PRESENTATION ON FINANCIAL STATEMENT FRAUDSRATAN AGARWALA
This document discusses financial statement fraud schemes. It defines financial statements and fraud, then outlines various schemes used to commit financial statement fraud such as time manipulations, early recognition of revenues, and postponing expenses. It also discusses perpetrators of fraud, reasons for fraud, and red flags that could indicate fraud. Methods for detecting and preventing financial statement fraud include analyzing unusual patterns in accounts receivables, cash flows, and asset/liability balances. The Beneish model is presented as a tool for detecting fraud using eight financial ratios.
Bouchey Financial Group 2014 State of the Economy Presentation Part 4Victoria Baecker
This document discusses various asset classes and their performance over time. It covers fixed income investments like bonds and their role in a portfolio. It also discusses commodities and their supercycle as well as equities performance relative to gold. The document stresses the importance of broad diversification across asset classes and over the business cycle.
Marathon Asset Management is a global investment manager with $10 billion AUM that specializes in debt investments including high yield bonds, bank debt, distressed debt, emerging market debt, and real estate opportunities. The firm uses a disciplined investment approach and diversified portfolio strategy. Marathon can help financial institutions by investing in their assets, debt, and equity through opportunistic investments in special situations requiring active management.
The document discusses cost of capital and sources of finance for businesses. It defines cost of capital as the opportunity cost or expected rate of return of making an investment of equal risk. It then discusses various sources of finance available to entrepreneurs, including personal investment, venture capital, business angels, government assistance, bank loans, financial bootstrapping, and buyouts. Each source is briefly described.
This document discusses non-bank financing options for government contracts, including purchase order financing, asset-based loans (ABL), and factoring. Purchase order financing requires a purchase order and accounts receivable financing, with rates from 18-36% annually. ABLs are based on asset values and typically underwrite at liquidation values. Accounts receivable are the preferred ABL collateral. Factoring involves purchasing invoices with recourse, and can finance companies that banks cannot, but has higher rates. The document provides details on each option's requirements, advantages, limitations, and underwriting considerations.
This document provides a summary of the key financial considerations for a company's expansion project requiring Rs. 100 crore of funding. It recommends short-term financing over long-term options due to lower costs, flexibility, and less interference in management decision-making. Short-term sources could potentially provide long-term funding through renewals. While interest is fixed and assets may be tied up as security, the proposal addresses these shortcomings through negotiation, alternative securities like shares, and preparing legal teams. Overall, short-term financing is presented as the most suitable option given the company's strategic goals and the dynamic home appliances market in India.
The document discusses relational investing and corporate governance. Relational investing involves committing to not tender shares to a hostile bidder in exchange for improved board representation and internal controls. Relational investors aim to generate excess returns by focusing on long-term investment strategies and acting more like owners of companies through board representation, proxy contests, and relationships. While relational investing can provide asymmetrical rewards and insights, it also involves high costs, retaliation risks, low liquidity, and long holding periods. Good corporate governance, including independent boards and accountability, promotes good decision making and returns for investors.
PRESENTATION ON FINANCIAL STATEMENT FRAUDSRATAN AGARWALA
This document discusses financial statement fraud schemes. It defines financial statements and fraud, then outlines various schemes used to commit financial statement fraud such as time manipulations, early recognition of revenues, and postponing expenses. It also discusses perpetrators of fraud, reasons for fraud, and red flags that could indicate fraud. Methods for detecting and preventing financial statement fraud include analyzing unusual patterns in accounts receivables, cash flows, and asset/liability balances. The Beneish model is presented as a tool for detecting fraud using eight financial ratios.
Bouchey Financial Group 2014 State of the Economy Presentation Part 4Victoria Baecker
This document discusses various asset classes and their performance over time. It covers fixed income investments like bonds and their role in a portfolio. It also discusses commodities and their supercycle as well as equities performance relative to gold. The document stresses the importance of broad diversification across asset classes and over the business cycle.
Marathon Asset Management is a global investment manager with $10 billion AUM that specializes in debt investments including high yield bonds, bank debt, distressed debt, emerging market debt, and real estate opportunities. The firm uses a disciplined investment approach and diversified portfolio strategy. Marathon can help financial institutions by investing in their assets, debt, and equity through opportunistic investments in special situations requiring active management.
The document discusses cost of capital and sources of finance for businesses. It defines cost of capital as the opportunity cost or expected rate of return of making an investment of equal risk. It then discusses various sources of finance available to entrepreneurs, including personal investment, venture capital, business angels, government assistance, bank loans, financial bootstrapping, and buyouts. Each source is briefly described.
This document discusses non-bank financing options for government contracts, including purchase order financing, asset-based loans (ABL), and factoring. Purchase order financing requires a purchase order and accounts receivable financing, with rates from 18-36% annually. ABLs are based on asset values and typically underwrite at liquidation values. Accounts receivable are the preferred ABL collateral. Factoring involves purchasing invoices with recourse, and can finance companies that banks cannot, but has higher rates. The document provides details on each option's requirements, advantages, limitations, and underwriting considerations.
This document provides a summary of the key financial considerations for a company's expansion project requiring Rs. 100 crore of funding. It recommends short-term financing over long-term options due to lower costs, flexibility, and less interference in management decision-making. Short-term sources could potentially provide long-term funding through renewals. While interest is fixed and assets may be tied up as security, the proposal addresses these shortcomings through negotiation, alternative securities like shares, and preparing legal teams. Overall, short-term financing is presented as the most suitable option given the company's strategic goals and the dynamic home appliances market in India.
The document discusses relational investing and corporate governance. Relational investing involves committing to not tender shares to a hostile bidder in exchange for improved board representation and internal controls. Relational investors aim to generate excess returns by focusing on long-term investment strategies and acting more like owners of companies through board representation, proxy contests, and relationships. While relational investing can provide asymmetrical rewards and insights, it also involves high costs, retaliation risks, low liquidity, and long holding periods. Good corporate governance, including independent boards and accountability, promotes good decision making and returns for investors.
