Tmh(Kpmg Essay

Tmh(Kpmg Essay
| TMH Assignment | Spring 2010 | | Bella SongYi Wang | 3/2/2010 | Background This memorandum
is presented in order to assess the risk Triangle Manufactured Homes (TMH) is engaged in. To
assess the risk, we have thoroughly gone through the Company's annual report and selected analyses
of its financial condition and results of operations. These analyses have become the base of the level
of risks that we determine TMH is exposed of. Business Analysis According to the Company's
annual report, TMH is a business that engages in the retailing of manufactured homes. It is one of
the leading players in the manufactured homes industry, representing about 45 percent of the total
U.S. market. Operating a total of 114 retail sales ... Show more content on Helpwriting.net ...
Through the acquisitions, TMH is not only benefiting from the deepening market penetration in its
existing markets, but also from entering into the new markets. Moreover, the acquisition of
manufacturing facilities, albeit it is in the retailing business, prepares TMH for the periods when
demand for homes outpaces supply, which would mostly occur between March and October. In
order to maintain its role as a leader in the industry and to create its competitive advantage, the
manufacturing facilities are also planned to be used for manufacturing custom–designed homes that
will help satisfy customers with special needs. In addition, TMH pays more than industry average to
attract and maintain its employees, which helps the Company to stay in a leadership role. TMH has
also established its wholly owned subsidiary – TMH Financial Services Corp. to expedite
completion of credit approval processes for other subsidiaries and independent retailers. In addition,
TMH Financial will collect installment sales contracts executed at the subsidiary or independent
retailer level and sell them to third–party financial institutions with recourse. This process of selling
installment sales to outside parties is one of TMH's major sources of income. Accounting Analysis
In addition to understanding a company's business and its environment, in–depth knowledge of its
accounting policies and disclosure practices also help assess
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Intermediate Accounting (Spiceland) Chaper 5 Cases Essay
CASES
Real World Case 5–1
Requirement 1
A bill and hold strategy accelerates the recognition of revenue. In this case, sales that would
normally have occurred in 1998 were recorded in 1997. Assuming a positive gross profit on these
sales, earnings in 1997 is inflated.
Requirement 2
A customer would probably not be expected to pay for goods purchased using this bill and hold
strategy until the goods were actually received. Receivables would therefore increase.
Requirement 3
Sales that would normally have been recorded in 1998 were recorded in 1997. This bill and hold
strategy shifted sales revenue and therefore earnings from 1998 to 1997.
Requirement 4
Earnings quality refers to the ability of reported earnings (income) to ... Show more content on
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Usually, these remaining uncertainties can be accounted for by estimating and recording allowances
for anticipated returns and bad debts, thus allowing revenue and related costs to be recognized at
point of delivery. But occasionally, an abnormal degree of uncertainty causes point of delivery
revenue recognition not to be appropriate. Revenue recognition after delivery sometimes is
appropriate for installment sales and when a right of return exists.
Judgment Case 5–3
Mega should recognize revenue for the initial fee equally over the estimated average period
members will continue to be members. Even though the fee is nonrefundable, it is not "earned" until
services are provided. Since there is no contractual period of service, it must be estimated. Mega
would be justified in recognizing only $3 of the initial fee immediately to offset the cost of the
membership card. The payment option chosen by members does not affect the revenue recognition
policy.
The monthly fee should be recognized as revenue upon billing, as long as adequate provision is
made for possible uncollectible amounts.
Judgment Case 5–4
The revenue recognition policy is questionable. The liberal trade–in policy causes gross profit to be
overstated on the original sale and understated on the trade–in sale. This results from the granting

Essay about Aspen Technology, Inc. Currency Hedging Review
Executive Summary Aspen has become a public company with more risk adverse investors who
want to invest in the core business of the firm and not assume any foreign exchange risk. Foreign
exchange risk is a core risk to Aspen's business because they have many customers outside of the
United States. We believe that transferring this risk to the customers would limit Aspen's growth on
the foreign markets: Aspen should keep its current marketing strategy, which includes credit
installment payments and payments in local currencies for Japan, the UK and Germany. The current
risk management program hurts the company because it doesnot consider Aspen's expenses abroad
that balance sales exposures to currency fluctuations. We then recommend that ... Show more
content on Helpwriting.net ...
Not doing so could decrease Aspen's growth abroad. While Aspen could reduce its foreign exchange
exposure by reducing the amount of installment payments or by using other methods, this may not
sit well with their current customers who may in turn reduce orders and find other suppliers in order
to reduce the risk or the heavy costs that Aspen's choices would leave with them. Because foreign
exchange risk is a core risk for Aspen and has been managed fairly well until this point, we see no
reason for them to overhaul their business model and risk alienating their customers. Foreign
Exchange Exposure While we assume that 50% of German sales are still made in DM, in 1995,
25.9% of Aspen's 1995 revenues are made in foreign markets, but only in Japan, in the UK and in
Germany (increasingly) has the firm priced its products in local currencies. That means that, about
23.8% of Aspen total sales are made in foreign currencies, implying a foreign exchange exposure of
$13,670,000. 29.7% of Aspen expenses are abroad and made in local currencies. So, Aspen is also
exposed to foreign exchange risk with these expenses, mostly in Japan, Belgium and the UK (28.1%
of the total expenses in 1995). Those expenses act as a natural hedge that decreases the total
exposure of Aspen to foreign exchange risk. For its revenues and expenses, after "natural hedging",
the overall exposure of Aspen to foreign exchange risk is $9,484,000, with Belgium

Haefren Bum Case Analysis
Business Analysis Last four digits of student ID #: 8964 Name of business: Haefren Baum Nature of
business: Haefren Baum is an independent home furnishings retailer that sells high–end furniture.
The company began as a partnership in 1965. Haefren Baum became a retailer for Wiegandt in
1968. Two years later, it officially became a corporate entity. Haefren Baum is located in Cologne,
one of the most populated and prosperous cities in Germany. The company retails home furnishing
from one location in downtown Cologne, and from three recently constructed outlet stores in the
suburbs of Rhineland. Marketing Analysis: Haefren Baum's business to business, distribution
network with Wiegandt includes a 2% 10, net ... Show more content on Helpwriting.net ...
Since then, Haefren Baum has continued to struggle with sales as its debt figures have continued to
rise. The results of Haefren Baum's common–size balance sheet from 1993–1995 states that the
company has a short–term outlook on its assets because it ranges from 65% to 85%; compared to its
67% total long–term liability holdings. Haefren Baum's account receivable payments from its
customers have also slowed down due to the slower economy. The slow down also forced Haefren
Baum to extend more favorable credit terms to its customers because they wanted to keep their sale
volume up as well. This decision added to the slowing down of their income and to the extension of
their account receivable days. Haefren Baum's cash flow from operating activities became negative
in 1994 due to the Germany's economic downturn that occurred the year prior. However, it then
made a 100% recover from its previous showing in 1995, while remaining negative. Time interest
earned took a noticeable drop of 4.3 in 1993 to 0.96 in 1994. This indicated that the company was
unable to meet the requirement of its fixed interest from its operating earnings. The DuPont analysis
stated that net profit margin was the primary contributor of the firm's return. From 1993–1995, the
net profit margin fell from 101.35% to –5.73%, indicating that the company's financial problems
were

Income Smoothing
Case 5–1 Income Smoothing a. Firstly, investors tend to invest in companies with stable earnings
rather than one with volatile earnings. With stable earnings, there will be more likely an issuance of
dividends and investors could easily predict the company's future earnings compared to one with
unstable earnings. With consistent earnings generated, it gives investors a secured feeling that it will
again generate earnings as predicted. Confidence in the growth of rate of earnings is crucial because
stable earnings growth further may increase further business prospective and are translated into
higher stock and dividend returns. It is also crucial to have stable earnings as the growth in stock
price is closely dependent on the growth of ... Show more content on Helpwriting.net ...
Gross margin of 18.7% was up 100 basis points over last quarter: "Gross margin was 18.7 percent of
revenue as strong improvement in cost of goods sold, disciplined pricing, a sequential increase in
sales from enterprise products, and a $69 million buyout of a revenue–sharing agreement by a
vendor offset previously highlighted pressure from component costs, competitive pricing and
revenue mix in client systems." Operating cash flow was $1.1 billion, and end–of–quarter cash and
investments totaled $12.7 billion, or 42% of today 's market value. Based on the information for
2009. Case 5–6 Presentation of Financial Statement Information c. A full set of financial statements
for a period should show: –Financial position at the end of the period –Earnings for the period –
Comprehensive income for the period –Cash flows during the period –Investments by and
distributions to owners during the period. Information about earnings, comprehensive income, cash
flows, and transactions with owners have in common that they are different kinds of information
about the effects of transactions and other events and circumstances that change assets and liabilities
during a period. This Statement does not consider details of displaying those different kinds of
information and does not preclude the possibility that some entities might choose to combine some
of that information in a single statement. In present practice, for example, a

