Table of Contents 1.0 Abstract 2 2.0 Introduction 2 3.0 Questions and answer 4 4.0 Recommendations 14 5.0 References 15 1.0 Abstract Biovail Corporation, a large pharmaceutical company and had applied advanced drug-delivery technologies to improve the clinical effectiveness of medicines. It is recently had its stock downgraded by a well-known pharmaceutical analyst and a number of other analysts were also scrutinizing the company. The outcome was not favorable, as Biovail's
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CONTENTS INTRODUCTION 2 ISSUES 3 QUESTION and ANSWER 4 RECOMMENDATION 8 CONCLUSION 10 BIBLIOGRAPHY 11 INTRODUCTION Biovail Corporation was one of the Canada’s largest pharmaceutical publicly traded companies which expert in the development and large scale of manufacturing of pharmaceutical products. Biovail Company engaged activities on enhance formulate of the existing drugs, clinical testing, manufacture and commercial pharmaceutical products and utilized advanced drug delivery
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that the manufacturing cost of the shipment had been fully insured the economic loss (if any) to Biovail would be significantly mitigated adding to my concerns about the inflated negative guidance. This smacks of a convenient excuse for explaining missing revenue guidance. Issues Regarding Revenue Recognition at Biovail Under US GAAP this revenue should not have been recognized by Biovail because delivery did
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as Distributor's employee made sure to change the title and finish the transaction as the product would reach the destination. In this case Biovail should recognize the revenue the moment that the product have left the first destination and the company in order to go to Distributor's destination. That way the responsibility would be not only concern Biovail but also Distributor. 3.it does not influence them in third quarter at least, in any of the case whether they take revenue at the moment the
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Biovail Corporation Case Study 1. The truck’s trailer dimensions are: 17m x 4.5m x 2.5m. To convert the trailer dimensions to centimeters to compare the volume of the boxes to the volume of the trailer: 1 meter = 100 centimeters 17m= 1,700 centimeters 4.5m = 450 centimeters 2.5m = 250 centimeters So the dimensions of the truck in centimeters are: 1,700 x 450 x 250, the volume of which is 191,250,000 cm3 1.5x = 191,250,000 x =127,500,000 In order to carry
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LAWS7012 | Case Studies Topic 5 Case Study 1 Are the following self-education expenses deductible under section 8-1? Provide reasons for your answer. a. Barry, a trainee accountant, is studying commerce part-time at university. Barry enrolled after he started his employment with his firm. b. Brianna, a company director, was having difficulty coping with work due to stress brought about by difficulties with her family situation. She decided to attend a four-week course in stress management
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Sub issue: Other than having fraud conducting of revenue recognition, Biovail Corporation also has overestimated the amount of Wellbutrin XL on the truck. The company estimated that revenue associated with this shipment was in the range of $10 million and $20 million and confirmed that the manufacturing cost value of this shipment had been fully insured. The trooper estimated that the truck was about one-quarter full. After the investigation done, the analyst stated if there had been $20 million
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Case Review: Rohm and Haas 11/4/2010 Background 2 1983: $2B worldwide sale from 4 segments Kathon microbiocide products: $25M Polymers, resins, and monomers Industrial chemicals Plastics Fluid Process chemicals Specialty chemicals Kathon 886 MW Thayer School of Engineering Agricultural chemicals Petroleum chemicals Kathon MWX 11/4/2010 Background 3 Metalworking fluid: 60 million gallons in the US Biocides kill microorganisms in metalworking fluids Product name Treatment
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1. How many truckloads of product are actually required to carry $10 million of product? Show your calculations. It’s given to us that: Each 300 mg Wellbutrin® XL tablet was estimated to be roughly 0.5 cm3 with an additional 1.00 cm3 per tablet for packing space and a wholesale acquisition price of $2.83 per tablet, which included an assumed 400% mark-up for the Distributor as well as a 35% wholesaler margin. The interior dimensions of a typical 18-wheeler trailer were 17m x 4.5m x 2.5m.
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4011 APRIL 7, 2009 CRAIG CHAPMAN Biovail Corporation: Revenue Recognition and FOB Sales Accounting Background Late on October 9, 2003, David Maris, an analyst at Banc of America Securities (BAS), was trying to interpret the shocking events of the previous few days and finish the write-up of his first report on the Canadian pharmaceutical firm, Biovail Corporation. Maris didn’t like what he saw at the company, but he never liked writing “Sell” recommendations. In any event, he wanted to make
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