This document discusses business philosophy and finance from the perspective of shareholders and business owners. It states that while shareholders claim to be interested in earnings, they are truly interested in dividends, cash, and the value of their investments. To achieve this, businesses must maintain financial health, increase investment value, and ensure stable returns. This can affect business strategy around profitability, market share, and return targets. The document recommends evaluating cash flow forecasting, cost of capital, comparison ratio analysis, and savvy investing to structure business finances. It also discusses factoring as a funding alternative that provides cash flow for situations like start-ups, rapid growth, expansions, seasonal crunches, and other short-term needs.
This document discusses various sources of financing for businesses. It notes that access to financing is often cited as a barrier to starting or growing a business, especially for women and minority entrepreneurs. Internal financing from family and friends is one source, but businesses may also seek external loans, equity investment, or retained earnings. In Pakistan specifically, most new investment and working capital for SMEs comes from internal financing rather than banks due to conservative lending practices. The document outlines some microfinancing options provided by non-profit organizations in Pakistan.
This document discusses the key differences between retirement accumulation and distribution strategies and the adjustments clients and advisors need to make when transitioning from accumulation to distribution. Some of the main shifts discussed include dollar cost averaging working in reverse under distribution, compounding also working in reverse, the sequence of returns mattering more, time becoming the enemy rather than an ally, and mistakes being more consequential. The document also covers strategies for generating retirement income, factors to consider when transitioning portfolios, and the need for closer ongoing management of distributed assets.
This document discusses short-term investments. It defines short-term investments as any investment option that is less than 5 years. Common types of short-term investments include treasury bills, commercial papers, certificates of deposits, bank deposits, money market funds, and inter-corporate deposits. The document then provides details on accounting treatments for short-term investments classified as trading, available-for-sale, or held-to-maturity securities.
Just What is Forensic Accounting? - Sharon Hamrick & Pam MantoneDecosimoCPAs
This document provides an overview of forensic accounting. It defines forensic accounting as accounting work performed for anticipated legal proceedings, and notes that forensic accountants apply specialized skills and training to collect, analyze, and evaluate evidence and communicate findings to legal venues. The document outlines various services forensic accountants provide, including litigation support, fraud investigation, and business valuation for legal cases. It also discusses best practices for forensic accountants working as expert witnesses.
This document discusses the key differences between retirement accumulation and distribution strategies and the adjustments clients and advisors need to make when transitioning from accumulation to distribution. Some of the main points made include:
- Fundamental concepts like dollar cost averaging and compounding work differently in a distribution strategy compared to an accumulation strategy.
- The sequence of investment returns and volatility become more important in distribution since clients rely on steady withdrawals.
- Careful planning is needed to determine the best strategies for generating retirement income from a portfolio and transitioning assets over time in a tax-efficient manner.
- Close monitoring of withdrawal rates and account values is necessary to ensure the nest egg lasts throughout retirement.
This document provides an introduction to financial statements, including the income statement, balance sheet, and statement of cash flows. It explains that the income statement shows revenues, expenses and profit over a period of time, the balance sheet outlines a company's assets, liabilities and owner's equity, and the statement of cash flows breaks down cash inflows and outflows from operating, financing and investing activities. Financial statements are used by various stakeholders like business owners, governments, investors and lenders to understand a company's performance and financial position.
Learn how to develop and maintain a stable foundation for your business, discover what avenues are available for growth, and will find out what plans and strategies can be implemented to build and protect your business and personal wealth.
Here’s what is covered:
1. Structuring, Monitoring & Reporting
2. Business Planning & Strategy for Long-term Success
3. Funding for Growth: stay Private or IPO?
4. How to Protect your Business and Personal Wealth
This document discusses various sources of financing for startups, including self-funding, friends and family investments, angel investors, venture capitalists, and government grants. It notes that angels and VCs have different priorities when evaluating deals, with angels focusing more on involvement and filling gaps, while VCs prioritize potential exit routes. For early financing, startups typically use convertible debt, as it has minimal costs and postpones valuation negotiations. The document also outlines some key venture capital investment terms.
Financial statements are used by investors and businesses to analyze the financial performance and situation of an entity. There are four key financial statements: the statement of profit or loss, which shows revenues, costs and expenses to determine profit or loss over a period; the statement of financial position (balance sheet), which measures assets, liabilities and equity to assess the entity's financial situation; the statement of changes in equity, which details changes in owners' equity; and the statement of cash flow, which shows how operating, investing and financing activities affect cash flow. These statements provide essential information to investors and other stakeholders for financial decision making.
Forensic Analysis of Financial Statements: Anything Look Odd to You? - Shanno...DecosimoCPAs
This document discusses financial statement analysis and the information that a financial expert may request when analyzing statements. It provides:
- A list of additional documents and information that should be requested beyond basic financial statements, such as detailed general ledgers, tax returns, board minutes, and accounts receivable/payable reports.
- An overview of the different types of financial statements (balance sheet, income statement, cash flow statement), their purpose, and how they relate to each other.
- A discussion of the different bases of accounting (GAAP, tax basis, cash basis) and how to identify which was used in a set of statements.
- Descriptions of the levels of assurance provided by audits,
The document defines accounting as the process of recording, classifying, summarizing, and interpreting financial transactions and events in terms of money. It involves recording transactions, classifying them, summarizing, interpreting results, and communicating findings. Accounting provides information to assess a business's financial position and allow for rational decision making.
Financial statements are a record of the financial activities of a business, person, or other entity, presenting relevant financial information in a structured and easy to understand format. The main types of financial statements are the balance sheet, income statement, and statement of cash flows, which provide information on liquidity, profitability, and efficiency. However, financial statements also have disadvantages as they can mislead users, lack usefulness for planning, make comparisons difficult, lead to wrong judgments, and only show quantitative aspects.
Manipulation of financial accounting in the name of creative accounting, as presented by B.v.Raghunandan in a guest lecture at MBA department, Vivekananda Engineering College, Puttur, Karnataka in India on December 29, 2008
This document provides an overview of current asset management. It discusses key aspects like working capital management, current asset investment policies, cash management, marketable securities, accounts receivable management, and inventory management. The goal of current asset management is to optimize investment in current assets to balance risk and return while maintaining sufficient liquidity to meet short-term obligations.
The document summarizes plans for Washington Prime Group Inc. ("WPG") to acquire Glimcher Realty Trust ("GRT") to establish an industry-leading retail real estate investment trust (REIT). The key points are:
1) The combined company ("WP Glimcher") will have an enhanced portfolio of 119 properties across 23 states with potential for growth through redevelopment, acquisitions and joint ventures.