Manufactured Homes: Accounting Policies, Evaluation and...
Accounting Policies Manufactured Homes (MH) uses the installment sales method for recognizing
revenue. Using this installment sales method assumes that the customer probably will not default
and there is little risk for the company. As cash is supposed to come in, revenues are matched with
expenses. However, if the customer defaults, then there are many future expenses that cannot be
matched with corresponding revenue. The company usually sold its installment contracts to
unrelated financial institutions and was responsible for payments to the financial institution if the
customer defaulted. Thus, MH bore risk for the houses it sold. MH charged its customers a portion
above the market rate, and the financial institution paid MH a portion ... Show more content on
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Although this profitability ratio was an improvement, it seems as though MH was in danger of
repeating losses as produced in the fourth quarter of 1986. The industry that MH was part of was
experiencing negative pricing pressures and higher rates of payment defaults. With this in mind,
revenues should have been decreasing, as opposed to the increases that it experienced. This
demonstrates that MH might be using aggressive accounting tactics in order to increase revenues.
These tactics focus on the fact that MH's core business is failing while they are able to generate
revenue and profit from the financed participation income portion of their business. In the first nine
months of 1987 MH's finance subsidiary sold, with recourse, a portfolio of retail installment sales
contracts with a principle balance of approximately $8.3 million to another financial institution. As a
result the company recognized finance participation income of $1.7 million in the third quarter of
1987 instead of being forced to recognize it over the entire course of the mortgages. Additionally,
the increase seen throughout 1986 as well as during the first nine months of 1987 stemmed from an
increase in debt from their balance sheet. This increase in debt substantially increased MH's debt–
to–equity ratio from 3.6 in 1985 to 4.7 in 1986. Although it dropped to 4.5 in the first nine months of
1987, the fourth

Chapter 7 Acc557
CHAPTER 7
Cash and Receivables
ASSIGNMENT CLASSIFICATION TABLE (BY TOPIC)
Topics 1. 2. Accounting for cash. Accounting for accounts receivable, bad debts, other allowances.
Accounting for notes receivable. Assignment and factoring of accounts receivable. Analysis of
receivables. Petty cash and bank reconciliations. Questions 1, 2, 3, 4, 21 5, 6, 7, 8, 9, 10, 11, 12, 13,
14, 15 14, 15 16, 17, 18, 19 20 22 Brief Exercises 1 2, 3, 4, 5 Concepts Exercises 1, 2 3, 4, 5, 6, 7, 8,
9, 10, 11, 12 18, 19 12, 13, 14, 15, 16, 17, 21 20, 21 22, 23, 24, 25 Problems 1 2, 3, 4, 5, 6 8, 9, 10 7,
11, 12, 13 1 12, 13, 14 1, 2, 3, 4, 5, 10, 11 6, 7, 8, 9 6, 8 for Analysis
3. 4.
6, 7 8, 9, 10, 11, 12 13 14, 15, 16
5. *6.
*This material is ... Show more content on Helpwriting.net ...
Bad debt reporting issues. Basic note and accounts receivable transactions. Bad debt reporting
issues. Sale of notes receivable. Zero–interest–bearing note receivable. Reporting of notes
receivable, interest, and sale of receivables. Accounting for zero–interest–bearing note. Receivables
management. Bad debt reporting, ethics. Simple Simple Moderate Moderate Moderate Moderate
Moderate Moderate Moderate Moderate Moderate 10–15 15–20 25–30 25–30 25–30 20–25 20–30
25–30 25–30 25–30 25–30
7–4
ANSWERS TO QUESTIONS
1. Cash normally consists of coins and currency on hand, bank deposits, and various kinds of orders
for cash such as bank checks, money orders, travelers' checks, demand bills of exchange, bank
drafts, and cashiers' checks. Balances on deposit in banks which are subject to immediate
withdrawal are properly included in cash. Money market funds that provide checking account
privileges may be classified as cash. There is some question as to whether deposits not subject to
immediate withdrawal are properly included in cash or whether they should be set out separately.
Savings accounts, time certificates of deposit, and time deposits fall in this latter category. Unless
restrictions on these kinds of deposits are such that they cannot be converted (withdrawn) within one

year or the operating cycle of the entity, whichever is longer, they are properly classified as current
assets. At the same time, they may well be presented separately

Partial Balance Sheet
exercises
Exercise 5–1
Installment sales; alternative recognition methods
( LO1 LO2 On June 1, 2006, the Luttman and Dowd Company sold inventory to the Ushman
Corporation for $400,000. Terms of the sale called for a down payment of $100,000 and four annual
installments of $75,000 due on each June 1, beginning June 1, 2007. Each installment also will
include interest on the unpaid balance applying an appropriate interest rate. The inventory cost
Foster $150,000. The company uses the perpetual inventory system.
Required:
1. Compute the amount of gross profit to be recognized from the installment sale in 2006, 2007,
2008, 2009, and 2010 using point of delivery revenue recognition. Ignore interest charges.
2. Repeat ... Show more content on Helpwriting.net ...
Prepare the necessary journal entries for the following dates (ignoring interest charges):
1. November 15, 2006, and 2. February 15, 2007.
Exercise 5–5
Evaluating efficiency of asset management
( LO6 The year 2006 income statement of Garret & Sons Music Company reported net sales of $10
million, cost of goods sold of $6 million, and net income of $1 million. The following table shows
the company's comparative balance sheets for 2006 and 2005:
($ in 000s) Assets: 2006 2005 Cash $ 240 $ 280 Accounts receivable 800 600 Inventory 850 700
Property, plant, and equipment (net) 2,600 2,520 Total assets $4,490 $4,100 Liabilities and
Shareholders' Equity: Current liabilities $ 720 $ 650 Notes payable 600 1,000 Paid–in capital 2,000
2,000 Retained earnings 1,170 450 Total liabilities and shareholders equity $4,490 $4,100
Some industry averages for the company's line of business are:
_______________________________________
inventory turnover 6 times average collection period 28 days asset turnover 2 times

_______________________________________
Required: Assess Garret & Son's asset management relative to its industry.
Exercise 5–6
Profitability ratios
(

Accrual Accounting
Good afternoon, Mr. Jones. It has been a pleasure working with you. Below I have provided
information with regards to revenue recognition for your business as well as my recommendation
for the accounting method to be used by your new company.
Differentiate between accrual accounting and cash basis. Based on the type of business and the
client's accounting system, what is the impact when revenue is recognized? The difference between
the accrual and cash basis accounting is when expenses and revenue are recognized. According to
the IRS Publication 538 "You must use the same accounting method from year to year. An
accounting method clearly reflects income only if all items and gross income and expenses are
treated the same from year to ... Show more content on Helpwriting.net ...
Consider how the accounting system impacts revenue recognition, consistent with Internal Revenue
Code and Treasury regulations. A case can be made for both the cash basis and accrual method of
accounting. The cash basis method is generally used for small businesses and using that method
would allow you to pay taxes only on the money you receive from the sales not the sale itself. It
would also allow you to only account for the expenses when they are paid. This could cause
confusion with regards to matching. It would also only provide a very narrow view of the business
as a whole with the balance sheet only showing cash and owners equity.
One reason for the accrual method recommendation is your inventory of vehicles. If you are
maintaining an inventory to sell then you should use the accrual method. Also on your balance sheet
you will see your accounts receivables and payables as well as any prepaid accounts noted. This
accounting method provides a better view overall for your

