Finance & Accounting Essays

The author states that in the long run, the above statement can be valid where the government set the deposit rates very low that conveniently all banks accept any and all deposit. In this case, the demand for money depends on the rates and returns of competing assets it can earn. This, in turn, influences the supply of money in the market.

Sarbanes Oxley Act (SOX) is considered to be a successful Act by most of the Audit firms due to the assurance it provides through financial statements by fairly presenting the condition of a business and requires executive management to assume personal responsibility for their accuracy and completeness. T

This paper shall provide suggestions, techniques, and guidelines for successful financial management, which -- when tempered with individual experience and the unique requirements of a particular industry -- may be expected to enhance one's ability to effectively manage the financial resources of an organization.

Budgeting is used for several purposes in the United Kingdom including for cost-control, whereas in Germany, cost-controls are achieved through technological improvements. In the Continental system, non-financial measures receive much more importance. The British system uses only accounting data for performance evaluation.

The procurement of funds and effective utilization of funds are the major functions of the finance department. Types or techniques of costing means the manner of ascertaining costs. Opportunity cost refers to the value of an advantage relinquished in accordance with another option. It is the cost of the best alternative foregone. 

The author states that financial reporting and its disclosure is now related to environmental performances. Pressures for greater transparency and disclosure about environmental and social practices aimed at long-term ecological, social, and business sustainability have been growing in the wake of the growth of power.

This analysis is reviewed later and appropriate decisions are taken on its recommendations. This problem is sufficiently serious that only an interventionary approach to solve the problem will solve it. The Author proposes an Action research project in this proposal.

The author states that the going concern concept influences accounting practices in relation to the valuation of assets and liabilities, depreciation of the fixed assets, treatment of outstanding and prepaid expenses. This concept makes a distinction between receipt of cash and the right to receive cash and payment of cash and the legal obligation.

Despite the statement of principle assisting in the preparation of the accounting standards,they are also used by preparers and auditors who are faced with new or emerging accounting issues in order to assist them to carry out initial analysis of the issue involved

Financial reports preparation and presentation assumes utmost importance for a business organization especially for one in the public sector, whose stakeholders are more curious and concerned about the financial and profitability position of the firm. Financial Reporting is not a casual and simple process.

It is proposed that before we present this strategy report to the Customer, we complete the procedures pertaining to continuity of our relationship with the client, evaluate & present compliance with ethical requirements and sign the terms of engagement with the customer. Any misunderstanding in our terms with client or integrity issues among those charged with governance & management.

However, the paper doeѕ take into account the potential value of the poѕitive theory of accounting and itѕ limitationѕ. Finally, the paper attemptѕ to aѕѕeѕѕ the need for an accounting theory and to determine whether we need one.

The use of financial information is very much essential for the three business organizations’ decision making. As making the most appropriate decision is often to the company’s success and even mere survival, it should make use of all the resources at its disposal. Financial information is often the most readily available source of information.

The study of Sathye (2002) investigated the productive efficiency of banks in India. Her results were that the mean efficiency score of Indian banks was comparable with the world mean efficiency score, as well as the efficiency of private sector commercial banks as a group were, ironically, lower than that of public sector banks. 

 A few crusty fundamental analysts will have been grumbling for some time that stocks are historically overvalued, but little attention will be paid to their gloomy prognostications - they will probably be accused of crying wolf and possibly ridiculed. Newspaper commentators and market-newsletters will have reached unusually high levels of optimism.

Economic development is a term that has been defined by many professionals in different ways to mean different things to different people. Many economic development professionals have defined economic development in terms that on a broad scale shows us that anything that a community or a government does to foster and enhance a healthy economy can fall under economic development.

For most firms, investment is an essential component of the operations. Its financial facet is an intriguing part that is both simple and complex. Capital budgeting is considered as a primary activity when it comes to investments. It is believed that the value of the investment is determined by such a process. 

