The content of this letter is the conclusions drawn by the certified public accountant concerning the accounting procedures and policies of a company, its internal policies, as well as the internal controls. These financial statements include the statement of cash flows, the income statement and the statement of financial position of a company.
The incentive plan of Ladbrecks states that sales-force personnel will get a bonus if they achieve an excess over the targeted sales for the quarter. An initial analysis shows that majority of the employees receiving the bonus have fewer years of service and a lesser hourly wage rate as compared to those who have not.
Part B: Among the fixed costs of Howarth Co.are depreciation and research and development. M, Vang, D.O.& Cornwall, J.R.
In particular, the EBIDTA figure inflates the earning of the firm, as it ignores " all the bad stuff" in its abbreviation. However the ultimate difference with regression is that we are relying on the value of r squared which is a quintessential factor affecting the accuracy of the results and the appropriateness in using β
GENERAL JOURNAL AND GENERAL LEDGER General journal and general ledger are two very significant essence of accounting. As each general ledger account does have a debit and credit account in it which is the result of general journal entries.
If all these are performed well, they contribute to the accuracy of the balance sheet, the profit and loss account and even the cash flow statement. The functionality deals with the invoicing role and therefore all the transactions made with respect to the accounts receivable are recorded here.
The Group manage to increase the bed capacity by 25% during the year. The revenue for the Group in the year 2009 increase by 14.
Thus, the understanding of the structure of banking crisis is very important, because it can help every country to adopt appropriated resolution policies in order to solve the spread of banking crisis. Weak prudential regulation and supervision of banking system viewed as a factor that contributes to the bank failure.
Where? is the beta value of the financial asset The basic assumptions of this model pose as disadvantageous for this model to be considered as a perfect representative of required return calculation. Most of the investors are unable to borrow at the risk free rate, which is another assumption of the equation.
Nature of the Islamic financing For the sake of providing a comprehensive advise for IBT, it would be recommended to present at the beginning a brief overview of the nature of Islamic financing.2.1. The General Conditions of The Sale Contract in the Islamic Financing System.
If I wanted a portfolio with maximum risk, I would choose proportion with 0 Wcoke and 1 Wmerck with portfolio return of 0. 011146 and standard deviation of 0.
Analyze the accounting equation as a concept that underpins the work of professional accountants and how an understanding of the equation can impact business decision making. The accounting equation is actually defined as " An equation that reflects the two-sided nature of a business entity, assets on the one side and the sources of assets β
Taking and refunding the charge every semester may be an extra hassle work for the university and also for the students who find it a burden to pay $200 for registration every semester. This way the students may not have to pay the $200 and also the university administration can keep a check on systematic β
Being a hierarchical organization in nature, it was hard for it to focus on the running of projects in the organization. The lack of people in command to govern the running of the projects in the organization often pushes the customers' needs and wants to the backburner.
It is also emerging that customer's attitudes and perceptions of the services or the nature of banking affects their acceptance and customer loyalty towards Islamic and conventional banks. To investigate the impact of services offered by conventional and Islamic banks on customers' attitudes, beliefs and perceptions, and evaluate whether that affects customer loyalties or selection β
In addition, the value of the gift cards, which is unused, causes serious accounting complications to the auditors because; the pattern of redemption differs considerably. As a result, most of the companies rarely provide the figure of gift cards' sales and the total of breakages.
The number of institutions reporting to the FDIC has decreased from 8833 institutions in the year 2005 to 7760 institutions in 2010. The number of failed institutions has also increased to 127 institutions in 2010 from just 3 institutions in the year 2007.
Euro Money Market College: Introduction Euro money market is the money market that includes all countries of the European Union. The Euro money market is considered as one of the major sources of finance for international transactions through the Eurocurrency or money market.
Primarily to obtain the various tax that the Deckers' were collectively going to pay, their current situation was compared to the situation that the tax organization took into consideration. For instance, the capsizing of Paul's boat is not exempted from the tax imposed on his income, but his sale of shares and the profits that β
An increase in the purchasing by the central bank in the security market increases the amount of money that people has and it increases the money supply in the economy. By funding, we mean that the central bank changes the composition of the national debt in order to alter the money supply in the economy.
