat transfer equipment earns sales revenues of $25M. The company has prided themselves on creating a Make-to-Order system that allows customers the option of customizing their orders to their needs. Customization is what gives Spartan the competitive edge over their competitors. Meanwhile, however, countries like Korea and Europe are currently changing industry standards. Korean firms have a low cost base and compete primarily on low cost. European firms have begun to focus on standardizing their product lines to a few high-volume products and compete on delivery lead times and price. Rick Coyne, Materials manager for Spartan, is faced with a proposal of “renewing” Spartans business strategy. Spartan would like to reduce customer lead times for finished products from 14 weeks to six weeks. Second, Spartan would like to move from an inventory turnover rate of 4/year to 20/year. Third, Spartan would like to include some form of standardization in hopes of lowering costs for purchased goods. Quantitative Analysis Inventory Turnover (Purchasing $14M of inventory/year or 56% of revenues) - (Spartan) 4 turns/year: Holding costs of $875,000/year. (3.5M * 25% inventory carry costs) - (Competitors) 20 turns/year: Holding costs of $700,000/year (2.8M * 25% inventory carry costs) Raw Materials - (Spartan) $3.5M * 40% = $1.4M Qualitative Analysis ...
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...Macmillan Have supervised 13 Ph.D. research scholars Completed many sponsored research projects On the Board of Governors; Advisory Board; Academic Council; Board of Studies of many business Schools/Universities Member of editorial board and review panel of several referred journals OBJECTIVES OF THE COURSE The main objectives of the course are to provide the management student a broad understanding of: • • • • • Information Systems (such as Transaction Processing Systems, Management Information Systems, Decision Support systems, etc) from a Business Perspective Information Systems Planning Key IT Technologies, and the implications of these technologies for managers Identifying Information Requirements and Systems Analysis Issues & Challenges in managing ISs/IT such as Enterprise Resources Planning (ERP), Supply Chain Management (SCM), Customer Relationship Management (CRM), Business Intelligence (BI) etc. MAIN ISSUES The purpose of any Information System is to help an organisation manage its business better. For instance, an Inventory Management...
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...Green Mountain Coffee “Brewing a Better Day” Milestone One Kim Hureau Southern New Hampshire University Green Mountain Coffee “Brewing a Better Day” The purpose of this paper is to provide a comprehensive analysis on Green Mountain Coffee. This analysis will cover an overall market, cost and production and supply and demand analysis for Green Mountain Coffee, including Keurig. Green Mountain Coffee provides single serve brewed coffees in a variety of flavors and brewing styles to both the at home as well as corporate consumers. Green Mountain has an extreme focus on sustainability and green business practices and was the first company in the coffee industry to support the United Nation’s Global Reporting Initiative (GRI) mission to develop globally accepted sustainability reporting guidelines (Sustainability, n.d.). History of the Company Purchased by Robert Stiller in 1981 while vacationing in Waitsfield, Vt., Robert thoroughly enjoyed the coffee he bought when he stopped in at the small specialty coffee shop so much that he bought the store. In 1989, Green Mountain Coffee formed an environmental committee to address conservation concerns Robert Stiller had, this conservation program has remained a consistent social program through the many changes at Green Mountain. The Company changed their name to Green Mountain Roasters in 1993 and became a publically traded in company in September of that same year. In the late 1990’s, Green...
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...Case Analysis 1 Case Analysis MT311: Business Law I Scott Strauss October 5, 2010 Case Analysis 2 Case Analysis Thomas Baker and others bought new homes from Osborne Development Corp. and they sued for multiple defects in the houses that were purchased. When the homes were sold, it was paid for in a new home warranty program administered by Home Buyers Warranty (HBW). The company enrolled the homes with HBW and it paid a fee and filled out a form that consented to a binding arbitration provision. The new homeowners would be bound by the arbitration agreement. They cannot sue the builder. Consumers who complain about defective products can be forced into binding arbitration and barred from suing the manufacturer. Arbitration is supposed to provide consumers with an immediate and an inexpensive place to go but it could be costly. Going through arbitration, homeowner gives up the right to a cost free judge and jury. Any controversy or claim arising out of or relating to the contract, or breach thereof, shall be settled by arbitration and judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction. Arbitration is taking the place of lawsuits therefore protecting many businesses from court fights. When there is a broad arbitration clause, such as one covering any type of dispute arising out of an agreement, a court should follow the presumption of arbitration and resolve doubts in favor of arbitration. References (2007-2008)...
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...In: Business and Management Glaxosmithkline Case Analysis Definition of the Problem Consumers are taking advantage of price differentials for prescription drugs in other global markets by either physically crossing over to the Canadian border or ordering them from the internet. Analysis In an increasingly global environment, companies must become more aware of an empowered consumer. Information, such as pricing in other countries, is able to spread very quickly. American consumers often wish to be on an equal playing field with the rest of the world. This means that a service/good that is bought in the United State should be comparable in price/quality to the same good/service bought in another country. GSKoSmithKline (GSK) encountered numerous public relations and strategic issues with their decision to limit the supply of drugs shipped to Canada. Many American consumers chose to buy the cheaper versions of the drugs from Canadian pharmacies because of the significant price reduction. Many of these consumers, who were often low income or elderly, could not afford the United States drugs because of the expense. GSK’s Responsibility to American Patients Healthcare is a business, but it must be treated differently than other businesses. GSK has both a social and ethical commitment to produce life-saving drugs that are affordable and easily accessible to the American public. The large price differentials between drugs purchased in America and drugs purchased in...
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...price. III. Objectives a. To be able to understand the issue of the case. b. To be able to come up with a recommendation to help the company’s decision. IV. Areas of Consideration * Buffett’s investment philosophy. Buffett’s considerations for investment give a unique outlook. By reviewing his checklist, we attempt to gain insight as to why such a premium is included in the GEICO offer. * Review of Warren Buffett’s investment record. While our analysis lends credence to the bid price of $70 per share for GEICO, we also examine the historical record of Warren Buffett. Buffett’s investment success may add to shareholder’s comfort, as his track record is remarkable when compared to broader market results. * GEICO Corporation’s performance. * Geico had paid an increasing dividend each year. * Geico was the seventh largest auto insurer in the United States. * The firm was the lowest-cost insurance provider in the industry. * Geico’s share price had been hammered by double-digit inflation, higher accident rates, and high damage awards. V. Alternative Courses of Action 1. Accept: The acquisition of GEICO at a premium. Advantages: * It would encourage a positive public interest * It would create an increase in company’s value Disadvantages: * Doubtful outcome for those people who criticize Buffet’s philosophy * Costly since it is bought at premium. 2. Decline the acquisition of GEICO at a premium. Advantages: ...
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