Creditors Course Works Samples For Students

The insolvency law has always held much interest in the people all around the world. The Cork report of 1982 greatly improved the insolvency law along with various other statutes that regard insolvency and bankruptcy. The Cork report originates from Kenneth Cork, who served at the cork committee that was responsible for making law recommendations regarding insolvency, bankruptcy, and liquidation of wealth. They formulated a comprehensive procedure that finally harmonized the law procedures for bankrupt businesses and increased their chances of survival (CAMAC 2010). The legal procedure recommended by Cork accentuated upon the similar system of insolvency courts to administer ...

In the present era of Corporate Modernization, unlike the traditional activities, it is not the owners which runs the company, infact they hire competent management to work on their behalf. Moreover, every owner(shareholder) consider that the managers so appointed to work on their behalf will act in the best interest of their owners and will assure shareholder’s wealth maximization. Infact, in present complex corporate era, the performance of the company depends upon, how competent the management is adapting the dynamic business environment and related circumstances. Thus, the ability to properly adapt and implement the changes in the ...

Bankruptcy is a state where a business or person is unable to pay their debts. There are benefits that an individual gets from filing a bankruptcy like the possible discharge of certain debts. They also include cushion from harassments over debt collection and more time to prevent foreclosure proceedings. On the other hand, it might have some negative effects including the effects on debtor's credit rating, liquidation of property and the problem of securing loans or credit card. The elements of bankruptcy clearly defined under chapter 7, 11 and 13 (Keenan & Riches, 2007).

The bankruptcy in chapter 7 is where ...

Task 1

Explain the nature and role of accounts. You need to also explain why James and Rebecca need to produce accounting information in order to make financial decisions.

Answer

Accounting is the process of identifying, measuring and reporting economic information to the owners of business and all interested parties (Joel, 2008). Business transactions have financial implication on a business in both short term and long term (Frank & Allan, 2005). Some of the transactions are sale or purchases of fixed assets or current assets, paying of business expenses, and settling current liabilities among other business transactions. Accounting involves identifying, measuring and reporting ...

Question One

Financial statements can be viewed from three perspectives; shareholders, creditors and managers. To begin with, a company’s management is the largest users of its financial statements. It primarily relies on financial statements such as the statement of financial position, statement of income and cash flow statements to determine the effectiveness of all decisions it makes in the course of running the company. The owners of any company elect managers and directors to manage all the funds they invest into the company. As a result, the management is fully answerable to the shareholders and must deliver periodic reports detailing the effectiveness ...

The Horizontal Analysis

In the horizontal analysis of the company, one considers the various line items in the income statements and the balance sheet with similar items in the previous years. Looking at the year 2008, the company did not perform well. In terms of sales, there was a decrease in the sales compared to the year 2007. There was a decrease of $ 897,000 which is 15% of the sales revenue.
As a result of the low sales, the company suffered a loss in the gross profit. The profit reduced from $1.6M to $1.4M. When analysing the expenses, the website creation and maintenance is a ...

Introduction

Today many people consider establishing their businesses with the aim of increasing their income streams. However, it is imperative that prospective entrepreneurs have knowledge on the types of business units prescribed by law. This understanding enables them understand the risks associated with particular business units and the capital requirement involved. After deciding the type of business to invest in, entrepreneurs must consider the sources of finance available to them, and the type of accounting skills necessary for running of the venture. Hence, this report analyzes different forms of business units, types of accounting skills, and sources of finance available ...

Indeed creditors of a corporate cannot claim the assets of a company’s shareholders should the company become insolvent. This is contrasted to the situation regarding a sole proprietorship in which the creditors are allowed by the law to put claim on the property of the sole proprietor in case the assets of the business are not sufficient to cater of all of the creditor’s claims. Indeed, it is fair for the shareholders of a company to have a limited liability and for the owner of a sole proprietorship to have an unlimited liability. A shareholder with unlimited liability is one whose personal property ...