Initially, the founding father had projected that the Congress would be the major branch of the State. Legislative The legislative branch is tasked with endorsing the laws of the state and fitting the funds necessary to control the State.
The S&P 500 was, for the first time since early April, down for three succeeding sessions while the Dow Jones Industrial average encountered a loss of more than 100 units for the second day in a row. 73 while the S&P and the Nasdaq fell to a session low at 1, 925.
Many mutual funds invest primarily in companies of one of these sizes and are thus classified as large-cap, mid-cap or small-cap funds. Money market funds Money market funds are generally the safest and most secure of mutual fund investments.
LIFO is defined as " the cost flow assumption that the last costs in to inventory are the first costs out to cost of goods sold". Weighted average is " the cost flow assumption that is based on an average of the cost of beginning inventory plus the cost of purchases during the year, weighted β
The purpose of this study is to examine impact of macroeconomic variables on stock market performance by using the Stock Exchange of Mauritius as a case study. In the recent economic setup, the part of financial system is significant to the economic planning and development of an economy.
00 Franklin Healthcare Income Statement for the year 2011 Revenue Patient Revenue $375, 000, 000. This signifies that Franklin Healthcare is charging higher prices to the existing patients despite to keep the revenue same in 2011 as that of 2010.
There is a difference in the treatment of employees of high tech firms compared to those of the franchising firms. Also as time wears on the other people who are looking to replace cars will also look towards this alternative.
This essay details the impact and success of this strategy so far for both patients and carers, trends in the adoption of personal budget and direct payment method for social support and its take-up according to different client groups. Conclusion Personal Budget and direct payment is now the mainstream method of delivering social care.
The road out of debt: bankruptcy and other solutions to your financial problems. The logic and limits of bankruptcy law.
The MFIs have tailor-made financial services that suit the need of the borrowers and have reduced their lending rates in order to ensure high loan repayment and increase the benefits to the clients. The notion that the poor will default on their loans since they are poor is a misconception since microfinance repayment rates are β
Such a strategy would also appeal to the target market for Diet Coke Plus. Repositioning of Diet Coke to appeal to men would have meant that a complete overhaul of the Diet Coke brand.
Ratio analysis is the backbone on the financial statements, For Example the line items of Balance sheet, Income statement, and Cash flow statement, one or all can be calculate to evaluate company's financial activity such as liquidity, operating, liabilities or revenues and expenses of the business. Comparative Analysis is the comparison of two or more β
Unlike conventional banks, the liquidity and solvency risks of Islamic banks are related to the institutions with whom they deal. It is to be noted that all the products offered by Islamic banks are Shariah compliant ones.
This most common type of performance measure considers both the operating income and the invested assets to give the income earned into an account as documented by Needles, Powers and Crosson. RI refers to the operating income earned by an investment center above the minimum desired return on the assets invested.
You may also argue that this is the nature of the job as expected, and that she is appropriately spending her time managing relations and keeping on top of things that affect the project. Rate Project 5 the highest and Project 2 the lowest.b.Yes.
The extensive sovereign borrowing, slow or stagnant economic growth rates by Greece and Italy and lowering of credit rating for Greece from A- to Triple B plus are some of the events that have worsened the crisis. High political goodwill and financial transparency among member states to support each other would help to reduce the β
This report is to compare the financial situations of two companies in the restaurant industry, Darden Restaurants Inc.of Florida and Brinker International Inc.of Texas. We can see that Brinker has the better ratio's as far as liquidity is concerned with a slightly better ratio in both the current ratio and quick ratio than Darden.
In order to ascertain the real performance of a company, the auditors have to establish the different audit risks and performance factors that are associated with a company or an industry. To illustrate, through the provided information, one can come up with a horizontal and vertical analysis of the company that could be of great β
I had hoped to make an iron-clad case for Pharmafin to agree to ICN's lease proposal, but as a salesperson I regret my inability to do so, after studying ICN's financial statements and ratios and comparing them with Merck. ICN's 2001 EBIT is comparable to Merck's, but the extraordinary income is high in this year β
Regardless of all the challenges, microfinance institutions have been of immense help to the poor. Interference by politicians or governments in the microfinance institutions can lead to their downfall.
