Finance & Accounting Essays

Operating cash flow statement reflects everything about the cash that the business plays with. The cash that comes in from operating activities of the business is the actual revenue that the firm

The documents that I have used in this paper to explain to potential investors the business strategy are; a cash budget, a forecast income statement, and a forecast balance sheet. These documents are the ones that I will use, to give a representation of how the business will run in the future, and how income will be of benefit, to the business.

The public sector comes with a different system for measuring spending and comparing it with revenue. This is because the public sector exists to help the members of society and carry out government policies. The idea is to improve the welfare of people and not to benefit from them. This is in contrast with the private sector which exists for the maximization of profits to the owners of the entity.

The author states that a budget is a financial plan organized to depict expenses against revenues. It is beneficial to plan how to use the money since it is a scarce resource needed to complete day to day operations. The main purpose of a budget is to provide a formidable forecast of future revenue and expenses.

The author states that in the case of assets and expenses, books, debit increase state amount in that book of account. Any credit entry in these books decreases the balancing figure in the account. Conversely, a debit entry in the capital account, liabilities and revenue accounts decrease the amount in that book.

According to Bodie et al (2011) investment is a commitment made at a point in time with the hope or expectation of gaining a benefit later. The benefit may be having enough funds to take the first step towards a dream. My current commitment is to make a lump sum investment now and every month so that I will have sufficient funds to attain at least one goal involving a large outlay of funds.

The former strategy focus on particular sector or stocks that are currently not attractive to other investors. Another strategy is the concept of ‘shorts’ the analyst study the trends in stock movements. The key to success in this strategy is to identify the peak of stock when buyers are buying and prices are appreciating.

The dualist theory of personality is flawed because the soul cannot exist on itself despite being seen as being different and independent from the body. Locke’s theory of personality was however disregarded by Reid who believed that memories are not part of the human personality or personal identity. However, as Noonan (29) says, Reid’s theory of personality is flawed because it fails to consider the existence of a soul on its own.

From February, through March to April, I spent a total of $3,972.97. Expenses under housing have changed between February and March because I opted for a cheaper option in March ($290.58) compared to February ($989.00). In April, I did not pay for my housing because I decided to seek accommodations in the college dormitories. 

These show that the less than 50% of the company assets are financed by debts. On the other hand the leverage ratios are slightly above 50% for the years 2012 and 2013. This means that borrowing has certainly increased and over 50% of the company is based on debts.

Pension programs are governed and managed by a series of complex pension legislations that cover early leaver benefits, disclosure of information, transferability, investment, and accounting rules. There is the establishment of a pension regulator, who is in charge of overseeing that all the legislative requirements regarding the creation and governance of pensions should be followed.

Such shares include preference shares and ordinary shares (Weil, Schipper & Francis 51). Macy’s short-term debt as at 29th January 2011 was at $454 while as at 28th January 2012 it was at $1,103. The difference shows

However, the relationship is fair since R2 is between 0.25 and 0.75. Ostensibly, direct labor hours as a method of allocating costs indicates that total costs and labor

The article begins by highlighting the unexpected occurrences that either cause financial instability or increase the prices of goods. One example presented at the beginning is that of Eric Cantor’s defeat which is likely to cause changes in Washington. Similar effects were experienced after the invasion of Iraq and oil prices soared immensely.

Pepsi and Coca-Cola are one of the major competitors thereby acting as a perfect prototype for analyzing Coca-Cola’s stock. The above financial ratios prove useful when analyzing the health of competition witnessed by these two multinational companies. In 2013, Pepsi witnessed a higher dividend yield than its competitors.

Financial markets promote economic efficiency through the production of efficient capital allocation that increases production. The efficient direction of the flow of savings and investments facilitated by financial markets in the economy contributes to capital accumulation as well as goods and services production (Haliassos, 2013).

Many fraud activities have scared people from handling online transactions and have become an essential consideration in online banking or traditional banking. Considering the fees too would help in deciding whether to transact online or not. It is identified that online banking activities are becoming cheaper as a way of encouraging them. 

The selection of a specific strategy is based on the outcome of the decision matrix analysis given below. The matrix has weights from 0 to 5 for key factors which are cost, quality, market size, innovation, and location. These factors are weighed against the three strategies discussed above. In all cases, higher weighting means favourability.

In addition, the study related to accounting has been considered an attempt towards explaining the various reasons and logic behind certain accounting practices. The studies are further considered to be extremely important as the accounting standards are framed and developed with reference to these studies.

Ergodesign Ltd is a Scotland based medium-sized furniture manufacturing firm that produces a various range of office furniture. The company has a strong market reputation but due to the economic downturn, it is having spare capacity. Ergodesign is planning to make optimum use of the capacity.  The evaluation stage is focussed on establishing practicability of the project.

A similar ruling was made on March 7, 1988, in the case Arkansas Best Corp. v. Commissioner, 485 U.S. 212. In the case, the court noted that future transactions had a consistent trend of giving rise to huge gains that went untaxed. The court held that the petitioner should be slapped with a tax burden with the future loss as part of taxable income. 

Reviewing the consolidated income statement for the year ended December 30, 1999-2002, it is clear that the company net sales reduced from $245,908 in 1999 to $147,503 in 2002 (Bruner et al. 318). The same is

Whenever a tax is imposed it has normally a direct negative effect on the economy as well as on the individuals (only except the case of externality). But taxation is required mainly to finance the public expenditure which is intended to secure national welfare and equality. So tax should be chosen on a cost-benefit analysis.