Abstract

Financial statements suffice for purposes of communication of financial and non-financial information to end consumers. These consumers in one way or another use the information in the decision making situations they are confronted with. Some of the basic financial statements include; the statement of income, the statement of financial position, the statement of cashflow and the statement of changes in equity and reserves. On the other hand, consumers of financial statements can be divided into two broad groups; internal consumers and external consumers. Internal consumers include managers and employees while external consumers are creditors, investors and government regulatory bodies. ...

Brief Summary of the Presentation

The title of the presentation was “What Every College Should Know about Credit Scores but No One will tell them.” The main resource persons were Quinton Harris and Tim Gill who were both Area Managers for the Bank of England and Daniel Halverson who is a credit manager. A credit score is a benchmark for a creditor for determining whether a person is worthy of credit. A credit score also shows a person’s ability to manage finances and meet obligations. The presentation highlighted the importance of having a good credit score to gain trust from employers, creditors, business partners and other interested parties.

Leadership Skill, Traits and Abilities Identified

The ...

Management

In supply chain management, the role of manager plays an important role in the success of the business. The job vacancy of ‘supply chain manager’ is a very demanding and dedicated job, which covers almost every important aspect of the supply chain management. The main requirement for the job is to create and maintain a good supply chain process for the company’s new office. It includes the responsibilities regarding purchases, shipping, production planning, and relation with the suppliers and receiving of goods. The job for the manager post requires special skills to manage all different production departments in an ...

1. What are the elements of Bankruptcy under Chapter 7, Chapter 11, and Chapter 13? Identify the key differences. Provide an example for each.

The elements of bankruptcy specified in Chapter 7 have to do with the sale of a debtor's property in order to pay off debts. Put simply, the debtor sells of non-exempt holdings to pay creditors. The elements of bankruptcy specified in Chapter 11 on the other hand, have to do with the reorganization of the organization. Put simply, the debtor files for bankruptcy which in turn allows him to continue with the organization and pay off creditors over a period of time. Lastly, the elements of bankruptcy mentioned in Chapter 13 involve bankruptcy protection. Under this law, the debtor has ...

Assets are usually owned by the business. Businesses use these assets in order to generate revenue by selling goods and services. Assets are both tangible and intangible. Normally tangible assets include cash in hand, furniture and fixture, plant, machinery etc. while intangible assets include goodwill of business, trademark or patent etc. (O'Keefe, 2010)
According to GAAP, either the owner of the business owned the assets of business or subject to the claims of creditors. Creditors are those persons who have given loans to another person or businesses. Such loans or credits are called liabilities. Such portions of ...

Richards (2013, p. 1) first sets out to define the terms to gain a better understanding of the concepts. “Debt” is defined as “borrowing money from an external source with the promise to return the principal, in addition to an agreed upon rate of interest.” Though the terms here are often understood in the negative light, startups, or small companies just beginning to operate, often use debt financing to fund their operations. In fact, even companies with the most robust balance sheets will often times reflect some amount of debt within. In financing terminology, debt can also be ...

Legal arrangement that offers management, distribution, and ownership of property is what is known as trust. Trust that has some terms and provisions that are not possible to change is what is referred to as irrevocable trust. Once a term has been fixed at the beginning of the contract, the guarantor has no power to alter the terms of agreement as it is done in a revocable trust (Thomas, 2013). Many benefits can be enjoyed by taking irrevocable trust. The most common benefits are to minimize tax on the estate, for minor family members, to help those who are financially irresponsible, ...

Differences in the Risk of a Clothing Company and a Utility Company

A clothing company has high exposure to both diversifiable and non-diversifiable. Diversifiable risk exists within the company because of internal activities of the entity (Hopkin, 2013, p. 2). The company can avoid this type of risk by diversifying its investment portfolio. The clothing company has much exposure to this risk because they concentrate on one investment, clothing. On the other hand, the clothing company cannot avoid non-diversifiable risk because non-diversifiable risk affects the whole market (Jordao & Sousa, 2010, p. 2).