Revenue Recognition Method
Answer 1:
The principle of revenue recognition states that the revenue can be recognized by following any of
the following 10 methods:
1. Recognition under the cash sales method: under this, the revenue is recognized only when the
cash in respect of the same is received.
2. Accrual method: under this, the position of the seller is set as the recipient for the purposes of the
advance payment before the actual delivery takes pace. In such cases, the seller is liable until and
unless the good or the services are delivered.
3. Revenue recognition for the installment sales method: under this, the sales are recorded on the
basis of installments, that is, the sale is recorded to the tune of the amount that has been received for
the same. This type ... Show more content on Helpwriting.net ...
(Accounting tools, 2015)
Therefore, the accrual basis of accounting must be used.
Answer 2:
No, even if such is the case, the revenue shall still be recognized using the accrual basis of
accounting.
But the only difference shall be that the revenue would be recognized or will be recorded in the
books of accounts after the period in which the tickets can be returned by the customer is expired.
Answer 3:
When the agents have been contracted for the purposes of the selling and the marketing
responsibilities, then the revenue shall be recognized only when physical possession, the risks and
the rewards have been transferred on to the buyer.
Answer 4:
The accounting profession is concerned with the recording of the entries in the books of accounting,
the preparation of the balance sheet, profit and loss account etc. but the process of checking the
signatures from the records is the like conducting an audit which is the work of an auditor and not of
an accountant. Hence, he is not well equipped to comply with the

Essay about Actg351 Hw1
ACTG 351 HW #1 Answers 1. Curtiss Construction Company, Inc. entered into a fixed–price
contract with Axelrod Associates on July 1, 2011, to construct a four–story office building. At that
time, Curtiss estimated that it would take between two and three years to complete the project. The
total contract price for construction of the building is $4,000,000. The building was completed on
December 31, 2013. Accumulated contract costs incurred, estimated costs to complete the contract,
accumulated billings to Axelrod and cash collections from Axelrod under the contract are as follows:
12/31/2011 $350,000 3,150,000 720,000 600,000 12/31/2012 $2,500,000 1,700,000 2,170,000
1,800,000 12/31/2013 $4,250,000 0 3,600,000 3,600,000
Costs incurred to ... Show more content on Helpwriting.net ...
Record the necessary journal entries for each year (credit Various Accounts for construction costs
incurred).
2011 2012 –200,000 2013 4,000,000 4,050,000 –50,000
Revenue Expense Gross Profit
All the journal entries remain the same except for entry 2). 2012 Entry: Loss on Long–term
Contracts CIP (loss) 2013 Entry: Construction Expense CIP (loss) Revenue
200,000 200,000
4,050,000 50,000 4,000,000
2. Bounce Computer Corp allows customers to pay in installments for their products. Bounce only
had two installment contracts outstanding during 2011. Each contract has a total contract price of
$1,000,000 but is payable in five equal annual installments. Both contracts started in the same year.
One contract is accounted for using the installment sales method, the other is accounted using the
cost recovery method. Both contracts record the same amount of gross profit and have the same
gross profit percentage in 2011. a. Assume 2011 is the 3rd year of both contracts, how much gross
profit is recorded on each contract this year? If gross profit is equal for two methods, it must be the
1st year of recording GP under Cost Recovery. Cost Recovery: Total Cash Received = 600,000 =
200,000*3 periods Gross Profit Recorded = 600,000 – 1,000,000(1–GP) Under Installment: Gross
Profit Recorded = 200,000*GP Therefore: 200,000*GP = 600,000 – 1,000,000(1–GP) 400,000 =
800,000GP GP = .50 Gross profit recorded for each

Banking Scenario in Bangladesh
Bismillahir Rahmanir Rahim
An Empirical Study of Performance of
Islamic Banks in Bangladesh with special reference to Islami Bank Bangladesh Ltd
By
Shah Abdul Hannan,
Former Secretary, Ministry of Finance, Government of Bangladesh and M. Fariduddin Ahmad
Deputy Executive President
Islami Bank Bangladesh Limited
________________________________________________
SECTION – I
Banking Scenario in Bangladesh
When Bangladesh came into existence on the 16th December, 1971, the banking sector of
Bangladesh was in a total disarray. With the exception of two local banks incorporated in then East
Pakistan, all the bigger local banks became inoperational.. Starting with such a humble condition,
the Banking Sector of Bangladesh has grown to a ... Show more content on Helpwriting.net ...
their share in total deposits of the Banking system is 11.98%. A detail analysis of deposits of all
Banks vis–a–vis deposits of Islamic Banks by Type of Accounts is given in the following Table:
Table – I
Deposits distributed by Types of Accounts
Amount in Million Taka
(US $ 1=Taka 67.50)
|Sl. No. |Types of Accounts |All Banks |Islamic Banks |Share of Islamic banks (%) |
| | |Nos. of Accounts |Amount |
| | |Nos. of Accounts |% of total |
| | |Nos. of Accounts |
| |a) Long Term |91,664 |1.11 |

The Roaring Twenties In The United States : The Causes Of...
The Roaring Twenties was a time of prosperity in the United States. Rural Americans migrated to
the cities with the hope of finding a more lucrative life. While the American cities prospered, the
overproduction of agricultural crops created extensive financial disheartenment among American
farmers. The American economy showed threatening signs of unrest. For example, steel production
declined, automobile sales diminished, and consumers were increasing their debts because of buying
on margin. Despite all of these negative impacts, the stock market continued to rise until the
economy had reached the boom phase. This is when there is zero unemployment, full production,
and prices increase. Since the boom phase is the highest point of the business cycle, in order to make
a stable economy, there has to be a decline or depression (DOC A). In the 1930s, the United States
suffered from the greatest economic depression in its history. Millions of people, men and women,
were out of work or afraid they soon would be. This rapid change is known as The Great
Depression. Financial irresponsibility led to the greatly unequal distribution of wealth, buying on
credit, and the United States tariff system, each contributors to what is known as The Great
Depression.
One cause of the Great Depression was the unequal distribution of wealth throughout the 1920s. The
uneven distribution of wealth existed on many levels. Money was distributed unevenly among the
the rich and poor. Labor Unions

Acct 421a Chapter 16
ACCT 421A: CORPORATE TAX : Chapter Sixteen
DISCUSSION QUESTIONS
5. How are farmers treated differently from other producers in regard to tax accounting? Since
farmers are usually allowed to use the cash method of accounting, the UNICAP rules do not apply to
farmers, except in the case of plants with a reproduction period of more than two years. The farmer
can elect to use the farm price method of the unit–livestock–price–method. A farmer may also elect
to average the income from farming as if it was earned over the three preceding years. Farmers are
also granted special treatment in regard to the year income must be reported following a natural
disaster or drought.
6. In December 2011, Nell, a cash basis taxpayer, paid ... Show more content on Helpwriting.net ...
This result occurs because the tax law considers this to be deferred compensation that is ineligible
for recurring item exception, unless it is paid by March 15 of the year following the accrual (see
Section 404 (a)(5) and (6).
Your client has asked whether the related accrued Social Security taxes on the vacation pay can be
accrued under the general recurring item exception because the taxes will be paid by the fifteenth
day of the ninth month after the close of the tax year.
Issue
The client would like to know if the related accrued Social Security taxes for accrued vacation pay
earned but not paid can be deducted as a year–end accrual.
Facts
The client is not per mitted to deduct a year–end accrual for vacation pay earned but not paid. The
tax law considers this to be deferred compensation that is ineligible for the recurring item exception,
unless it is paid by March 15 of the year following the accrual.
Rules
Under §404(a)(5) vacation pay is treated as deferred compensation and is only deductible in the year
it is paid to the employee. In Eastman Kodak Company, The United States [76–1 USTC 9363], (Apr.
14, 1976) it was found that Kodak was not entitled to deduct employment taxes pertaining to
vacation pay and bonuses accrued but not yet paid since liability for such taxes does not attach until
such forms of compensation are actually paid.
Application
The client is not