2) WP Glimcher will have stronger financial scale and liquidity as an investment grade company with improved access to lower-cost capital.
3) An integrated management team from both companies will provide leadership, while internalizing management is expected to generate $12-16 million
Presentation by Takaya Watanabe – General Manager, Sustainability Energy & Environment Strategic Planning Dept., Mitsubishi Heavy Industries, Ltd. at Tokyo CCS Financial Model Workshop, 3 September 2012.
This document discusses financial statement fraud schemes. It begins by defining financial statements and fraud. It then discusses the objectives, perpetrators, reasons, and schemes used for financial statement fraud, including time manipulations and improper revenue/expense recognition. Red flags for financial statement fraud are listed, such as single person dominion and ineffective communication. Detection and prevention methods are outlined, like having an effective whistleblower program and questioning extraordinary transactions. The Beneish model for detecting financial statement fraud using eight financial ratios is also introduced.
ABC Ltd. was found to have committed financial statement fraud through factoring receivables. An investigation revealed that the Chairman, CEO, and CFO had colluded to submit fake invoices to the factoring company and record fictitious transactions with shell companies in 2014. Over $3 million in fraud was detected, with $900,000 introduced as additional share capital. Recommendations included establishing independent oversight of management and improving policies around vendor management, doubtful debts, and invoice processing.
The document discusses ponzi schemes, including how they work, common characteristics, and examples of major ponzi schemes in India. A ponzi scheme pays returns to earlier investors using funds from newer investors rather than actual profits. It summarizes that ponzi schemes offer abnormally high returns, have vague investment strategies, and are unsustainable. The document then provides examples of large ponzi schemes in India, including Speak Asia and Stock Guru, noting the size of the scams and characteristics like promised returns. It concludes with warnings about signs of ponzi schemes and advice for investors.
This document discusses business philosophy and finance from the perspective of shareholders and business owners. It states that while shareholders claim to be interested in earnings, they are truly interested in dividends, cash, and the value of their investments. To achieve this, businesses must maintain financial health, increase investment value, and ensure stable returns. This can affect business strategy around profitability, market share, and return targets. The document recommends evaluating cash flow forecasting, cost of capital, comparison ratio analysis, and savvy investing to structure business finances. It also discusses factoring as a funding alternative that provides cash flow for situations like start-ups, rapid growth, expansions, seasonal crunches, and other short-term needs.
This document discusses various sources of financing for businesses. It notes that access to financing is often cited as a barrier to starting or growing a business, especially for women and minority entrepreneurs. Internal financing from family and friends is one source, but businesses may also seek external loans, equity investment, or retained earnings. In Pakistan specifically, most new investment and working capital for SMEs comes from internal financing rather than banks due to conservative lending practices. The document outlines some microfinancing options provided by non-profit organizations in Pakistan.
This document discusses the key differences between retirement accumulation and distribution strategies and the adjustments clients and advisors need to make when transitioning from accumulation to distribution. Some of the main shifts discussed include dollar cost averaging working in reverse under distribution, compounding also working in reverse, the sequence of returns mattering more, time becoming the enemy rather than an ally, and mistakes being more consequential. The document also covers strategies for generating retirement income, factors to consider when transitioning portfolios, and the need for closer ongoing management of distributed assets.
This document discusses short-term investments. It defines short-term investments as any investment option that is less than 5 years. Common types of short-term investments include treasury bills, commercial papers, certificates of deposits, bank deposits, money market funds, and inter-corporate deposits. The document then provides details on accounting treatments for short-term investments classified as trading, available-for-sale, or held-to-maturity securities.
Just What is Forensic Accounting? - Sharon Hamrick & Pam MantoneDecosimoCPAs
This document provides an overview of forensic accounting. It defines forensic accounting as accounting work performed for anticipated legal proceedings, and notes that forensic accountants apply specialized skills and training to collect, analyze, and evaluate evidence and communicate findings to legal venues. The document outlines various services forensic accountants provide, including litigation support, fraud investigation, and business valuation for legal cases. It also discusses best practices for forensic accountants working as expert witnesses.
This document discusses the key differences between retirement accumulation and distribution strategies and the adjustments clients and advisors need to make when transitioning from accumulation to distribution. Some of the main points made include:
- Fundamental concepts like dollar cost averaging and compounding work differently in a distribution strategy compared to an accumulation strategy.
- The sequence of investment returns and volatility become more important in distribution since clients rely on steady withdrawals.
- Careful planning is needed to determine the best strategies for generating retirement income from a portfolio and transitioning assets over time in a tax-efficient manner.
- Close monitoring of withdrawal rates and account values is necessary to ensure the nest egg lasts throughout retirement.
This document provides an introduction to financial statements, including the income statement, balance sheet, and statement of cash flows. It explains that the income statement shows revenues, expenses and profit over a period of time, the balance sheet outlines a company's assets, liabilities and owner's equity, and the statement of cash flows breaks down cash inflows and outflows from operating, financing and investing activities. Financial statements are used by various stakeholders like business owners, governments, investors and lenders to understand a company's performance and financial position.
Learn how to develop and maintain a stable foundation for your business, discover what avenues are available for growth, and will find out what plans and strategies can be implemented to build and protect your business and personal wealth.
Here’s what is covered:
1. Structuring, Monitoring & Reporting
2. Business Planning & Strategy for Long-term Success
3. Funding for Growth: stay Private or IPO?
4. How to Protect your Business and Personal Wealth
This document discusses various sources of financing for startups, including self-funding, friends and family investments, angel investors, venture capitalists, and government grants. It notes that angels and VCs have different priorities when evaluating deals, with angels focusing more on involvement and filling gaps, while VCs prioritize potential exit routes. For early financing, startups typically use convertible debt, as it has minimal costs and postpones valuation negotiations. The document also outlines some key venture capital investment terms.
Financial statements are used by investors and businesses to analyze the financial performance and situation of an entity. There are four key financial statements: the statement of profit or loss, which shows revenues, costs and expenses to determine profit or loss over a period; the statement of financial position (balance sheet), which measures assets, liabilities and equity to assess the entity's financial situation; the statement of changes in equity, which details changes in owners' equity; and the statement of cash flow, which shows how operating, investing and financing activities affect cash flow. These statements provide essential information to investors and other stakeholders for financial decision making.