On the other hand, a utility company has limited exposure to diversifiable risk. The company has an investment in ...

Ratio analysis is a useful tool for the purpose of financial analysis as it facilitates summarization of a large quantitative data and produces a meaningful conclusion for every user and the same is discussed below:

- Owners: Ratios are used by the owners of the company so as to know about their liquidity, efficiency and profitability of their entity. In other words, ratios act as profile evaluators on the basis of which owners establish benchmarks for the future performance of the company.

- Financial managers: Finance managers use the ratios to evaluate the financial policies of the company and ensure that all ...

How did American foreign policy become more interventionist (aggressive) from the 1890s into the twentieth century?

What issues have led to the Filipino Insurrection? How was this conflict perceived in the United States?
Spain yielded its colony of the Philippines to the United States in the Treaty of Paris after its defeat in the Spanish-American War. Just two days before the ratification of the treaty, fighting has broken between Americans forces and the Filipino nationalists under the leadership of Former President Emilio Aguinaldo. The Filipino nationalists sought their independence than a change in the colonial rulers. The Philippine-American War has lasted about three years; it resulted in the death of American soldiers and Filipino combatants ...

Four General Four Phases of the Working Capital Cycle

Working capital, defined as the money required to facilitate day-to-day business activities, undergoes through a cycle known as the working capital cycle. Once the supplier supplies goods or inventory, the businessperson pays for the supplies and then waits to get back the money after sale. Working capital cycle them measures the time between when the businessperson pays for supplies to the time of receiving money after sale (Government of Western Australia, 2013). The cycle has four parts as follows:

- Cash: Getting the required cash
- Creditors: Converting some or all the cash into resources, which could include inventories, ...

Introduction

Datax Tutoring Service exists in its legal form as a legal proprietorship in the form of the business's ownership with mingling of rights of the owner as well as liability and responsibility in combination with business rights. In this case Matt Thomas exists as the owner of the business as well as in legal representation with the responsibility of transaction and management of the activities of the business. There is no legal distinction between the Matt Thomas as the owner and his tutoring business. In addition he is the recipient of allow profits that are subjected to certain taxation ...

Bonds are known as debts, which the government or certain companies assume by loaning money from the public. This is in the form of U.S. Government bonds, corporate bonds, or municipal bonds, among others, and are used and invested in company expansions or government initiatives such as street lighting, infrastructure, and maintenance of government buildings. In exchange, investors receive a fixed interest rate within a specified period. Therefore, people invest in bonds because bonds provide stability in investments, consistent source of income, and security of investment.
Stability is the first thing that investors consider when investing money on bonds. They ...

Executive summary

Royal Dutch Shell PLC commonly known as the shell is second largest energy company in the world whose registered office is in London. It is oil and Gas Company operating in various parts of the world; to stay relevant to climatic and environmental changes it engages in both renewable and non renewable energy. In addition, it is a vertically integrated oil company which engages in all oil activities from exploration to refining and marketing. Apart from its core activities, it has entered into partnership with various international organizations to preserve the environment. The company shares are listed in London stock ...

Introduction

The IFRS are accounting standards, rules and principles that were introduced by an independent organization in the United Kingdom, known as the International Accountants Standards Board. The institution puts forward that the standards would better serve public companies worldwide than the local standards in the country due to the aspect of comparability, transparency and economic growth. There are several countries that have adopted the IFRS over the recent years. The transition to IFRS for the companies in these countries has considerable costs. There are technical and training costs that are incurred that may cause several companies to be cautious ...

Question 1

List and describe the main areas of the business you will need to focus on in developing your operational plan giving examples of how each of these main areas will relate to the potential business outlined in the case study.

In formulating the operational plan, the following areas should be taken into consideration:

Business description

In the operational plan, the business description shows what the enterprise that is being set up is to venture in. In doing so, the product and the target market is clearly stated to depict the venture intention. The intention is to start a fast food alongside the ...