Finance & Accounting Essays

Most of the current financial scandals within major economies resulting into loss of confidence amongst investors have been attributed to failure of such economies and their business organizations to comply with

Balance of payments comprises of the balances in the current and capital accounts. The relationship between exchange rate and balance of payments structure is that they correspond with one another. When an exchange rate of a country’s currency reduces against currencies of

Product cost is all the cost incurred in acquiring products, while period costs are the costs that cannot be put into production. It is generated by the formula: production cost=prime cost + FOH cost; where prime cost is the total expenses incurred in production and FOH is the factory overhead costs.

The core focus of financial strategies is on the financial aspects of strategic decisions. Accordingly, this infers a close connection with the benefits of shareholders and therefore, with capital markets. For a corporate strategy to be successful, it must take into consideration all the external and internal participants in the corporate.

The matching principle deals with the revenue and expenses and in practice, it does not permit the management to soften the results by deferring expenses to next year. Prepaid expenses represent those expenses paid by the company the benefit of which has yet to be realized. They provide benefits for a long period of time so it will be necessary to apportion those expenses between more than one period.

In this paper, I review annual reports of two corporations, McDonalds Corporation, and Yum! Brands Inc., to explore their approach to communicating annual performance, their goals, challenges, and plans, as well as effects of the organizations’ annual report formats on communicating the intended information.

It has numerous subsidiaries. It produces a wide-ranging line of food products across the globe (ANNUAL REPORT, 8). The Company has existed as one of the most competitive companies in the food industry for over 140 years. The Company’s main products include condiments, frozen food, beans, infant nutrition, ketchup, and soups.

It is evident from the operations of Burberry that the company employs use of the diversified business model. The company has gained popularity as having invested heavily into having a signature trend, making it not only an exciting aspect but also proving to be a very dynamic aspect of the company’s management strategy (Burberry Plc ‘Annual Report 2012/2013).

Consequently, the financial information estimates provided to the investors will be based on the current value of the firm and its potential of maximizing wealth in the future (Gabriel & Marcus, 2010). Another reason in support of recognizing the goodwill intangible assets is that decision to acquire assets from others reflects there is intangible asset value of the asset acquired.

Removal of raw materials from the store is done upon written and oral authorization is a problem at Alden. A perpetual inventory not being kept at Alden is a problem due to the requirement for a perpetual inventory system to track receipts and issuance of inventory to be able to forecast demand and economic order quantity at Alden.

The interviewee seemed to enjoy every aspect of his job. He seemed to like his job, and he made me develop an interest in his path of career. It involves working with people as one is also doing accounting. It is an exciting field of accounting. According to Dreyfus, satisfaction is a source of success in any role (34).

BAE System Plc is the largest defense contractor in the world and has achieved the second rank as the highest revenue earner in 2012 in the industry. It also delivers a wide range of services and products for land, air, and naval forces; additionally, the company serves advanced security, electronics, support services, and information technology.

Risk management refers to a systematic process by which the risk manager identifies and assesses company risks and takes appropriate action to cushion or protect the company against them. It could also mean the possibility or chances that a future occurrence may cause losses or harm to a business organization. It is imperative to note that risks may also provide possible opportunities.

A new system, involving the use of accounting software, has been discovered and implemented. The use of accounting software has significantly aided the storage and processing of the accounting information system in the banking sector

Financial plans are extremely important for the success of a business. The use of pro forma financial statements can allow a manager the ability to project the financial results of the firm years into the future (Investopedia, 2015). A strategic plan is needed to allocate resources across the company in an optimal manner. 

The quality bind is referred to the arrangement of business capacities that determine the value of the client at the product. This is worth chain investigation, it has six essential business works that are included, that is, showcasing, circulation, client administration, planning, innovative work, and so forth. 

Efficiency and effectiveness are two parts that must coexist together for any sound business to grow and consistently make a favorable profit. Business efficiency is defined more as internal part performance often shown to be inclined towards an input-output relationship. Efficiency can metrically be measured using cycle time and capacity utilization.

here s represents the spot exchange rate which is defined as foreign currency price in terms of domestic and p & p* represent domestic and foreign levels of price, respectively. If the domestic approach maintains that bond supplies never affect exchange rates or interest as

Managing change requests is another huge issue that project managers have to be well-aware of. This is problematic because change requests are part of any project management. To manage change requests, project managers must collaborate with stake holders to remove any unclear understanding that dictates the goals and objectives of the project.

It is important to understand that banks make up an important component of the financial institutions of the world, being in the same category as insurance companies, investment banks, finance companies, and other kinds of institutions that derive their profits and growth from the flow of money across various industries.

Planning helps the auditor to identify and devote the necessary attention to areas of importance, identify and resolve time related problems and more importantly organize and manage the audit engagement in an effective and efficient way

In general, financial markets are referred to as markets used in raising finance. In other words, a catchall for all markets in the financial sector is encompassed in the financial market. These include

In a situation where batch processing is suitable, it would be beneficial to employ the process over the real-time processing. It is prudent to understand the abilities of both processes then evaluate their suitability on the type of transaction. As such, the

Effective management strategies require equally effective policy u-turns when such u-turns are in the best interest of the long term survival of the firm. After all good HRD practices are necessitated by a desire to leverage benchmarking so that while standards improve, profit margins grow to obviate competitors’ designs.

The firm must acquire qualified and experienced engineers in order to earn a good stature in the construction industry. “Home improvements and Extensions Ltd” can conduct campus interviews in order to discover innovative talents. Similarly, the company can minimize operating costs by way of reducing wastage.