Forensic Analysis of Financial Statements: Anything Look Odd to You? - Shanno...DecosimoCPAs
This document discusses financial statement analysis and the information that a financial expert may request when analyzing statements. It provides:
- A list of additional documents and information that should be requested beyond basic financial statements, such as detailed general ledgers, tax returns, board minutes, and accounts receivable/payable reports.
- An overview of the different types of financial statements (balance sheet, income statement, cash flow statement), their purpose, and how they relate to each other.
- A discussion of the different bases of accounting (GAAP, tax basis, cash basis) and how to identify which was used in a set of statements.
- Descriptions of the levels of assurance provided by audits,
The document defines accounting as the process of recording, classifying, summarizing, and interpreting financial transactions and events in terms of money. It involves recording transactions, classifying them, summarizing, interpreting results, and communicating findings. Accounting provides information to assess a business's financial position and allow for rational decision making.
Financial statements are a record of the financial activities of a business, person, or other entity, presenting relevant financial information in a structured and easy to understand format. The main types of financial statements are the balance sheet, income statement, and statement of cash flows, which provide information on liquidity, profitability, and efficiency. However, financial statements also have disadvantages as they can mislead users, lack usefulness for planning, make comparisons difficult, lead to wrong judgments, and only show quantitative aspects.
Manipulation of financial accounting in the name of creative accounting, as presented by B.v.Raghunandan in a guest lecture at MBA department, Vivekananda Engineering College, Puttur, Karnataka in India on December 29, 2008
This document provides an overview of current asset management. It discusses key aspects like working capital management, current asset investment policies, cash management, marketable securities, accounts receivable management, and inventory management. The goal of current asset management is to optimize investment in current assets to balance risk and return while maintaining sufficient liquidity to meet short-term obligations.
The document summarizes plans for Washington Prime Group Inc. ("WPG") to acquire Glimcher Realty Trust ("GRT") to establish an industry-leading retail real estate investment trust (REIT). The key points are:
1) The combined company ("WP Glimcher") will have an enhanced portfolio of 119 properties across 23 states with potential for growth through redevelopment, acquisitions and joint ventures.
2) WP Glimcher will have stronger financial scale and liquidity as an investment grade company with improved access to lower-cost capital.
3) An integrated management team from both companies will provide leadership, while internalizing management is expected to generate $12-16 million
Presentation by Takaya Watanabe – General Manager, Sustainability Energy & Environment Strategic Planning Dept., Mitsubishi Heavy Industries, Ltd. at Tokyo CCS Financial Model Workshop, 3 September 2012.
This document discusses financial statement fraud schemes. It begins by defining financial statements and fraud. It then discusses the objectives, perpetrators, reasons, and schemes used for financial statement fraud, including time manipulations and improper revenue/expense recognition. Red flags for financial statement fraud are listed, such as single person dominion and ineffective communication. Detection and prevention methods are outlined, like having an effective whistleblower program and questioning extraordinary transactions. The Beneish model for detecting financial statement fraud using eight financial ratios is also introduced.
ABC Ltd. was found to have committed financial statement fraud through factoring receivables. An investigation revealed that the Chairman, CEO, and CFO had colluded to submit fake invoices to the factoring company and record fictitious transactions with shell companies in 2014. Over $3 million in fraud was detected, with $900,000 introduced as additional share capital. Recommendations included establishing independent oversight of management and improving policies around vendor management, doubtful debts, and invoice processing.
The document discusses ponzi schemes, including how they work, common characteristics, and examples of major ponzi schemes in India. A ponzi scheme pays returns to earlier investors using funds from newer investors rather than actual profits. It summarizes that ponzi schemes offer abnormally high returns, have vague investment strategies, and are unsustainable. The document then provides examples of large ponzi schemes in India, including Speak Asia and Stock Guru, noting the size of the scams and characteristics like promised returns. It concludes with warnings about signs of ponzi schemes and advice for investors.
This document provides an overview of financial statement fraud and red flags that can indicate fraud. It discusses the fraud triangle of incentives, opportunities, and rationalization that enable fraud. Several high-profile fraud cases are summarized, including Enron, WorldCom, Tyco, and Satyam Computers. Red flags for potential fraud are outlined, including those related to revenue recognition, expenses, receivables, inventory, and profitability ratios. Scoring models like the Z-score are also mentioned for evaluating fraud risk.
A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money or the money paid by subsequent investors, rather than from profit earned by the individual or organization running the operation.
This document discusses methods for valuing different types of financial instruments including bonds, preference shares, and equity shares.
For bonds, it describes the different types including bonds with maturity, pure discount bonds, and perpetual bonds. It also defines relevant terms like coupon rate, maturity period, current yield, and yield to maturity. Formulas are provided for calculating yield to maturity and yield to call.
Preference shares are valued using the dividend discount model. Equity shares are more difficult to value since dividends may fluctuate or grow. Several dividend discount models are described for valuing equity including the no growth model, constant growth model, and multi-period models using dividends or earnings. The P/E ratio and its
The document discusses working capital management. It defines working capital as current assets minus current liabilities, and explains that it measures a company's liquid assets available to operate its business. The management of working capital involves managing inventory, accounts receivable, accounts payable, and cash. The goal is to ensure the company can continue operations and meet short-term debts and expenses.
AS Business Studies Unit 5 Financial Accounting.pptxTodaywithIan
This document provides an overview of finance and accounting concepts for business studies. It discusses the need for business finance at start-up, for expansion, and for survival. It explains how finance is needed to purchase premises, equipment, cover initial expenses, and avoid bankruptcy. It also discusses the differences between short-term and long-term finance needs, as well as sources of finance. The document defines key terms like cash flow, profits, and bankruptcy. It concludes by explaining why a summer beachwear company may have a negative cash flow in February when it is not their peak sales season.