International Trade And Finance ( Bus571 )
Ntec
Concordia Institute of Business
Submitted to: Adrian liew
Course: Diploma in Business Management (Level–7)
Subject: International trade and finance (BUS571)
Submitted By: Amanpreet singh bajaj
Student ID:CIB00002YB
Assignment: International trade
Introduction
Quality NZ is a niche supplier of New Zealand's first quality products and services to the rapidly
expanding Indian market, with a specific focus on the food and Beverage, Tourism and Education
sectors . Quality NZ has ownership of a number of subsidiaries that represents us in both NZ and
India (through our Indian based import Company) there products are all personally selected to
ensure only the finest Quality is presented to our customers in india . With the deep passion India's
have for Cricket , Quality NZ is privileged to have Sir Richard Hadlee as our Patron ( and a
shareholder ) and Company Ambassadors , Stephen Fleming Daniel Vettori and Brendor McCullana
The networks and relationships formed through our cricketing representatives and our Indian based
staff provide us with significant credibility to the Indian market.( www.qualitynz.com)
www.qualitynz.com
Business units and subsidiared :–
Fonterra Brands
Consumer goods business
Fonterra Ingredients
Fonterra Global Trade Dairy ingredients supplier to the globally traded market
Fonterra foodservices Hospitality supplies

Fonterra Group Manufacturing
Fonterra's

‚Äúa Comparative Study of Apple Iphones and Samsung...
Introduction There's some evidence that Apple Inc.'s strategy to increase its share of the fast–
growing smart phone market in India may be working. Apple's shipped 252,000 iPhones to India in
the last quarter of 2012, three times the number in the previous three months, according to new data
by Singapore–based mobile research firm Canalys. The figure was more than double from the same
quarter a year earlier, the data showed. Apple launched the iPhone5 in India in November to
coincide with the Hindu festival of Diwali, when consumers usually splurge on lifestyle products. At
the same time, Apple changed its distribution strategy for India, aiming to get its product to a wider
range of customers. Rachel Lash ford, Managing Director for ... Show more content on
Helpwriting.net ...
Lacking direction, he dropped out of college after six months and spent the next 18 months dropping
in on creative classes. Jobs later recounted how one course in calligraphy developed his love of
typography. In 1974, Jobs took a position as a video game designer with Atari. Several months later
he left Atari to find spiritual enlightenment in India, traveling the continent and experimenting with
psychedelic drugs. In 1976, when Jobs was just 21, he and Wozniak started Apple Computers. The
duo started in the Jobs family garage, and funded their entrepreneurial venture after Jobs sold his
Volkswagen bus and Wozniak sold his beloved scientific calculator. Jobs and Wozniak are credited
with revolutionizing the computer industry by democratizing the technology and making the
machines smaller, cheaper, intuitive and accessible to everyday consumers. Wozniak conceived a
series of user–friendly personal computers and with Jobs in charge of marketing–Apple initially
marketed the computers for $666.66 each. The Apple I earned the corporation $774,000. Three years
after the release of Apple 's second model, the Apple II, sales increased by 700 percent, to $139
million. In 1980, Apple Computer became a publically traded company, with a market value of $1.2
billion on the very first day of trading. Jobs looked to marketing expert John Scully of Pepsi–Cola

Essay on Acc 400 Week 5 Assignment
Week 5 Text Exercises
Course: ACC/400
13–4 A. Firms with lower effective tax rates were found to have a higher proportion of leased debt
to total assets than did firms with higher effective tax rates. Some lease agreements are in–substance
long–term installment purchases of assets that have been structured to gain tax or other benefits to
the parties. Since leases may take different forms, it is necessary to examine the underlying nature of
the original transaction to determine the appropriate method of accounting for these agreements.
That is, they should be reported in a manner that describes the intent of the lessor and lessee rather
than the form of the agreement. B. Lani should account the lease as both an asset and a ... Show
more content on Helpwriting.net ...
To be able to classify the lease as a sales–type or direct financing lease Lambert Company must
meet one or more of the following criteria: (a) The lease transfers ownership to the lessee by the end
of the lease. (b) There is a bargain purchase option contained in the lease. (c) The term of the lease is
equal to 75% or more of the estimated economic life of the leased asset. (d) The present value of the
minimum lease payments is at 90% of the fair value of the leased asset to the lessor.
Also a sales type lease must involve a dealer or manufacturer's profit or loss. This exists if the assets
fair value at inception of the lease differs from the cost or carrying value. C. In a sales–type lease the
carrying value of the asset is charged to cost of the asset leased (expense), and the present value of
the minimum lease payment as the amount of the sale. For direct financing leases no sales or
expense is recognized because the asset is removed from the books. The difference between its
carrying value and the undiscounted minimum lease payments is recorded as unearned interest
revenue. The net investment in a sales type lease ia accounted for in a similar manner as a direct
financing

Intermediate Accounting Iii
Midterm Exam Review
1.The revenue recognition principle provides that revenue is recognized when? Pages 907–8
Dot Point, Inc. is a retailer of washers and dryers and offers a three–year service contract on each
appliance sold. Although Dot Point sells the appliances on an installment basis, all service contracts
are cash sales at the time of purchase by the buyer. Collections received for service contracts should
be recorded when?
An alternative available when the seller is exposed to continued risks of ownership through return of
the product is what? Page 910
2. In selecting an accounting method for a newly–contracted long–term construction project, the
principal factor to be considered should be what? Page 933
The ... Show more content on Helpwriting.net ...
No other differences existed between book income and taxable income except for the amount of
depreciation. [page 984])
Assuming a 30% tax rate, what amount was deducted for depreciation on the corporation's tax return
for the current year?
5. Machinery was acquired at the beginning of the year. Depreciation recorded during the life of the
machinery could result in (Page 1002)
Future Future Taxable Amounts Deductible Amounts
a. Yes Yes
b. Yes No
c. No Yes
d. No No
Tax rates other than the current tax rate may be used to calculate the deferred income tax amount on
the balance sheet if
A temporary difference arises when a revenue item is reported for tax purposes in a period After it is
reported Before it is reported in financial income in financial income
a. Yes Yes
b. Yes No
c. No Yes
d. No No
6. Deferred taxes should be presented on the balance sheet (Page 984)
Deferred tax amounts that are related to specific assets or liabilities should be classified as current or

noncurrent based on
A deferred tax liability is classified on the balance sheet as

Proposal for the Acquisition
Proposal for the Acquisition of
Sample Industries, Inc.
Prepared for:
Timothy Jones, CEO
ABC Actuarial, Inc.
Prepared by:
John Smith, CPA
ACME Valuation Services, LLP
500 North Michigan, Ave.
Chicago, IL 60600
The information contained herein is of a confidential nature and is intended for the exclusive use of
the persons or firm for whom it was prepared. Reproduction, publication or dissemination of all or
portions hereof may not be made without prior approval from ACME Valuation Services, LLP.
This sample acquisition proposal was generated using Buy–Out Plan® and the Financial Report
Builder™.
For more information call MoneySoft at (800) 966–7797. Note: this footer is fully customizable.
How This Report Was ... Show more content on Helpwriting.net ...
EXECUTIVE SUMMARY
1
ASSUMPTIONS AND LIMITING CONDITIONS
4
EXTERNAL SOURCES OF INFORMATION
5
INTERNAL SOURCES OF INFORMATION

5
COMPANY BACKGROUND
Company Identification
Nature and History of the Company
Stock Classes and Ownership
Management Team
Product and Service Information
Market Data and Analysis/Competition
Governmental or Regulatory Environment
Key Customers and Suppliers
Marketing Strategy
Business Risks
Current Operations
Company Expectations
Other Observations
5
5
5
5
6
6
6
6
6
6
6
7
7
7
NATIONAL ECONOMIC AND INDUSTRY CONDITIONS
General Economic Conditions and Outlook
Industry Conditions and Outlook
8
8
8
HISTORICAL AND NORMALIZED FINANCIAL STATEMENTS
Summary Historical Income Statements
Income Statement Adjustments
Normalized Historical Income Statements
Summary Historical Balance Sheets

Balance Sheet Adjustments
Normalized Historical Balance Sheets
Summary Historical Statements of Cash Flows
Normalized Earnings and Net Cash Flow Summary
Normalized Interim Financial Statements
9
9
9
10
10
11
11
12
13
14
ANALYSIS OF HISTORIC FINANCIAL STATEMENTS
Business Common–Size Financial Statements
Business vs. Industry Common–Size Financial Statements
Business Financial Ratio Analysis
Business vs. Industry Financial Ratio Comparison
16
16
17
19
21
VALUATION OF SAMPLE INDUSTRIES, INC.
Overview of Valuation