The main reasons why a company would develop predetermined overhead rates would be that; the manager would like to know the accounting system's valuation of completed jobs before the end of the accounting period. Costing of processes, supply chains, and value streams will be analyzed systematically in the production cycle.
This paper reports on the effects of the low interest on the Japanese banking sector through discussing advantages and disadvantages of the low rates on banks. One of the effects of the low interest rate on the Japanese banking sector is reduced productivity.
The Relationship between Inventory Management and Inflation Inflation refers to the increase in the prices of services and goods. The increase of prices of goods and services determines the units to be purchased since this is influenced by the money at hand.
Running Head: assignment Sarbanes-Oxley Act of the of the of the The Sarbanes-Oxley ActRecommend how the SOX framework can ensure reliable and complete financial information and how accounting professionals have benefitted from its use. Inspired by the shocking case of Enron, Tyco and many more, SOX has been able to strengthen the confidence and interests β
Morrison Financial Reporting Introduction According to the writings by Bull, it is d that investors should base their decision on whether to invest in a company or not by simply evaluating the company's financial position and prospects based on the financial position. The evaluation of a company's financial position primarily rely on financial ratios of β
This one does have 4 bedrooms, as opposed to 3 in home on Seton, but the total square footage of the home is nearly the same. In addition, the Seton home is a new listing, while the other two mentioned in this case study have been on the market for more than a month and β
Solution: PV = FV n {[1/ n} Where PV = the present value of the future sum of money FV n = the future value of the investment at the end of n years n = the number of years until the payment will be received i = the annual discount or interest rate in β
Inventory turnover Inventory turnover= cost of goods sold sales can still be used in calculating inventory turnover, but the cost of goods sold is more robust than sales, because it gives the inventory cost value as opposed to sales which uses inventory market value. Prior year 1 Google had an inventory turnover of 377 and β
After coming back to Denver, he worked with a supplier of remanufactured laser jet toner cartridges for 3 months till it closed down When the company closed down, he asked his parents for money, that amounted to $8500 and started selling the cartridges in his car As Harris decided of opening Optitech, a proper way β
The scientific method is a logical and rational order of steps by which scientists come to conclusions about the world and the phenomena around them. What difficulties have social scientists encountered in applying the scientific method to the study of social phenomena?
The managerial accounting problem stated in the article is the reduced profit and shrinking market share due to its declining ratings. To increase the value of its declining stocks and revive its share price, Viacom is also borrowing to buy back stock and increase the dividend.
Case states the following facts about agreement: Pharma will receive up to $500 million from PEI for R&D cost for new drug X A non-refundable funding to be used solely for drug X development costs PEI will provide incremental funding as long as Pharma is demonstrating progress, however Pharma is not obligated to successfully complete β
If we look at the historic data, over the years, therefore one of the most important features of the development of stock market in India in the last 20 years has been the growing participation of FIIs. The number of new FIIs registered with the Securities and Exchange Board of India has declined 70 per β
The aim of the supply concatenation is to do it profitable and this can be done by cognizing the cardinal values of supply concatenation. The supply concatenation involves the motion of merchandise from the providers to the makers to the distributers so to retail merchants and eventually at the terminal to the client.
The system calculates the sum of each account in special journals and posts it in the general ledger tab of the software for a given period of time. Where as, goods available for sale are the sum of beginning inventory and purchases.
The first part of this report identify and explain the characteristics of employee fraud indicated in Dodgers case.such as perpetrator must gains the trust or confidence of the person or company being defrauded.etc And then, the second part is explain the internal control weaknesses and understanding internal control objectives. Table of Contents Introduction3 Characteristics of β
As these accounts will no longer be overdue, the company will not need to provide for uncollectible receivables This is unethical as it misrepresents the actual stature of the company. This will substantially increase the amount of cash in bank accounts at year end This would most definitely be a misrepresentation of the company's financial β
The net income of the company increased due to the fact that the sales of the company increased or the cost structure of the firm decreased. Another methodology to assess the performance of a company is by using comparative statements.