Arthur Andersen was once a leading accounting firm that set standards for the profession but faced scandals due to questionable accounting practices that compromised its independence and integrity. Its culture prioritized revenue growth over ethics. It provided both auditing and consulting to Enron, violating standards by issuing unqualified statements despite improper accounting that falsified financial disclosures. After Enron's fraud was revealed and documents destroyed, Arthur Andersen was found guilty of obstruction of justice and ceased operations. The scandals led to new regulations like the Sarbanes-Oxley Act to strengthen financial disclosures and auditor independence but critics argue it does not prevent all excessive risk taking.
Jordan Wirsz describes how he earned a 200% return in 30 days through a commercial real estate investment. He found a property being sold by banks or hedge funds at a 20-25% discount to market value due to the properties' distressed status. These sellers were motivated to offload properties they had mismanaged or could no longer afford. Wirsz was able to identify a property with this profile and buy it for less than its market value, then sell it at a higher price 30 days later to realize a 200% return on his investment. Commercial real estate valuations are often based on capitalization (CAP) rates that relate the property's net operating income to its purchase price.
Working capital capital management and finance ianita rani
Working capital refers to the capital required to finance short-term assets like cash, inventory, and accounts receivable. It is needed to ensure a company has enough liquidity to operate day-to-day and take advantage of opportunities. There are two main concepts of working capital - the balance sheet approach looks at it as current assets minus current liabilities, while the operating cycle approach sees it revolving as assets are purchased, produced as inventory, and sold to generate receivables. Proper management of working capital is important, as too much can be unprofitable while too little can threaten solvency. Forecasting working capital needs considers factors like production costs, credit terms, and cash requirements.
The document discusses several key principles of accounting - objectivity, full disclosure, and materiality. It defines each principle and provides examples. The objectivity principle states that financial statements should be unbiased and free from influence. Full disclosure requires providing all relevant financial information to users. Materiality means all reasonably likely information impacting investor decisions must be reported. Accurately applying these principles helps ensure financial statements clearly represent a company's financial position.
HomeworkPlease read the following note on fraud to broaden your .docxadampcarr67227
Homework
Please read the following note on fraud to broaden your understanding of the topic and to guide your responses. [More guide]
Fraud
Fraud is a deception deliberately practiced in order to secure unfair or unlawful gain (adjectival form fraudulent; to defraud is the verb). As a legal construct, fraud is both a civil wrong (i.e., a fraud victim may sue the fraud perpetrator to avoid the fraud and/or recover monetary compensation) and a criminal wrong (i.e., a fraud perpetrator may be prosecuted and imprisoned by governmental authorities). Defrauding people or organizations of money or valuables is the usual purpose of fraud, but it sometimes instead involves obtaining benefits without actually depriving anyone of money or valuables, such as obtaining a driver’s license by way of false statements made in an application for the same (Nigrini 2011).
Financial Statement Fraud
Financial statement fraud is one of the biggest challenges in the modern business world. This is when corporations engage in certain practices designed to hide or maneuver the accounts of a corporation to help it continue to remain attractive to investors. To counter financial statement frauds, especially in the aftermath of the Enron scandal in 2001-2002, the US Congress introduced the Sarbanes Oxley Act, the compliance with which is mandatory for US corporations. A financial statement fraud may be actionable under both the False Claims Act and the Dodd Frank Act as well. You may have suffered a financial statement fraud or may have original information about a financial statement fraud, which means that you may be able to bring either a financial statement fraud lawsuit or a whistleblower lawsuit depending on the facts peculiar to your case.
The most common occurrence of financial statement fraud is when losses are underplayed or deliberately hidden by corporations. Financial statement fraud comprises deliberate misstatements or omissions of amounts or disclosures of financial statements to deceive financial statement users, particularly investors and creditors, outright falsification, alteration, or manipulation of material financial records, supporting documents, or business transactions, material intentional omissions or misrepresentations of events, transactions, accounts, or other significant information from which financial statements are prepared, deliberate misapplication of accounting principles, policies, and procedures used to measure, recognize, report, and disclose economic events and business transactions and also intentional omissions of disclosures or presentation of inadequate disclosures regarding accounting principles and policies and related financial amounts.
There are massive issues that emanate from financial statement fraud. Financial statement fraud undermines the reliability, quality, transparency, and integrity of the financial reporting process and jeopardizes the integrity and objectivity of the auditing profession, especially auditors .
Working capital management involves maintaining a balance between short-term assets and liabilities to ensure business continuity and ability to meet obligations. Key aspects include:
1) Determining optimal levels of current assets like inventory and receivables by balancing liquidity, profitability and risk. Higher current assets increase liquidity but reduce profits, while lower assets increase risk.
2) Financing current asset levels through a combination of short and long-term financing. A conservative approach uses more long-term financing for less risk, while an aggressive approach uses more short-term financing for higher potential profits but more risk.
3) Current asset and financing decisions are interdependent - higher current asset levels allow more short-term financing
Here are the calculations of the three working capital ratios based on the information provided:
Current Ratio = Total Current Assets / Total Current Liabilities
Current Assets = Rs. 0
Current Liabilities = Rs. 0
Current Ratio = #DIV/0! (Not defined as there are no current assets or liabilities provided)
Quick Ratio = (Current Assets - Inventory) / Current Liabilities
Inventory = Rs. 0
Quick Ratio = #DIV/0! (Not defined as there are no current assets or liabilities provided)
Cash Ratio = (Cash + Cash Equivalents) / Current Liabilities
Cash & Cash Equivalents = Rs. 0
Cash Ratio = #DIV
AAOIFI's CIPA Course Material - Prepared & Presented by Yasir WaseemYasir Waseem
Please find attached AAOIFI's (Accounting and Auditing Organization for Islamic Financial Institutions ) CIPA Course Material.
It would be much helpful for those who are planning to attempt CIPA as the accounting standards have been described in understandable form. Double entries have been used to the understand nature of the transactions and how they should be reported on Financial Statements of IFI. Best of Luck.
The document outlines the conceptual and regulatory framework for international financial reporting standards. It describes the various regulatory bodies that govern accounting standards, including the International Financial Reporting Standards Foundation, the International Accounting Standards Board, the International Financial Reporting Interpretations Committee, and the IFRS Advisory Council. It also discusses the process for developing an IFRS standard and the purpose of having a conceptual framework for financial reporting, which establishes fundamental concepts such as assets, liabilities, equity, and qualitative characteristics.