â€¢ Explain The Requirements For Changing A Tax Year
13 chapter TAX ACCOUNTING
OBJECTIVES
After completing Chapter 13, you should be able to:
1. List what are permissible tax years.
2. Explain the requirements for changing a tax year.
3. Identify the available accounting methods.
4. Understand the rules for accounting method changes.
5. Account for the capitalization of inventory costs.
6. Describe long–term contract reporting.
7. Defi ne the installment method of accounting.
13–2 CCH FEDERAL TAXATION–COMPREHENSIVE TOPICS
OVERVIEW
The fi rst 12 chapters are presented primarily from the individual taxpayer's point of view (including
self–employed taxpayers). This chapter provides a general discussion of the previous material as it
applies to other entities and provides a ... Show more content on Helpwriting.net ...
Thus, the Internal Revenue
Service has been provided with Code Sec. 482, under which it may reallocate items of income,
deduction, credit, or allowance in order to prevent tax avoidance when two or more organizations
are controlled by the same interest. Further, if the taxpayer's method of accounting does not clearly
refl ect income, Code Sec. 446 authorizes the IRS to require the use of a method that will do so.
Additionally, the Supreme Court has indicated that the use of generally accepted accounting
principles (GAAP), which apply to fi nancial accounting and are considered to be the "best"
accounting practices, does not necessarily clearly refl ect income and does not shift the burden of
proof to the IRS to show otherwise. Thor Power Tool Co., 79–1 USTC ¶9139, 439 U.S. 522 (1979).
Once the questions of what items are includible in gross income and what items are deductible in
computing taxable income are answered, a second set of questions must be faced. These relate to
when such qualifying items are to be utilized in that computation. In other words, in what tax year is
an item of income actually to be included in gross income? In what tax year is a deduction to be
subtracted from gross income?
The general answers to most of these "when" questions are furnished in terms of the method of
accounting regularly employed by the taxpayer in his or her business and recordkeeping. That
record, however, must "clearly refl ect income." Various accounting

Inventory and Outstanding Checks Essay
AC501: Financial Accounting and Reporting Unit 3 Assignment Chapter 7 E7–5 (Recognition of
profit for long–Term Contracts) Andre Agassi Construction Company began operations January 1,
2008. During the year, Andre Agassi Construction entered into a contract with Lindsey Davenport
Corp. to construct a manufacturing facility. At that time, Agassi estimated that it would take 5 years
to complete the facility at a total cost of $ 4, 5000,000. The total contract price for construction of
the facility is $ 6,300,000. During the year, Agassi incurred $ 1, 185,800 in constriction coast related
to the construction project. The estimated cost to complete the contract is $ 4,204,200. Lindsey
Davenport Corp. was billed and paid 30% of ... Show more content on Helpwriting.net ...
The following information is available from the cash records. June 30 Bank Reconciliation Balance
July 31 $ 7,000 Add: Deposits in transit 1,540 Deduct: Outstanding checks (2,000) Balance per
books $6,540 Month of July Results Per Bank Per Books Balance July 31 $ 8.650 $ 9,250 July
deposits 5,000 5,810 July checks 4,000 3,100 July note collected (not included in July deposits)
1,000 – July bank service charge 15 – July NSF check from customer, returned by the bank
(recorded by bank as a charge) 335 – Instructions (a) Prepare a bank reconciliation going from
balance per books to correct cash balance. (b) Prepare the general journal entry or entries to correct
the Cash account. Answer (a) Angela Lansbury Company Bank Reconciliation July 31 Balance per
bank statement, July 31 $8,650 Add: Deposits in transit 2,350a Deduct: Outstanding checks (1,100)b
Correct cash balance, July 31 $9,900 Balance per books, July 31 $9,250 Add: Collection of note
1,000 Less: Bank service charge $ 15 NSF check 335 (350) Correct cash balance, July 31 $9,900 a
Computation of deposits in transit Deposits per

Revenue Recognition
Revenues are realized when goods and services are exchanged for cash or claims to cash (that is,
receivables). Revenues are realizable when assets received in exchange are readily convertible to
known amounts of cash or claims to cash. Revenues are earned when the entity has performed its
duties to be entitled to compensation. There are 4 main transactions of this kind: Revenue from
selling inventory is recognized at the date of sale (usually interpreted as the date of delivery).
Revenue from performing services is recognized when services have been performed and are
billable. Revenue from permission to use company's assets (e.g. interests for using money, rent for
using fixed assets, and royalties for using intangible assets) is ... Show more content on
Helpwriting.net ...
This applies to agricultural products and minerals because (1) there is a ready market for these
products with reasonably assured prices, (2) the units are interchangeable, and (3) selling and
distributing does not involve significant costs. [edit]Deposits Making a deposit is not considered to
be a sufficient evidence of sale, thus no revenue or sale is recorded until the sale is completed (that
is, the whole price is paid or the delivery). The deposit is recorded as a liability. [edit]Exceptions:
revenues recognized after delivery Sometimes, the collection of receivables involves a high level of
risk. It usually applies to sales when periodic payments must be made over an extended period of
time (e.g. home equipment, industrial equipment). In such case revenue recognition is deferred until
the cash is received. And there are two methods to deal with this situation: Installment sales method:
it allows recognizing proportional gross profit on cash collection. For example, if a company
collected 45% of total product price, it can recognize 45% of total profit on that product. Cost
recovery method is used when there is an extremely high probability of uncollectible payments.
Under this method no profit is recognized until cash collections exceed the seller's cost of the
merchandise sold. For example, if a company sold a machine worth $10,000 for $15,000, it can start
recording profit

Ifrs Accounting Solution
Solutions to Problems and Exercises TABLE OF CONTENTS * Chapter 1 1 Concepts for Analysis
1–5 1 Concepts for Analysis 1–6 2 Concepts for Analysis 1–10 3 Concepts for Analysis 1–11 3 *
Chapter 2 4 Brief Exercise 2–3 4 Brief Exercise 2–4 4 Brief Exercise 2–5 4 Exercise 2–3 5 *
Chapter 3 6 Exercise 3–6 6 Exercise 3–9 6 Exercise 3–11 8 Exercise 3–14 10 Exercise 3–15 10
Exercise 3–16 10 * chapter 4 12 Exercise 4–2 12 Exercise 4–4 13 Exercise 4–5 16 Exercise 4–12 17
Exercise 4–13 18 Exercise 4–15 19 Problem 4–1 19 Problem 4–7 21 * Chapter 5 23 Exercise 5–2 23
Exercise 5–4 23 Exercise 5–13 25 Exercise 5–15 25 Problem 5–2 27 * Chapter 7 29 Exercise 7–5 29
Exercise 7–7 30 Exercise 7–13 30 ... Show more content on Helpwriting.net ...
AcSEC also issues Practice Bulletins which indicate how the AICPA believes a given transaction
should be reported. Recently, the role of the AICPA in standard–setting has diminished. The FASB
and the AICPA agreed, that after a transition period, the AICPA and AcSEC no longer will issue
authoritative accounting guidance for public companies. CA 1–6 (a) The Financial Accounting
Foundation (FAF) is the sponsoring organization of the FASB. The FAF selects the members of the
FASB and its Advisory Council, funds their activities, and generally oversees the FASB's activities.
The FASB follows a due process in establishing a typical FASB Statement of Financial Accounting
Standards. The following steps are usually taken: (1) A topic or project is identified and placed on
the Board's agenda. (2) A task force of experts from various sectors is assembled to define problems,
issues, and alternatives related to the topic. (3) Research and analysis are conducted by the FASB
technical staff. (4) A preliminary views document is drafted and released. (5) A public hearing is
often held, usually 60 days after the release of the preliminary views. (6) The Board analyzes and
evaluates the public response. (7) The Board deliberates on the issues and prepares an exposure draft
for release. (8) After a 30–day (minimum) exposure period for public comment, the Board evaluates
all of the responses received. (9) A committee studies the exposure draft in relation to the public