Sage helps its clients make business operations run smoothly and harmoniously by giving them software technology with lasting benefits by automating monetary transactions. Sage also offers after-sales maintenance services to clients that have purchased their products. The Sage organizational set up concentrates on encouraging entrepreneurship.

Synergy considerations should outweigh the arithmetic of valuation in acquisitions (Damodaran, 1994, p287). This assumes that the strategic fit of both alternatives is the same. The Discounted Cash Flow method has important limitations and may lead to erroneous decisions if seen in isolation (Trigeorgis, 1995, p 17).

ABC is a system of accounting that focuses on activities as the fundamental cost objects and uses the costs of these activities as building blocks for compiling the costs of other cost objects (Such as product or department).ABC seeks not only to allocate over heads to product costs on more realistic basis, than simply production volume, but also attempts to show relationship between overheads costs and activities that cause them It is also called activity-bases costing or activity accounting.

According to the report, United States Surgical Corporation Audit, during the 1981, Ernst & Whinney resigned as the audit group of United States Surgical Corporation due to a discrepancy made in the audit to mold and dies tooling. The discrepancy was about the tooling purchases that were classified as capital expenditures. 

Unilever has always been a staunch follower of all social responsibility laws.The social responsibility laws focus on many issues (Sluyterman 2005, 12).Further, one such issue is the payment of minimum salaries to its workers.Another such issue is the implementation of work conditions where environmental laws are taken into consideration.

The article frequently sites other research papers to help back up their own work and also uses expansion path graphs to illustrate their findings. The article also used quantile regressions to demonstrate the data that they have pooled and taken from NFL stats. The article also used quantile regressions to demonstrate the data that they have pooled.

The weighted average cost of capital (WACC) is used in finance to assist in measuring a firm's cost of capital. There are a lot of firms that have used this in the past as a discount rate for financed projects because the cost of financing is regarded by some as a logical discount rate (required rate of return) that can be used.

The author states that corporate governance is a complex concept as it deals with many different economic happenings. Looking at a broader perspective corporate governance can be regarded as a set of procedures, customs, guidelines, rules, and regulations affecting the way a corporation is planned, directed, governed or controlled.

However, we will be focusing more on the International Financial Reporting Standards in Europe which are surveyed and controlled by the International Accounting Standards Board; if nothing but merely due to a lack of space.

The enormity of the catastrophe and the long-term reconstruction procedure will provide a wide array of prospects for scholars and researchers. The new geography of New Orleans will offer interesting topics for planners and geographers. Scholars of population geography will aim to monitor the position and condition of the New Orleans Diaspora.

An audit is also called an engagement of assurance with five important elements such as a three-party relationship that involves the accountant who is professional including the responsible party and the user’s intention. The other elements that may be considered are subject matter, suitable criteria, engagement process, and the conclusion.

The article is of essential contribution to the readers in realizing the fundamental elements of the financial derivatives which have been termed as economic ‘time bombs’ and ‘financial weapons of mass destruction’. The editorial, after making a very sensible observation of the backgrounds of Warren Buffett’s controversial comments.

This research paper shows that independence has been examined as "an intensely felt professional philosophy". It is supposed that part of the solution in deciphering ethical impasses regarding potential and identified risks to assessor independence is to put more stress on professional beliefs.

Marine cargo insurance is a sub-branch of the marine insurance that takes care of the cargo regardless of whether the cargo belongs to the carrier. If the corporation that owns the cargo is different from the carrier of the cargo, marine cargo insurance compensates the owner of the damaged cargo in case some damages occur on the cargo.

Early intervention would, in fact, assist people in avoiding bankruptcy and also would assist in a return to financial health if bankruptcy is the only option. Thus it is obvious that a solution is fast needed for the young Americans and that solution could be the development of morality that would resist the young Americans from being a compulsive buyer with help of a credit card.

Roles have evolved from reporters to those of finance and investment planners and advisors. The job opportunities for accountants in all types of public and private sector organizations continue to grow. Accountants are strategic providers of financial information on the basis of which decisions are taken.

