The inefficiency of investment managers, bankers, and financial analysts as they seek to compare financial reporting drawn up in accordance with different sets of accounting standards. Instructions (a) What is the International Accounting Standards Board? The International Accounting Standard Board is an independent organization who issues the International Financial Reporting Standards. The IASB is responsible to maintain the financial reporting compatible for most of the foreign exchanges and markets. (b) What stakeholders might benefit from the use of International Accounting Standards?
4. The inefficiency of international companies having to understand and use a myriad of different accounting standards depending on the countries in which they operate and the countries in which they raise capital and debt. Executive talent is wasted on keeping up to date with numerous sets of accounting standards and the never-ending changes to them. 5. The inefficiency of investment managers, bankers, and financial analysts as they seek to compare financial reporting drawn up in accordance with different sets of accounting standards.
Project Summary Our current project is to open a new coffee shop within the Greater Sacramento area. I will execute this project by creating an accurate project scope, equally dedicated my time working on team dynamics and technical aspect of the project, and executing the project from beginning to end, ensuring the project meets our client’s needs. Additionally, Due to the complexity and expense of a matrix organizational format, and the costs of using project teams, a functional structure will be best option to execute this project. This week’s summary will include the scope statement, WBS, network diagram, risk management plan, resource management plan, and communication plan II. Scope Statement My proposed budget is reasonable and appropriate for opening a Coffee Shop.
It also sells a variety of coffee and tea products and licenses its trademarks through their Channel Development segmentation. As of September 30, 2012, it operated 9,405 Company-operated stores and 8,661 licensed stores. It has four segments (% of gross revenue): Americas (75%); Europe, Middle East and Africa EMEA (9%); China/Asia Pacific CAP (5%), and Channel Development (10%). (The New York Times, 2012) (Starbukcs Corporation, 2012) The business strategy of differentiation is exhibited through delivering consistence quality products and exceptional customer experience at a typically higher than average cost to customers. Customer value proposition is leveraged around serving the coffee experience into everyday lives.
Ratio Analysis enables managers to compare its performance and condition with the average performance of similar businesses in the same industry. This is done by comparing the ratios of the company with the average of other similar businesses for several years, concentrating on any unsuccessful changes that may be beginning. Ratio analysis may also provide the early warning factors that could resolve problems before they increase and completely destroy the business. (Harold, 2009) Ratio analysis detailed calculations are shown below: Rate of Return on Net Sales: Is Net Income ÷ Net Sales Rate of Return on Total Assets: Net Income + Interest Expense ÷ Average Total Assets Return on Stockholders Equity: Net Income – Preferred Dividends ÷ Average Common Stockholders’ Equity (Horngren, Harrison, 2008) Working Capital: Current Assets – Current
Accounting can consist of guesswork up to some extent. Guesswork in accounting includes assumptions and estimations. Assumptions are said to be the foundation of accounting and this is because some items in accounting cannot be calculated precisely. Therefore, it becomes necessary for the use of estimation in such cases. For instance, valuation of assets must be executed over the years as the value of it may not be the same every year.
TelPrecision Worldwide, Inc. Managerial Accounting BUS 5431 Group 2 Kimberly Albino Candace Hampton Frances Kately Husein Khan Daniyell Payne Hayley Romine July 19, 2015 Table of Contents Abstract 3 Key Issues and Problems 4 Decision Alternatives… Resolutions and Solutions… Recommendations… References… Abstract The purpose of this case study is to examine, classify; analyze critical concerns as well as difficulties that are impacting Precision Worldwide, Inc.’s organization. Notably, Precision Worldwide, Inc. has several competitors who are well-disposed in the market due to their reduced pricing and product substitutions. The method in which this case study observation is arranged will explore findings and opportunities related to price and production cost; the ramifications of demand in other markets. The assessment of this case study, in conjunction with arriving to an appropriate cost for materials and freight, will help determine the recommended best course of action for Precision Worldwide, Inc. and Hans Thorborg in deciding the preferred product for the organization.
Working capital is a firms short term assets that manages daily cash flow. Deciding how much inventory to keep, selling on credit, and setting terms for credit sales are a few examples of working capital. (Ross, Stephens, & Westerfield, 2013) Q3. What is the primary disadvantage of the corporate form of organization? Describe at least two advantages of the corporate organization.
This section will look at each statement and then an analysis between them using ratios. Another good benchmark according to Phillips, Libby, & Libby (2011) is a comparison between competitors will show what is happening in the industry, which can show you if the company is caught up, behind, or a head of others in the industry. (p.223) Balance sheet. The Balance Sheet is a snap shot in time; balances reported are for only the date specified
Discuss and analyze the difference between managerial and financial accounting. Pay particular attention to: • How is managerial accounting different from financial accounting? • Comment on the different needs and use of financial information for internal purposes. • The managerial accounting profession and its role in today’s business environment. How has it changed over time?