CompExam E Accepted Essay
COMPREHENSIVE EXAMINATION E
PART 5
(Chapters 18–21)
Approximate
Problem Topic Time E–I Long–Term Contracts. 15 min. E–II Installment Sales Method. 20 min. E–
III Deferred Income Taxes. 25 min. E–IV Pensions. 15 min. E–V Leases. 25 min. 100 min.
Problem E–I – Long–Term Contracts.
Edwards Company contracted on 4/1/14 to construct a building for $2,400,000. The project was
completed in 2016. Additional data follow:
2014 2015 2016 Costs incurred to date $ 560,000 $1,350,000 $1,900,000 Estimated cost to complete
1,040,000 450,000 – Billings to date 500,000 1,900,000 2,400,000 Collections to date 400,000
1,300,000 2,200,000
Instructions
(a) Calculate the income recognized by ... Show more content on Helpwriting.net ...
(Note: this lease was an operating lease and Dexter classified the unearned rent as a current liability
on its balance sheet.)
4. Dexter owns $200,000 of bonds issued by the State of Oregon upon which 5% interest is paid
annually. In 2015, Dexter showed $10,000 of income from the bonds on its income statement but
did not show any of this amount on its tax return. (Note: these bonds are classified as long–term
investments on Dexter's balance sheet.)
5. In 2015, Dexter insured the lives of its chief executives. The premiums paid amounted to $12,000
and this amount was shown as an expense on the income statement. However, this amount was not
deducted on the tax return. The company is the beneficiary.
Problem E–III (cont.)
Instructions
Assuming that the income statement of Dexter Company showed "Income before income taxes" of
$1,500,000; that the enacted tax rates are 30% for all years; and that no other differences between
book and taxable incomes existed, except for those mentioned above:

(a) Compute the income taxes payable.
(b) Prepare a schedule of future taxable and (deductible) amounts at the end of 2015.
(c) Prepare a schedule of deferred tax (asset) and liability at the end of 2015.
(d) Compute the net deferred tax expense (benefit) for 2015.
(e) Make the journal entry recording income tax expense, income taxes payable, and deferred
income taxes for 2015.
(f) Indicate how income tax expense and any deferred income taxes

Analysis Of The Marketing Ethics Of California Fitness
Fitness clubs usually have positive images since exercising is good for our health. The healthy
images might lower people's alertness towards their promotion practices. California Fitness is a
well–known fitness gym and health club, it is the second large fitness chain store in Hong Kong.
The company has caused controversies because of their marketing activities. News articles reported
that the Consumer Council received a great number of complaints about California Fitness's sales
practice. In this essay, I will discuss one of California Fitness's marketing activities that involve
marketing ethical issues. I will apply the ethical values set by The American Marketing Association
(AMA) in the discussion.
Ferrell (2004) suggested that when ... Show more content on Helpwriting.net ...
Moreover, there would be other external charges and service charges. The advertisement is false and
misleading, it deceptive about pricing or credit terms. The customers have the right to be informed,
California Fitness fails to tell the truth in all situations and all times and did not offer the price of the
product offered in their advertisement, it is unethical and

Chapter 18 Essay
E18–5 Organic Growth Company is presently testing a number of new agricultural seeds that it has
recently harvested. To stimulate interest, it has decided to grant to five of its largest customers the
unconditional right of return to these products if not fully satisfied. The right of return extends for 4
months. Organic Growth sells these seeds on account for $1,500,000 on January 2, 2012.
Companies are required to pay the full amount due by March 15, 2012. (a) Prepare the journal entry
for Organic Growth at January 2, 2012, assuming Organic Growth estimates returns of 20% based
on prior experience. (Ignore cost of goods sold.) (b) Assume that one customer returns the seeds on
March 1, 2012, due to unsatisfactory performance. ... Show more content on Helpwriting.net ...
The job was completed in 2012. The following information is available. 2010 2011 2012 Costs
incurred to date $400,000 $825,000 $1,070,000 Estimated costs to complete 600,000 275,000 –0–
Billings to date 300,000 900,000 1,600,000 Collections to date 270,000 810,000 1,425,000 (a)
Compute the amount of gross profit to be recognized each year assuming the percentage–of–
completion method is used. (b) Prepare all necessary journal entries for 2011. (c) Compute the
amount of gross profit to be recognized each year assuming the completed–contract method is used.
E18–15 In 2010 Gurney Construction Company agreed to construct an apartment building at a price
of $1,200,000. The information relating to the costs and billings for this contract is shown below.
2010 2011 2012 Cost incurred to date $280,000 600,000 785,000 Estimated costs yet to be incurred
520,000 200,000 –0– Customer billings to date 150,000 500,000 1,200,000 Collection of billings to
date 120,000 320,000 940,000 (a) Assuming that the percentage–of–completion method is

Paper
CHAPTER 18 REVENUE RECOGNITION MULTIPLE CHOICE–Conceptual Answer No.
Description
c 1. Revenue recognition principle.
b 2. Definition of "realized."
a 3. Definition of "earned."
d 4. Recognizing revenue at point of sale.
d 5. Recording sales when right of return exists.
c 6. Revenue recognition when right of return exists.
d 7. Revenue recognition when right of return exists.
b 8. Appropriate accounting method for long–term contracts.
c 9. Percentage–of–completion method.
b 10. Percentage–of–completion method.
c 11. Classification of progress billings and construction in process.
b 12. Calculation of gross profit using percentage–of–completion.
a 13. Disclosure of earned but unbilled revenues. ... Show more content on Helpwriting.net ...
E18–70 Percentage–of–completion method.
E18–71 Percentage–of–completion method.
E18–72 Percentage–of–completion and completed–contract methods.
E18–73 Installment sales.
*E18–76 Franchises.
PROBLEMS Item Description
P18–77 Long–term contract accounting–completed contract.
P18–78 Long–term construction project accounting.
P18–79 Accounting for long–term construction contracts.
P18–80 Installment sales.
CHAPTER LEARNING OBJECTIVES 1. Apply the revenue recognition principle.
2. Describe accounting issues involved with revenue recognition at point of sale.
3. Apply the percentage–of–completion method for long–term contracts.
4. Apply the completed–contract method for long–term contracts.
5. Identify the proper accounting for losses on long–term contracts.
6. Describe the installment–sales method of accounting.
7. Explain the cost–recovery method of accounting.

*8. Explain revenue recognition for franchises and consignment sales.
SUMMARY OF LEARNING OBJECTIVES BY QUESTIONS Item
Type
Item
Type
Item
Type
Item
Type
Item
Type
Item
Type
Item
Type
Learning Objective 1
1.
MC
2.
MC
3.
MC
55.
MC
66.
E
67.
E
4.
MC
5.
MC
6.
MC
7.
MC
67.
E
8.
MC
12.

MC
33.
MC
37.
MC
68.
E
72.
E
9.
MC
13.
MC
34.
MC
39.
MC
69.
E
78.
P
10.
MC

General Accepted Accounting Principles ( Gaap ) : The...
Accounting Standards Update 2014–09 Revenue from Contracts with Customers (Topic 606)
ACCT 610 Financial Reporting and Disclosure
Daisy Gaytan
California State University, San Bernardino
Abstract
1. General Accepted Accounting Principles (GAAP): The Revenue Recognition Principle Revenue
recognition is a difficult matter in accounting. The company's results differ depending of the method
used to recognized earnings. This is a complex situation since business activities are broad and
intricate. Therefore, policies and regulations are imperative to reduce manipulation of financial
statements. The foundation of the income measurement is the accrual accounting. According to
Collins, Johnson, and Mittelstaedt (2012) under accrual accounting, revenue is recorded in the
period when they are earned and become measurable. This is when the vendor rendered a service, or
transferred an asset to the purchaser and the value of the transaction is realistically assured.
Expenses are also recorded in the same period in which the revenues are recognized (the matching
principle). Reported revenues under accrual accounting most of the time do not match cash receipts
during the period. Accrual accounting provide a more accurate measure of the economic value
added than cash flows. The accounting process of recognizing income includes two steps: revenue
recognition, and expense matching.
1.1 Criteria for Revenue Recognition According with GAAP, (Collins et al.)