The word “Tax” has come from “Taxation”. The meaning of Taxation is “estimate”. So, the income tax means “estimation”. The idea was of Mr. Augustus Ceaser to apply tax systems all around the world. He is also known as the first roman employer in history. When we talk about taxation, we talk about the economy.

The paper attempted to discuss the meaning of systemic risk and SIFIs by referring to the literature. It was also investigated how a financial crisis could be avoided in the future by following the proposal given for and against the separation of investment and retail banking. Systemic risk in SIFI can give the world another shock.

Expansion will call for capital asset purchases that include land, construction of building and equipment which could cost $550m. Additional funds are needed for salaries,

The author states that the emancipation of DRO (Debt Relief Order) in the UK would be a potential issue to be learned about especially from the point of view of creditors which have a great role in the market economy. In addition, this study should be carried out because DRO is simply another related financial matter in the UK.

The Six Sigma rating criteria is based on the calculation of DPMO, i.e. defects per million opportunities. As per the response of the customers and the success rate, which is very low, the Defects per Million Opportunities revealed

Current assets are more liquid than noncurrent assets. Retailers link the customers and wholesalers. Most fast moving consumer goods are handled by retailers for example, supermarkets. Retailers need a strong liquidity to help pay for the fast moving goods which

He can sell up to 280 of the Yellow soaps and up to 400 of the blue soaps per day. Each of the yellow soaps occupies s space of 0.01 m3 in the depot while each of the small soaps occupies 0.008m3 of the depot space. The

The second step is to spell out the details to be contained in the forecast, to determine if the figures should relate to weeks, months or years,

Future contracts are forged in order to hedge against the unfavorable market conditions that might arise in the time which is yet to come. Future contracting involves a deal that is planned to happen in the future. The agricultural products and crops are usually sold pre-determinedly in order to minimize the future market risk of falling prices.

There are numerous motives why a company may select on a particular criterion, one being the need to ensure a balanced maximization of wealth, being that it is the main objective for the firm’s involvement in capital budgeting (Dayananda,

The model helps the investors to evaluate their compensation on investment in two ways such as risk and time value of money that they are considered to bear. Risk-free return is considered to be the representation of the time value of money in the formula for the CAPM. It is considered to deal with compensating investors for making an investment and holding it for a period of time.

By not reflecting depreciation, Gross Profit Margin increases and it follows then that the company would appear stable and profitable when it is not. The article presented about Penguin is a

The liquidity index shows how quickly the company can turn its assets into liquidity if the need arises. Finally, activity ratios describe how well-managed the company is. Typically, the accounts payable and accounts receivable turnovers reveal how actively the management is closing liabilities (Wahlen, Baginski, & Bradshaw, 2010).

ween 2011 and 2012, 25.7% of Indians in the rural part of the nation and 13.7% of those in the urban areas thrived in the national poverty threshold (Pawar and Veer 57). World Bank indicates that India’s poverty threshold of these populations is below the standard global daily

NOWC is used to access liquidity of a company because it only looks at current assets and liabilities for operating a business. Operating capital is the capital available for the operation of a firm for

Low profit in Brazil was caused by factors such as low profit or losses that were made by the company in the country (Chorafas, 37). This may have led to the business running out of cash in the country resulting to

The statistic using the regression model is carried out for both news and radio advert. Results show that their upper and lower bounds for both are near around each other since they have similar trends of cost. The values in the stats result of regression show that estimated error is small when the news is considered as a predictor in regression.

Hull (2011) illustrated that this comes about because the corporation issuing the dividend is first taxed 35% on the proceeds from which the dividend comes. In addition to this, the shareholder is

Increased rate of the stock in the BIIB stock is 2 percent in the recent stock market close. Biogen focuses on discovering, developing, manufacturing, and marketing therapies for treatment of autoimmune, neurological, and hematologic disorders in United States and

However, when evaluating mutually exclusive projects, especially those differ in scale and/or timing; the NPV method should be used.”

For example, the crisis in Libya about the increase of oil prizes makes the investor to reluctantly step into the protection of inflation. To keep against the wearing

f the pecking order, the level of cash maintained by a corporate entity is regarded as the natural consequence of the decisions made by that entity in relation to making investments and raising finance. Hierarchy view is also suggestive of the same relationship between liquidity

tan Bank of New York, Kuhn Loeb Bank of New York, Warburg Bank of Amsterdam, Israel Moses Seif Banks of Italy, Sachs of New York, Goldman, Morgan Guaranty Trust, and the Bank of New York. The major shareholders of Fed are National City Bank, National Bank of Commerce, First

The author of the paper states that foreign currency risks involve risks accruing from the periodical fluctuations in the value of the foreign currencies. One type of financial risk accruing from fluctuation in foreign currencies, and likely faced by Abercrombie and Fitch is the transaction risk.

Given that the contract is cash settled as opposed to physical delivery, the company will only pay the 1 million USD difference. The company is therefore disadvantaged because in as much as it has sold the 50 million Euros at 1.03 USD/Euro

Bank During The 2008-2009banking Crisis), How Systematic Risks Can Arise In These Wholesale Markets And How They Can Threaten The Wholesale Financial Intermediation Process And The Existence Of The Wholesale Bank. Interlinkages between banks and insurance companies are one of

inancial Engineering class was probably the point in college that I knew what I wanted to pursue for my masters, especially after reading and reviewing Paul Wilmot’s Paul Wilmot Introduces quantitative finance. It was and still is my favorite non-fiction book, especially