Based on the summary in Table 1, $282.978 trillion was raised in Japan, the U.K., and the U.S. from 2001 to 2006 from IPOs, debt offerings, and mergers and acquisition activities throughout the world. The declines from 2001 to 2003 resulted from the dotcom bubble explosion and corporate scandals in the late 1990s.

As is the common case with any industrial sector, there are a number of ways in which the risk is calculated by every company. This paper is aimed at elucidating the various ways in which financial entities calculate and predict the risk associated with automobiles. The research will take into account the two different estimate values.

The world of today has shrunk beyond belief. News travels across the globe within a matter of seconds, technology has scaled unprecedented heights and the world has become a global village. This has directly resulted in a boom in economic activities where individuals can sell to their customer across the world thanks to online banking.

Asian entrepreneurs and political leaders received lauding for their economic decision to cooperate with the European and American financial institutions in order to restructure their economies in the worldwide market. The growth of the emerging market economies was so rapid that they were seen as market models.

New policies were followed this year and it will be interesting to see what effect (if any) that the new policies have had on this company. This report will give recommendations for pricing strategies and will forecast next year’s performance. This paper will also report the results of the analysis performed on two projects and make appropriate recommendations.

This report covers the essential user requirements for the development of an Accounting Information System application, fully equipped to cater all the requirements of internal and external stakeholders.

Also, the same article emphasizes that managers prefer to use other tools in their decision-making activities. The other decision-making tools include the current ratio, quick ratio, times interest earned, payback period, make or buy a product, retain branch or shut down, budgeting, capital budgeting, transfer to another department pricing, product pricing.

The author states that fixed cost is that cost that does not change significantly with the change in the level of activity. Examples of fixed costs include interest expense, salaries and expenses of the employees or executives, and insurance protection. Variable cost is the cost that cost which changes with the change in the level of activity.

The author of this paper gives tables with data as answers on the exercises and questions on Financial Analysis.The author does exercise on expanded accounting equation, balance sheet preparation, income statement preparation, cash flow computations, retained earnings computations, cash flow classifications.

The market price also functions as an indicator of the level of performance of the company. The market price of the company’s stock is a function of the quantum of cash flows from the investment in its stock, the timing of such cash flow and the risk associated with the realization of the cash flow.

The most extensive and generally used requisite in every loan contract is the working capital. The provision is vital as its principle is to maintain the company's present standing and ensure its capacity to repay the loan (Van Horne, Wachowicz & Bhaduri, 2005).

So, what is accountingAccounting is a system that provides quantitative information about finances. Accounting covers a wide range of tasks from updating and maintaining of accounting records; recording of business transactions; accounts balancing and reconciliation; accounts reporting amongst others.

The author states that for the tax year 2005, the maximum amount of EITC a qualifying worker with one child can receive is $2,662. For two or more children under one’s care, the maximum amount is $4,400. For workers with no children, the maximum amount of EITC is only $399. The Child Tax Credit is a separate credit from the EITC.

The author states that the three purchases of Coleman from Ronald Perelman, Signature Brands, and First Alert made by Sunbeam initially pushed share prices up. However, the same purchases caused the downfall. The purchases were made to disguise losses. The three purchases briefly moved attention away from Sunbeam’s performance.

As the share holders are the legal owners of the company, therefore management has the fiduciary obligation to act in the best interest of the share holders. Stock holders are often called shock absorbers as they provide risk capital to the company. The stock holders cushion the claims of other stake holders.

Data values are transformed throughout the data engineering process based on the object-oriented ontology. In this manner, the knowledge base is transformed through the systems logical process modeling, which allows for data applications to be interoperable and interchangeable through the enterprise in a secure manner. The transformation process involves strategic security levels.

Interest rates influence the decision to invest in equities if the potential rate of return from a stock is greater than bond rates.  Over time, equity investments show higher returns compared to gilts, bonds, and cash, which explains why investing in the stock market continues to be an attractive proposition (Barclays, 2005).