Aspen Technology, Inc. Currency Hedging Review
Executive Summary
Aspen has become a public company withmore risk adverse investors who want to invest in the core
business of the firm and not assume any foreign exchange risk. Foreign exchange risk is a core risk
to Aspen's business because they have many customers outside of the United States. We believe that
transferring this risk to the customers would limit Aspen's growth on the foreign markets: Aspen
should keep its current marketing strategy, which includes credit installment payments and
payments in local currencies for Japan, the UK and Germany. The current risk management program
hurts the company because it doesnot consider Aspen's expenses abroad that balance sales exposures
to currency fluctuations. We then recommend that ... Show more content on Helpwriting.net ...
This move would cut Aspen's exposure to cash flow risk, but it would be a sign of bad faith with
their customers. The customers have freedom to make installment payments and do not have to
worry as much about their own risk exposure in these transactions (although any company making
foreign transactions will always be open to accounting risk exposure and foreign exchange rate
exposure). Also, billing in local currency is also a way for local companies to compare offers more
easily with competitors. Not doing so could decrease Aspen's growth abroad. While Aspen could
reduce its foreign exchange exposure by reducing the amount of installment payments or by using
other methods, this may not sit well with their current customers who may in turn reduce orders and
find other suppliers in order to reduce the risk or the heavy costs that Aspen's choices would leave
with them. Because foreign exchange risk is a core risk for Aspen and has been managed fairly well
until this point, we see no reason for them to overhaul their business model and risk alienating their
customers.
Foreign Exchange Exposure
While we assume that 50% of German sales are still made in DM, in 1995, 25.9% of Aspen's 1995
revenues are made in foreign markets, but only in Japan, in the UK and in Germany (increasingly)
has the firm priced its products in local currencies. That means that, about 23.8% of Aspen total
sales are made in foreign currencies, implying a foreign

The Pleasure Of Online Shopping
The Pleasure Of Online Shopping Internet Shopping is today the most helpful and energizing
method for shopping. It obliges each salary bunch and accordingly has a wide client base. It permits
clients to purchase products and administrations from venders or dealers utilizing the web.
Numerous individuals discover this the most casual type of shopping, all the more so from the
accommodation of their home. It likewise has its preferences and disservices, that ought to be
remembered to make shopping a delight. Web Shopping lets you to shop from your home. You can
unwind before your PC or tablet and peruse from different shopping entrances. A few favorable
circumstances incorporate the accompanying: You don't have to get dressed and prepared ... Show
You just need a web association with find what you require and really make the buy. It spares you
time you would have generally utilized as a part of going the distance to the stores. With the online
stores, you can make a minutes ago arrangements and set up everything together inside of minutes.
The Money Saving Advantage Each customer knows the significance of sparing some cash
notwithstanding while going for brilliant items. This is the thing that web shopping brings to the
table considering that shabby arrangements and rebates are constantly accessible. Purchasers making
buys specifically from producers wind up sparing a lot of cash. Disposal of go betweens enhances
retail costs and offers shockingly better costs while purchasing your items in mass. The Variety
Advantage The online stage offers purchasers a lot of alternatives as far as items and brands. New
items are presented in the business sector quick and simple making them accessible to purchasers
when they are propelled. With such a colossal assortment, you will have all the opportunity to pick
the best hues and sizes of the items you are after. You can likewise make correlations for the items
you require from various brands to get the best and at a value you find generally

Charter Case
The Charter Company Page 1 of 9 The Charter Company Overview The Charter Company was
organized in 1959 as a consolidation of several existing corporations. The company's primary line of
business was petroleum production and marketing, although it also maintained a significant equity
investment in the Charter Security Life Insurance Company. In 1983, the Charter Company was
listed by Fortune magazine among the 100 largest U.S. industrial companies. For the year ended
December 31, 1983, revenues totaled $5.7 billion, and income from continuing operations was $50.4
million. For 1982, revenues were $4 billion, and earnings from continuing operations were $29.8
million. In spite of the continuing worldwide glut in crude oil and ... Show more content on
Helpwriting.net ...
| $133,896 | $108,180 | $155,673 | $145,485 | $446,649 | Income taxes | 83514 | 78350 | 99727 |
95248 | 78923 | Earnings from continuing operations | $50,382 | $29,830 | $55,946 | $50,237 |
$367,726 | Discontinued operations, net | (1,950) | 5,430 | (48,229) | – | – | Extraordinary charge | – |
– | – | – | (2,388) | Earnings before cumulative effect | $48,432 | $35,260 | $7,717 | $50,237 |
$365,338 | Cumulative effect on prior years of a | change in accounting principle | 5,463 | – | – | – | –
| Net earnings | $53,895 |

Finance 340
FINC 340 Financial Management
Homework Assignment I
You can provide your answers by expanding the space between questions.
You must show your work and/or explain your answers sufficiently to get credit.
Points for each question are the same.
Chapter 01 1. What is the goal of the firm? Explain. Ans: A firm's goals usually include (1)
stockholder wealth maximization, (2) profit maximization, (3) Managerial reward maximization, (4)
behavioral goals, and (5) social responsibility. However, the primary goal of the business is to
maximize the wealth of its stockholders, which translates into maximizing the price of the firm's
common stock. The traditional goal frequently stressed by economists––profit maximization––is not
... Show more content on Helpwriting.net ...
Smith Company
Balance Sheet (in millions of USD)
December 31, 2XX1 And 2XX2 Assets | 2XX2 | 2XX1 | Liabilities and Equity | 2XX2 | 2XX1 |
Current Assets | | | Current Liabilities | | | Cash | $270 | $305 | Accounts Payable | $200 | $150 |
Accounts Receivables | 290 | 275 | Income Tax Payable | 0 | 0 | Inventories | 630 | 600 | Accrued
Wages and Salaries | 0 | 0 | Other Current Assets | 0 | 0 | Notes Payable (interest bearing) | 0 | 125 |
Total Current Assets | $1,190 | $1,180 | Total Current Liabilities* | $200 | $275 | Fixed Assets | | |
Long–Term Debt | 500 | 500 | Plant and Equipment | $1,990 | $1,700 | Total Liabilities | $700 | $775 |
Accumulated Depreciation | –700 | –500 | Common Stock | $1,080 | $940 | Patents | 0 | 0 | Retained
Earnings | 700 | 665 | Total Net Fixed Assets | $1,290 | $1,200 | Total Stockholder's Equity | $1,780 |
$1,605 | Total Assets | $2,480 | $2,380 | Total L. & Equity | $2,480 | $2,380 |
Smith Company
Income Statement (in millions of USD) December 31, 2XX2 | | | Sales | | $1,330 | Cost of Goods
Sold | | 760 | Gross Profit on Sales | | 570 | Operating Expenses | | | Marketing Expenses | $15 | |
General and Administrative | 15 | | Depreciation | 200 | | Total Operating Expenses | $230 | $230 |
Earnings Before Interest and Taxes (EBIT) or Operating

Marketing Mix Report Of Braaap: Key Characteristic,...
Marketing Mix Report of braaap
1. Key characteristic, product and services. braaap is leading brand in pit bikes and it proud to be the
only dirt bike which offers life time warranty. The dirt bikes of the company are made for adult
segment of the market and this product is able to handle a beating. braaap bikes are designed,
assembled tested in Australia by skilled, qualified and competent engineers. It has manufacturing
partners in different countries such as, USA, Germany, UK and France.
2. Identify the key characteristics of their products and services
There are many distinct characteristics and differential points of Braaap (braaap, n.d.):–
braaap offers life time warranty for its motorbikes; no other company offers such a value for
customers. Therefore customers prefer to buy as they feel more benefit by replacing or repairing
their bikes free.
Customers are provided with customized products and can ... Show more content on Helpwriting.net
...
the level of customer service provided
Customers are satisfied with braaap's after sales services as they can get their bikes repaired free of
costs and lifetime warranty. It is another source of customer's satisfaction for braaap. Customers find
it more economical and cost effective as they get free after sales services from the company.
5. Identify braaap's potential customer base and key pressure points
The main target is adult group who like extreme fun. In addition, the company expands the target to
new segments for kids and women by light engine small bikes braaap can also target young girls and
teens by offering them with light weight bikes. The expansion of target group is a key pressure for
the company to develop their product and service to meet the different target expectation.
6. Establish the components of the marketing mix.
The marketing mix of braaap are as followed:–
Product
Different kinds of Motorbike for adult, kids and women by offering four different types of best
quality products for road, electronic, kids and super lite