Financial statements are written records that convey the business activities and the financial performance of a company.
Financial statements are often audited by government agencies, accountants, firms, etc. to ensure accuracy and for tax, financing, or investing purposes.
Working capital management ppt @ bec doms bagalkot mbaBabasab Patil
This document discusses working capital, which is defined as current assets minus current liabilities. It measures a company's liquid assets available to operate its business. The document outlines different components of working capital like inventory, accounts receivable, cash, and current liabilities like accounts payable. It also discusses the importance of managing working capital to ensure sufficient cash flow and meeting short-term obligations. Different approaches to determining a firm's working capital needs are discussed, including industry norms, economic modeling, and strategic choices based on a firm's specific business practices and goals.
This document summarizes key regulatory issues and compliance concerns for investment advisory services, including the duty to disclose conflicts of interest and fees, lack of internal controls, record keeping requirements, suitability obligations, and specific concerns around bond recommendations, hedge funds, and customer complaints.
SunTrust at Merrill Lynch Banking & Financial Services Conferencefinance20
1) The document discusses SunTrust's diversified franchise including meaningful consumer and commercial platforms across a diverse geographic footprint and significant fee-oriented activities.
2) Capital ratios have strengthened with Tier 1 at 8.15% and total at 11.16%. SunTrust further reduced its risk profile and strengthened capital through various actions.
3) SunTrust has a stable funding and liquidity position with deposits funding 66% of assets and no holding company debt maturing until 2009. The credit profile is diversified with commercial and commercial real estate loans comprising 43% of the portfolio.
Homework guidePlease read the following note on fraud to broaden.docxadampcarr67227
Homework guide
Please read the following note on fraud to broaden your understanding of the topic and to guide your responses. [More guide]
Fraud
Fraud is a deception deliberately practiced in order to secure unfair or unlawful gain (adjectival form fraudulent; to defraud is the verb). As a legal construct, fraud is both a civil wrong (i.e., a fraud victim may sue the fraud perpetrator to avoid the fraud and/or recover monetary compensation) and a criminal wrong (i.e., a fraud perpetrator may be prosecuted and imprisoned by governmental authorities). Defrauding people or organizations of money or valuables is the usual purpose of fraud, but it sometimes instead involves obtaining benefits without actually depriving anyone of money or valuables, such as obtaining a driver’s license by way of false statements made in an application for the same (Nigrini 2011).
Financial Statement Fraud
Financial statement fraud is one of the biggest challenges in the modern business world. This is when corporations engage in certain practices designed to hide or maneuver the accounts of a corporation to help it continue to remain attractive to investors. To counter financial statement frauds, especially in the aftermath of the Enron scandal in 2001-2002, the US Congress introduced the Sarbanes Oxley Act, the compliance with which is mandatory for US corporations. A financial statement fraud may be actionable under both the False Claims Act and the Dodd Frank Act as well. You may have suffered a financial statement fraud or may have original information about a financial statement fraud, which means that you may be able to bring either a financial statement fraud lawsuit or a whistleblower lawsuit depending on the facts peculiar to your case.
The most common occurrence of financial statement fraud is when losses are underplayed or deliberately hidden by corporations. Financial statement fraud comprises deliberate misstatements or omissions of amounts or disclosures of financial statements to deceive financial statement users, particularly investors and creditors, outright falsification, alteration, or manipulation of material financial records, supporting documents, or business transactions, material intentional omissions or misrepresentations of events, transactions, accounts, or other significant information from which financial statements are prepared, deliberate misapplication of accounting principles, policies, and procedures used to measure, recognize, report, and disclose economic events and business transactions and also intentional omissions of disclosures or presentation of inadequate disclosures regarding accounting principles and policies and related financial amounts.
There are massive issues that emanate from financial statement fraud. Financial statement fraud undermines the reliability, quality, transparency, and integrity of the financial reporting process and jeopardizes the integrity and objectivity of the auditing profession, especially aud.
This document discusses commercial real estate cycles and opportunities for investment. It argues that the commercial real estate cycle is at an opportune point, as the economic recovery has only strengthened for about 24 months. Many properties can still be bought below replacement cost. Banks still hold foreclosure inventory that is poised to be sold, presenting opportunities. Interest rates remain historically low, allowing long-term leverage. Rising rates and inflation are expected to increase rents and drive real estate prices higher rather than causing a downturn. The credit environment has loosened with increased loan demand, reinvigorating capital markets.
SunTrust at BancAnalysts Association of Boston Conferencefinance20
This document provides an overview of SunTrust Bank's presentation at the BancAnalysts Association of Boston Conference on November 7, 2008. It begins with cautionary statements about forward-looking statements and non-GAAP measures. The main points of the presentation are that SunTrust has a stable base of operations that provides a foundation for future growth, and it is pursuing strategic initiatives to improve efficiency and generate revenue growth. SunTrust also has a solid capital structure and balance sheet, with strengthened capital ratios, an attractive dividend, and diversified sources of funding and liquidity.
The document discusses financial analysis and sources of finance. It describes various tools used in financial analysis like trend analysis, ratio analysis, and cash flow analysis. It then outlines different sources of both short-term and long-term finance for companies like debt, trade credit, bank loans, retained earnings and various types of equity such as shares and debentures issued via public offerings, right issues, or private placements. It also discusses factors like overcapitalization and undercapitalization of companies.
Private equity investing in 2016: Panacea or 'Hail Mary' Richard Silva
Private equity has become the panacea of choice for institutional investors to offset low public equity and fixed income returns, because of recent relative outperformance, illiquidity and long timeframes. It’s become another way for institutional investors to kick the can down the road. As a result, pension funds and endowments are relying more heavily on private equity allocations than ever before to make up for lost ground in other asset classes.
The Building Blocks of QuestDB, a Time Series Databasejavier ramirez
Talk Delivered at Valencia Codes Meetup 2024-06.
Traditionally, databases have treated timestamps just as another data type. However, when performing real-time analytics, timestamps should be first class citizens and we need rich time semantics to get the most out of our data. We also need to deal with ever growing datasets while keeping performant, which is as fun as it sounds.