Finance and accounting In finance and accounting, internal controls can be defined as the process that results from the structure of an organization, work flows, individuals and management systems that are designed in helping the organization to accomplish certain objectives. In most organizations, the auditors obtain information regarding the internal control of an organization and β
The implementation of Basel I and Basel II norms certainly helped in regulating the financial situation in several parts of the world. In conclusion, Basel III norms mainly emphasized on various measures like enhancing the component of tier 1 capital, regulating the tier 2 capital, and removing the tier 3 capital for providing better financial β
The same report compared the company's performance to that of the average for the top 500 companies in the American economy. Demand for the products and services that Verizon provides is increasing with time, as more and more consumers turn to using smart phones, and using laptops in many locations where other sources of wireless β
The wave of the scandal that hit Libor was quite huge. 2008: It was revealed by Barclay's agent that they were underreporting as a means of trying to reduce the level of stigma against Libor.
If the writer gives the buyer of the option the right to sell the underlying asset, the contract is termed as put option. A call option is said to be out-of-the-money when the strike price is above the spot price of the underlying asset.
As per the response of the customers and the success rate, which is very low, the Defects per Million Opportunities revealed that the six sigma rating of ACME customer support program which was based in Jamaica is 1. The method of reaching the rating of one out of six which is considered as the lowest β
The higher rate at Baxter therefore suggests better management of the organization's cost of sales and higher profitability. Direction of the difference is further consistent with direction of differences in profit rate and EPS and supports better profitability at Baxter.
Strengths: Responsible for a number of societal transformations: The main purpose of the chart book is the aspect of taking the best possible descriptive data based on the early childhood growth and the related social elements while making them accessible to all the low income earners. External Macro Intervention: External Macro-intervention is a broad concept β
Define arbitrage and explain what kind of information is needed for you to obtain arbitrage in each of the forms of market efficiency.Q2. Generally, because of quick reflection of information in price and quick response of investors to the market, it is impossible for investors to obtain or use new information to find undervalued stocks.
Retirement Plan Grade May 12th My Retirement Plan I believe I will retire when I am no longer in a healthy condition to serve society to the fullest. When I consider the 3% inflation rate, the annual amount of money I will require to save will become $44, 809.
A zero coupon bond is bough or issued at the price lower than the face value and the actual face value of the bond is paid at the maturity of the bond. The overall proceeds received from the zero coupon bonds therefore are less than the total face value of the bond and the interest β
If CNAQ were to introduce an online student registration system the cost-saving reported would be a reduced amount of cash used to buy printing papers and the cost increase incurred would be for creating the system and for maintaining it 9. If a contingency reserve of 10% is to be included in the calculation, determine β
The control objectives are established to provide assurance that the objectives are met by your company. An adequate system of internal control will be maintained by the control objectives particularly over the receivable accounts of the company.
The East India company had setup The Bank of Bengal/Calcutta in the year 1809, Bank of Bombay in 1840 and Bank of Madras in 1843. In 1955, the Imperial Bank of India was nationalized and wasgiven the name " State Bank of India", to act as the principal agent of RBI and to handlebanking transactions β
Effective tax planning involves considering the role of taxes when implementing the decision rule of maximizing after-tax returns. What is the after-tax rate of return earned by each taxpayer?
TIME VALUE OF MONEY Time value of money is a term that measures the increase or decrease in the value of money with respect to time. Leibowitz." The Time Value of Money".
I agree with this final conclusion, because incentives for managers have lead in some cases to a lower long-term performance for companies because they were interested only on the short performance in order to exercise the options, and not on the long perspective of the value of the company.9.7. The first one is related to β
The wealth of this City government lies on the entrepreneurial and creative spirit of its citizens, and this contributes to the vibrant and rich economy of the government. As a result, the City and County of San Francisco has become the leading cultural and financial center in the Northern part of California and the San β
Therefore, the purpose of this study is to look into the effect of announcement of CEO turnover on Malaysia listed companies and seeks to give the impression into the level of influence of the CEO of Malaysia. In addition, most of these international studies are related to determine the causes of CEO turnover or impact β
There has been a discussion on whether RBAs method of trading in the money market to maintain the cash rate is better or worse than if the federal government simply set the cash rate. Generally, RBAs method of trading in the money market to maintain the cash rate is seemingly better than if the federal β
Internal whistleblowers are the individuals who report discrepancies and misconducts of colleagues or their superiors to the management. This persecution of whistleblowers mostly comes from the affected or implicated individuals who want to discredit them to absolve themselves of the accusations.