Currently, sales personnel in the shops are paid a commission of $4.50 on each pair of shoes sold (in addition to the standard basic salary) in order to encourage them to be aggressive in their sales efforts.  Utilizing Cost Volume Profit (CVP) Analysis, I have been asked to examine their Shop number 48 with various scenarios in order to determine which method would be best to employ.

Success is the extent of self awareness that sparks a rage from within. It’s a strong desire to make it. This is the point am. Given a minute chance, my life can change forever. This is the chance am expecting in this world class

Investment advisors and analyst pay keen attention to certain investment ratios. Investment ratios provide information that analyst use to inform their clients. These ratios help

The company needs to determine the best proportion of equity and debt that will keep the cost of capital at minimum, and which can be effectively managed by the firm. The overall cost of capital is measured by the weighted average cost of capital (W.A.C.C).

Working Capital includes all the items that are in the short-term part of the balance sheet and includes the money available to a firm for the day-to-day operations. For example cash, investments, inventory, debtors, creditors, etc. Net Working Capital is therefore the difference between current assets and current liabilities. (Carey and Towers-Clark 2011)

Can justice be comprehensively defined by the statement ‘giving people what they deserve, as implied by Sandel? In my view, justice is not as simple as that statement implies. People have different deserving interests, which are often clashing. This is depicted in the case of Casey Martins, who sought legal redress after the PGA rejected his request of using the golf cart during tournaments.

b. Balance Sheet - balance sheets provides a summary of the value of a business enterprise’s assets, liabilities and equity at a specific point in time. It provides “the value of everything that a company owns less all the

In other words, the aspects being discussed in the paragraph number one are clearly workable and have no irrelevant logic to discuss the subject matter (Boyes & Melvin, 2010). The example of the hard drives and the

The birth rate is seen to be not at par with high life expectancy. The purpose of the report is to lay light upon different aspects of an aging population, its primary causes, benefits, and negative impacts on society.  The analysis primarily concerns ways in which the aging population affects the future.

Moreover, business knowledge in a given environment influences the ability of the business to design strategies that would make the company competitive. For instance, the knowledge of the company’s competitors is critical in designing

The lack of an appointed Executrix or Executor is the first problem because all their agreements are verbal. In fact, Water’s mother and Mathew have given formal indications of taking care of Wes and Warren in case of the sudden death of Walter and Jessica. This case refers to a situation where there is no specific person assigned to take charge of the estate and other property.

Project c is preferred over other projects because it has the highest positive NPV. While IRR focuses on the rate at which a project’s NPV becomes zero, NPV focuses on the cash flows that an investment generates for the company. All projects are selected but for project B, which has a negative NPV and an IRR lower than its cost of capital. 

The author states that about the first objective, he ensured that he applied his accounting skills and timely undertaking of duties. Usually, the employees were paid on the 28th day of every month. He had a period of two weeks to prepare the payroll and update any information related to payment in the company.

American International Group (AIG) went bankrupt and the US government had to intervene to save it during the financial crunch. The company's financial products division sold a lot of derivatives called the Credit Default Swaps. The American and international investors purchased this financial instrument on their Collateralized Debt Obligations.

As a result, the competition has become stiff thus making us to expand our businesses and services (Epstein and Eva, 2007). The industry is expected to generate higher profit since there are more

This system was devised to catch inaccuracies in finance at six centuries back and it is therefore difficult to explain how it has survived the test of time and has

Based on the statistical data provided by Statista (2015), the growth rate of desktops is slowing and declining while the growth of laptops has stabilized. However, the sale of tablet computers has seen a significant rise over the past years. This suggests that HP needs to focus more on the tablet market to ensure sustainable growth.

etion of the modernization shows that in the first three months the company faced a cash deficit, followed by a cash surplus for the next three months. First, the question is to understand why a cash deficit occurs. The main reason is that not enough cash is available to cover

The efficiency of a bank reflects on the comprehensive evaluation of all the output and input projects which include the operating achievements inferred from several kinds of financial reporting as well as the operating outcomes. It may be challenging for the operating outcome of a bank to be taken into account during the financial analysis.

The actual Frontier lies below the true frontier in the three cases. Efficient Frontier 4 was produced through the Black-Litterman portfolio optimization model, to forecast on the variance. Efficient Frontier 3 was produced through the Treynor Black Model, by adjusting the conditional projected return.

The irrevocable trust would come to rest depending on the interests of the client. In this case, if he is ready to lose the estate income to the beneficially, there are no injunctions regarding the estate and that his best interest is to have the beneficially pay the estate tax, then, it is advisable for him to establish the irrevocable trust.   

The author states that the arguments proposed by Milton Friedman suggest that a company does not have to have any kind of social responsibility towards the community and society because the only concern of the company should be to increase its financial gains and returns for the shareholders who have invested in the company.

A business fits into society by giving back through corporate social responsibility (Nocera, 2012). A value that a corporation provides other than a relentless drive to increase its stock price is a product or service value. A corporation certainly has responsibilities towards its employees, neighborhood, and country such as value creation and propagation of positive principles (Nocera, 2012).

According to Wallison (2009), key issues that led to the crisis included increment and sudden reduction in house prices as well as increases in default rates in 2006. Furthermore, the collapse of stock prices in 2008 speeded by Bear and Lehman’s failures fuelled the crisis (Wallison, 2009, p. 3).

The problem lies in the fact that the financial assistance was not aware of the new changes where there was a review on 31st March 2010 giving the plant a useful life of 5 years. The depreciation rate that should be reflected in the financial statements and in the computation of profits for the financial year should be based on the reviewed value.