It is no wonder time-series databases are now more popular than ever before. Join me in this session to learn about the internal architecture and building blocks of QuestDB, an open source time-series database designed for speed. We will also review a history of some of the changes we have gone over the past two years to deal with late and unordered data, non-blocking writes, read-replicas, or faster batch ingestion.
Beyond the Basics of A/B Tests: Highly Innovative Experimentation Tactics You...Aggregage
This webinar will explore cutting-edge, less familiar but powerful experimentation methodologies which address well-known limitations of standard A/B Testing. Designed for data and product leaders, this session aims to inspire the embrace of innovative approaches and provide insights into the frontiers of experimentation!
Codeless Generative AI Pipelines
(GenAI with Milvus)
https://ml.dssconf.pl/user.html#!/lecture/DSSML24-041a/rate
Discover the potential of real-time streaming in the context of GenAI as we delve into the intricacies of Apache NiFi and its capabilities. Learn how this tool can significantly simplify the data engineering workflow for GenAI applications, allowing you to focus on the creative aspects rather than the technical complexities. I will guide you through practical examples and use cases, showing the impact of automation on prompt building. From data ingestion to transformation and delivery, witness how Apache NiFi streamlines the entire pipeline, ensuring a smooth and hassle-free experience.
Timothy Spann
https://www.youtube.com/@FLaNK-Stack
https://medium.com/@tspann
https://www.datainmotion.dev/
milvus, unstructured data, vector database, zilliz, cloud, vectors, python, deep learning, generative ai, genai, nifi, kafka, flink, streaming, iot, edge
Global Situational Awareness of A.I. and where its headedvikram sood
You can see the future first in San Francisco.
Over the past year, the talk of the town has shifted from $10 billion compute clusters to $100 billion clusters to trillion-dollar clusters. Every six months another zero is added to the boardroom plans. Behind the scenes, there’s a fierce scramble to secure every power contract still available for the rest of the decade, every voltage transformer that can possibly be procured. American big business is gearing up to pour trillions of dollars into a long-unseen mobilization of American industrial might. By the end of the decade, American electricity production will have grown tens of percent; from the shale fields of Pennsylvania to the solar farms of Nevada, hundreds of millions of GPUs will hum.
The AGI race has begun. We are building machines that can think and reason. By 2025/26, these machines will outpace college graduates. By the end of the decade, they will be smarter than you or I; we will have superintelligence, in the true sense of the word. Along the way, national security forces not seen in half a century will be un-leashed, and before long, The Project will be on. If we’re lucky, we’ll be in an all-out race with the CCP; if we’re unlucky, an all-out war.
Everyone is now talking about AI, but few have the faintest glimmer of what is about to hit them. Nvidia analysts still think 2024 might be close to the peak. Mainstream pundits are stuck on the wilful blindness of “it’s just predicting the next word”. They see only hype and business-as-usual; at most they entertain another internet-scale technological change.
Before long, the world will wake up. But right now, there are perhaps a few hundred people, most of them in San Francisco and the AI labs, that have situational awareness. Through whatever peculiar forces of fate, I have found myself amongst them. A few years ago, these people were derided as crazy—but they trusted the trendlines, which allowed them to correctly predict the AI advances of the past few years. Whether these people are also right about the next few years remains to be seen. But these are very smart people—the smartest people I have ever met—and they are the ones building this technology. Perhaps they will be an odd footnote in history, or perhaps they will go down in history like Szilard and Oppenheimer and Teller. If they are seeing the future even close to correctly, we are in for a wild ride.
Let me tell you what we see.
ViewShift: Hassle-free Dynamic Policy Enforcement for Every Data LakeWalaa Eldin Moustafa
Dynamic policy enforcement is becoming an increasingly important topic in today’s world where data privacy and compliance is a top priority for companies, individuals, and regulators alike. In these slides, we discuss how LinkedIn implements a powerful dynamic policy enforcement engine, called ViewShift, and integrates it within its data lake. We show the query engine architecture and how catalog implementations can automatically route table resolutions to compliance-enforcing SQL views. Such views have a set of very interesting properties: (1) They are auto-generated from declarative data annotations. (2) They respect user-level consent and preferences (3) They are context-aware, encoding a different set of transformations for different use cases (4) They are portable; while the SQL logic is only implemented in one SQL dialect, it is accessible in all engines.
#SQL #Views #Privacy #Compliance #DataLake
Predictably Improve Your B2B Tech Company's Performance by Leveraging DataKiwi Creative
Harness the power of AI-backed reports, benchmarking and data analysis to predict trends and detect anomalies in your marketing efforts.
Peter Caputa, CEO at Databox, reveals how you can discover the strategies and tools to increase your growth rate (and margins!).
From metrics to track to data habits to pick up, enhance your reporting for powerful insights to improve your B2B tech company's marketing.
- - -
This is the webinar recording from the June 2024 HubSpot User Group (HUG) for B2B Technology USA.
Watch the video recording at https://youtu.be/5vjwGfPN9lw
Sign up for future HUG events at https://events.hubspot.com/b2b-technology-usa/
Open Source Contributions to Postgres: The Basics POSETTE 2024ElizabethGarrettChri
Postgres is the most advanced open-source database in the world and it's supported by a community, not a single company. So how does this work? How does code actually get into Postgres? I recently had a patch submitted and committed and I want to share what I learned in that process. I’ll give you an overview of Postgres versions and how the underlying project codebase functions. I’ll also show you the process for submitting a patch and getting that tested and committed.
Learn SQL from basic queries to Advance queriesmanishkhaire30
Dive into the world of data analysis with our comprehensive guide on mastering SQL! This presentation offers a practical approach to learning SQL, focusing on real-world applications and hands-on practice. Whether you're a beginner or looking to sharpen your skills, this guide provides the tools you need to extract, analyze, and interpret data effectively.
Key Highlights:
Foundations of SQL: Understand the basics of SQL, including data retrieval, filtering, and aggregation.
Advanced Queries: Learn to craft complex queries to uncover deep insights from your data.
Data Trends and Patterns: Discover how to identify and interpret trends and patterns in your datasets.
Practical Examples: Follow step-by-step examples to apply SQL techniques in real-world scenarios.
Actionable Insights: Gain the skills to derive actionable insights that drive informed decision-making.