A disadvantage of selling common stocks is that it dilutes the power of the original owners. A con of the use of preferred stocks is that preferred stocks must pay dividends to its stockholders at least once a year.
When a foreign branch maintains its accounts and prepares its financial statements in terms of the currency of the country in which it is domiciled, the accounts must be translated from the foreign currency into original country's currency before financial statements for the combined entity are prepared. Translation is necessary because useful financial reports cannot β
Therefore, managing of earnings is totally unethical as it manipulates the information that the reports provides. Therefore, managing earnings needs to be regulated on the basis of ethics and moral values.
Estate tax has been imposed on the transfer of the ' taxable estate' of the deceased nonetheless; the IRS has no jurisdiction over the tax since the estate has not been transferred to the beneficiaries. Therefore, in light of the above, the agency has no right whatsoever to levy taxes on unclaimed inheritance either as β
FANNIE MAE Fannie Mae is the leading nonbank financial services corporation in the world, which operates in the secondary mortgage sector with the core objective of providing housing services to multifamily and single-family housing market of the United States. The company was therefore chartered by the Federal Housing Act of 1934 to relieve the β
This will also find how the capital market responded to the company during last year and where the company stands with regard to some important liquidity ratios in comparison to the others in their industry. That means net earnings will be in the vicinity of $440 million to be up by almost 8-9% in comparison β
It is clear that cultural concerns play a role in the enhancement and the downfall of the relationship of KGB and Africa during expansion. The British mindset during the period was that they were the superior ace of the world and that it was their White man's burden' to rule Africa to bring them into β
It is sufficiently clear to me that learning is a dynamic process; the more one applies this knowledge in personal and professional life the more favorable results are likely to be achieved. I know that it has more to do with economics rather than finances yet it appears to me that forecasting future interest rates β
These helps in approximating the trends and reduce the risk of running out of the business or being unable to cope up with prevailing economic times that are dynamic. Economic factor helps in determining the future economic trend of a business based upon facts that are present and affect the output of a business.
I believe that the Smart Beta is one of the effective approaches that can provide a better combination of passive and active management approaches for the active managers to yields higher returns on the portfolios. But still the Smart Beta strategies remain to be one of the exceptional strategies that have however resulted in the β
Daske and his colleagues examined the outcome of the mandatory shift from local FASB standards to IASB standards. Auditing is the most effective form of enforcement of FASB and IASB accounting standards.
However, the level of sales necessary to achieve the target net income of $ 117, 000 = /0. Sales for each product lines are as follows: appetizers = = $ 390, 000; Main entrees = = $ 1, 300, 000; Desserts = = $ 260, 000; and Beverages = = $ 650, 000.
The falling value of the Euro as against the yen or the weak exchange rate is attributed to be one of the causes of the operating losses being experiences by Toyota in Europe. The deviations in currency value between the British Pound and the Euro would be eliminated; this does not benefit the exchange rate β
The bad thing about this is that it may not be enough to efficiently run the business and or be a good investment. Bentalls is a large business and a large investment is needed to expand the business.
Advantages and Disadvantages of Using Forward Contracts and Options to Hedge Foreign Exchange Risk Introduction Hedging is a term used in the financial markets to refer to managing foreign exchange risks to an extent that makes it more bearable. Advantages The first advantage of using forward contracts to hedge foreign exchange risks is that future β
As asserted by Woodruff, the real interest rate is defined as the interest rate minus the rate of inflation in the economy. Viewing it in another way, interest rate, specifically the nominal interest rate, is the real interest rate plus the inflation.
The first objective of the act is to require that the potential investors need to receive important and detailed information that concern the securities that the public sales. The Securities Act Of 1933.