Financial Accounting and Reporting
FINANCIAL ACCOUNTING AND REPORTING Module 9: Basic Theory and Financial Reporting
Module 10: Inventory Module 11: Fixed Assets Module 12: Monetary Current Assets and Current
Liabilities Module 13: Present Value Module 14: Deferred Taxes Module 15: Stockholders' Equity
Module 16: Investments Module 17: Statement of Cash Flows Module 18: Business Combinations
and Consolidations Module 19: Derivative Instruments and Hedging Activities Module 20:
Miscellaneous Module 21: Governmental (State and Local) Accounting Module 22: Not–for–Profit
Accounting Outlines of Accounting Pronouncements As indicated previously, this manual consists
of 14 modules designed to facilitate your study for the Financial Accounting and Reporting ... Show
(1) Although GAAP is the current basis for financial reporting, it does not constitute a cohesive
body of accounting theory. Generally, authoritative pronouncements have been the result of a
problem–by–problem approach that have dealt with specific problems as they occur and are not
predicated on an underlying body of theory. (2) Accounting has a definite need for conceptual
theoretical structure if an authoritative body such as the FASB is to promulgate consistent standards.
(3) A body of accounting theory should be the foundation of the standard–setting process and should
provide guidance where no authoritative GAAP exists. (4) The FASB issued concept statements to
develop a theoretical framework. As of December 2011, the FASB had issued eight concept
statements to develop a frame of reference. (a) The purpose of the concept statements is "to set forth
objectives and fundamental concepts that will be the basis for development of financial accounting
and reporting guidance" (SFAC 8). In other words, the SFAC attempt to organize a framework that
can serve as a reference point in formulating financial accounting standards. NOTE: The SFAC do
not constitute authoritative GAAP and therefore are not part of the Codification. (b) Three concept
statements have been superseded by other concept statements: SFAC 1 and SFAC 2 were superseded
by SFAC 8, and SFAC 3 was superseded by SFAC 6. The remaining

Joan Holtz Case 5-3
ACCT101 project Case5–3 1. Electric utility bills Method 1: As everyone knows, the electricity
meters can be read every month. Therefore, in December the company will know the electricity
usage of the former 12 months including that of December last year. And the usage of electricity in
December this year can be included in the next year's revenue. Method 2: Strictly speaking, the
revenue recognized in method 1 is not earned in THIS YEAR. through the method of estimating the
electricity usage in December this year, added by the actual usage of former 11 months, we can get
record the revenue and then do some adjustment in the next year. 2. Retainer fee none of the
$10,000 should be counted as revenue in 2006. In accordance with ... Show more content on
Helpwriting.net ...
Account payable 500 Cash 500 American Express should record the journal entries: Cash 500
Account receivable 500 8. Product repurchase agreement Manufacturer A has no revenue in 2006,
for it promised to repurchase the merchandise from Wholesaler B at the moment A sold them in
December 2006, even though the repurchase happened in 2007. A also agreed to repurchase
merchandise with higher price later on. This is a financing activity but not the operating activity.
$100,000 of the payment should be considered as notes payable, and the agreed amount of
repurchase less $100,000 is interest payable at mature date. 9. Franchises The answer is no The
revenue should be recognized after the national company provide the relevant services and conduct
the obligations to the franchise, such as the right of using their well–known name, one–week initial
training course, national wide referral system and various marketing and management aids. If the
revenue is recognized in the year of signing agreement, after the market saturation, the national
company will not recognize any revenue from franchises, i.e. lose 25% of

Federal Taxation Chapter 1 Answer Key
1
Answer
The purpose of the Sixteenth Amendment was that it provided power to the Congress to directly or
indirectly tax all income. It also allow government to create income taxes and caused all taxpayers
(individual and corporate) to pay a portion of their income to the government. The Sixteenth
Amendment created a key way to generate funds to run the country.
Chapter 2 (5 pts)
2.
Answer
An individual taxpayer can avoid the penalty for underpayment if the payments of the estimated tax
is at least as large as any one of the following:
 If payment equals or exceed 90% of what is owed in the current year, the taxpayer can escape
penalty.
 An amount equal to 90% of the tax for the taxable year calculated by annualizing the taxable
income received for the months in the taxable year ending before the month which the installment is
required ... Show more content on Helpwriting.net ...
It includes – property taxes, and medical expenses.
Above the line is more valuable to a taxpayer since it helps to reduce the adjusted gross income
(AGI), and further reduces tax liability on the taxpayer.
Chapter 13 (5 pts)
4
Answer
An installment sales is the disposition of an asset or property where a portion of the sale amount is
received after the close tax year in which the sale occurs.
Yes, it is a form of income deferral because it could be used by cash–basis taxpayers as a means to
defer gains recognition or can spread gain recognition over several tax periods.
The installment method is not provided to all taxpayers, and this method may not be used in the
event that the property was disposed at a loss. it cannot be used by dealers in real and personal
property, for sale of personal property under revolving credit plan, or for sales of depreciable
property to a controlled entity. The taxpayer must prove to the Internal Revenue Service that the tax
avoidance was not a principal purpose of the

Accounting Test Bank
Question 36
Taxable income of a corporation
Correct Answer: differs from accounting income due to differences in interperiod allocation and
permanent differences between the two methods of income determination.
Question 37 Correct Answer: III
Question 38
Interperiod income tax allocation causes
Correct Answer: tax expense shown on the income statement to equal the amount of income taxes
payable for the current year plus or minus the change in the deferred tax asset or liability balances
for the year.
Question 39
The deferred tax expense is the
Correct Answer: increase in balance of deferred tax liability minus the increase in balance of
deferred tax asset.
Question 40
The rationale for interperiod income tax ... Show more content on Helpwriting.net ...
An item that would create a permanent difference in accounting and taxable incomes for Renner
would be
Correct Answer: a fine resulting from violations of OSHA regulations.
Question 55
An example of a permanent difference is
Correct Answer: all of these.
Question 56
Which of the following will not result in a temporary difference?
Correct Answer: All of these will result in a temporary difference.
Question 57 Correct Answer: IV
Question 58 Correct Answer: II

Question 59
The use of accelerated depreciation for tax purposes and straight–line depreciation for accounting
purposes results in
Correct Answer: a larger amount of depreciation expense shown on the income statement than on
the tax return in the last year of the asset's useful life.
Question 60
Which of the following is a permanent difference that is recognized for tax purposes but not for
financial reporting purposes?
Correct Answer: The deduction for dividends received from U.S. corporations.
Question 61
When a change in the tax rate is enacted into law, its effect on existing deferred income tax accounts
should be
Correct Answer: reported as an adjustment to tax expense in the period of change.
Question 62
Tax rates other than the current tax rate may be used to calculate the deferred income tax amount on
the balance sheet if
Correct Answer: the future tax rates have been enacted into law.
Question 63

Why Is Flappers Important In The 1920s
The Roaring Twenties
The Roaring Twenties was a new time for everyone. People were living in cities instead on farms
and businesses were becoming more prosperous than ever. Things were getting better for everyone.
The 1920s finally allowed people to believe it was okay to push the limits, to take risks and think
outside the box. The economy was flourishing new and art and technology was being invented. The
Roaring Twenties was a prosperous time for both the people and the economy. New advancements
were made that help shape the economy that we now have today. In the 1920s, a new woman was
born. These women were called Flappers. Flappers were women who cut their hair short, wore short
dresses, smoke, drank, and went to parties. These women basically did anything men did. They were
willing to take risks. The ideal flapper was described as "lovely, expensive and about nineteen."
Flappers would go out with a man by her side to look after them all night. The older generation were
angered by these women because many young girls saw these so called flappers as role models with
their suggestive clothing and attitudes. ... Show more content on Helpwriting.net ...
It was being showcased through new types of music, art and writing. A new type of music was
invented in the 1920s; Jazz. Everyone wanted to dance and have a good time. Jazz music made that
possible for the people. One of the most influential Jazz musicians of the 1920s was Louis
Armstrong. He was famous for his techniques. Artists were learning new techniques and styles of
art. The whole concept of art changed greatly throughout the 1920s. Artists were starting to use
realism and Art Deco. Art Deco is classified as using various materials such as aluminum, stainless
steel, lacquer and other things. Artists would then arrange these various materials on a canvas in
patterns like zig zag, stripes or

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