Join us on this journey to enhance your data analysis capabilities and unlock the full potential of SQL. Perfect for data enthusiasts, analysts, and anyone eager to harness the power of data!
#DataAnalysis #SQL #LearningSQL #DataInsights #DataScience #Analytics
2. Financial Statements- meaning
A collection of reports
i. about an organization’s financial results for a particular period
ii. about the financial condition of a business at a particular point of time
iii. about cash flows of the organization during a particular period
iv. containing full and proper disclosures of significant facts and information
3. FRAUD
An intentional act of deception, concealment,
omission or pervasion of truth with an intent to
gain wrongful gain or advantage or to cause
wrongful loss to somebody else or to cause injury
to other
4. FINANCIAL STATEMENT FRAUDS
Deliberate misrepresentation
of
data and information
in
FINANCIAL STATEMENTS
with an intent to
misled the user
and thus creating a
wrongful impression
of
financial health
5. OBJECTIVES BEHIND FINANCIAL
STATEMENTS FRAUDS
i. To make performance better than actual (to entice investments
and loans)
ii. To make performance look worse than actual (to lower the tax
liabilities)
10. EARLY RECOGNITION OF REVENUES
Recording a sale pending supply
Recording sale pending finalisation
Recording a sale even when sent on consignment
Recognising in full the activation fees without amortisation
Recording revenue in multiple element contract where there is
undelivered element of supply
11. POSTPONMENT OF EXPENSES
Recording of expenses only on payment and not on accrual basis
Large revenue expenses are capitalized
Higher amortization period than appropriate
Showing higher useful life of fixed asset than appropriate thereby
reducing the charge of depreciation
13. Manufacture of transactions
that appear to be sales
Classifying other receipts as
sales
Fictitious sales to existing customers
•
Fictitious sales to fictitious customers
•
14. MANIPULATING LIABILITIES AND EXPENSES
SHOWING SHORT
TERM LIABILITY AS
LONG TERM OR VICE
VERSA
CAPITALISATION
OF
CURRENT
EXPENSES TO
FIXED ASSETS
OLD BOOK DEBTS
STILL CARRIED IN
BOOKS
WRITING OF
LIABILITIES TO
INCOME
ADJUSTING
EXPENSES
AGAINST
RESERVES
NON RECOGNITION
OF LIABILITIES FOR
UNPAID EXPENSES
THOUGH INCURRED
15. MANIPULATING THE VALUE OF ASSETS
INVENTORY
VALUATION AT
HIGHER PRICE THAN
ACTUAL FOR CORRECT
QUANTITY
INVENTORY
VALUATION AT
HIGHER QUANTITY
THAN ACTUAL FOR
CORRECT RATE
CLASSIFYING LONG
TERM INVESTMENT
AS SHORT TERM
INVESTMENT
NON
ADJUSTING
FALL IN
INVESTMENTS
VALUE
CAPITALISING
REVENUE
EXPENSES TO
FIXED ASSETS
INVETSMENT IN
SISTER COMPANIES
CLASSIFIED AS
ADVANCE TO
OTHER PARTIES
16. NON DISCLOSURE OR IMPROPER DISCLOSURE
LIABILITY OMISSIONS-
NON-DISCLOSURE OF
LOAN COVENANTS OR
CONTINGENT
LIABILITIES
EVENTS
OCCURING AFTER
THE BALANCE
SHEET DATE:
AVOID
JUDGEMENTS OF
COURTS ETC.
MANAGEMENT
FRAUDS-NON
DISCLOSURE
RELATED PARTY
TRANSACTIONS-
SELF DEALING IF
NOT AT ARM’S
LENGTH PRICE
ACCOUNTING
CHANGES-CHANGE IN
ACCOUNTING
PRINCIPLES,
ESTIMATES AND
REPORTING ENTITIES
LYING TO AUDITORS
17. WARNING SIGNS OR RED FLAGS IN FINANCIAL STATEMENTS FRAUD
1. SINGLE PERSON
DOMINION IN
MANAGEMENT
4. RESTRICTION ON AUDITORS
ACCESS TO PEOPLE AND/OR
INFORMATION
2. INEFFECTIVE
COMMUNICATION
5. RAPID GROWTH OF
PROFITABILITY AS COMAPARED
TO OTHER COMPANIES IN SAME
LINE
3. RECURRING NEGATIVE
CASH FLOWS
6. HIGHLY COMPLEX
TRANSACTIONS PARTICULARY
THOSE CLOSE TO PERIOD END
7. SIGNIFICANT RELATED PARTY
TRANSACTIONS NOT IN THE
ORDINARY COURSE OF
BUSINESS
8. SIGNIFICANT BANK ACCOUNTS
OR BRANCH OPERATIONS IN TAX
HOLIDAY ZONES WITH NO CLEAR
BUSINESS CONNECTIONS
9. HISTORY OF VIOLATION
OF LAWS AND
REGULATIONS
10. ATTEMPTS TO JUSTIFY
INAPPROPRIATE ACCOUNTING
11. UNUSUAL GROWTH IN DAY’S
SALES IN RECEIVABLES
12. SALES RECORDED AT
HEADQUARTERS WHICH DO NOT
DO DIRECT SALES
13. FREQUENT WRONG
CLASSIFICATIONS
14. UNUSUAL FINANCIAL
RATIOS
15. CONSISTENT HIGHER
LIABILITIES THAN ASSETS
18. DETECTION AND/OR PREVENTION OF FINANCIAL STATEMENT FRAUD
1. TONE AT THE TOP-
STRONG ETHICS AND
STRICTNESS
4. QUESTION ABOUT
CHANGES IN AUDITORS
2. EFFECTIVE WHISTLE
BLOWER PROGRAMME
5. HAVE SKEPTICS ON
THE BOARD OF
DIRECTORS
3. QUESTION FINANCIAL
RESULTS THAT ARE
ALWAYS ON TARGETS
6. QUESTION
EXTRAORDINARY OR
COMPLEX TRANSACTIONS
7. ANALYSE ACCOUNTS
RECEIVABLES-RELATIVE
SIZE FACTOR ANALYSIS
8. QUESTION THE
MISMATCH OF CASH
GENERATION WITH
REVENUE
9. ANALYSIS OF SWING IN
ASSETS AND/OR
LIABILITIES