Essays on Financial Reporting

The Financial Accounting Standards Board (FASB) is an independent body which was formed with the intent to develop and improve the generally accepted accounting principles in the United States (Financial, 2017). The financial accounting guidelines and reporting standards promulgated by this body are aimed at protecting the interest of the public, as per order by the Securities and Exchange Commission. The FASB has a role in protecting the public interest, thus it shares a collective mission with with the FAF and the Governmental Accounting Standards Board (GASB). These agencies have a mission “to establish and improve financial accounting and ...

IAS37: CURRENT ISSUES IN FINANCIAL REPORTING

IAS37: Current Issues in Financial Reporting Introduction Since the publication of IAS 37, it provides explicit directions for companies to recognize provision, contingent liability and contingent assets. IAS 37 undermines the traditional accounting concepts of prudence hence leading to considerable volatility in companies earning reports. The IAS 37 helps in disclosing the transaction incurred in an organization that is associated with liabilities. In the IAS 37 standard, the word “probable” has been adversely used and hence providing options of creative accounting essential for companies to recognize its provision on balance sheet. Before the amendment of current IAS 37, the ...

Charity 1: School PTA

The Parent Teachers Association in focus is a charitable school organization in a primary school. It is made up of volunteers who consist of parents, guardians, alumni and teachers who come together to generate resources for school programs, events or the acquisition of resources that are not included or planned for in the school budget. The PTA’s committee is made up of five executive members and other volunteers selected during the School’s Annual General Meeting held every September. The Executive position on the PTA Board include; the Chairperson, Vice Chairperson, Secretary, Treasurer and the Vice Treasurer. The ...

Cardillo Travel Systems

The Cardillo Travel Systems case shows the way the management cooked up the books only to be caught later. This essay will attempt to answer some questions on this case. False Representation to External Auditors: The executives at Cardillo Travel Systems were aware it needed to maintain a minimum of $3 million of stockholder’s equity threshold established by the court outstanding against the organization. (Ritterburg, 2012). This was the reason that shaped their intent to falsify the organization’s books to misrepresent facts before investors and creditors. The issue started with the accountants at Cardillo making an improper ...

BUSINESS – COMPARATIVE ANALYSIS OF THE PROFITABILITY OF ETIHAD AIRWAYS IN 2013 AND 2014

Introduction This proposal will discuss the research topic, questions, and objectives. It will also include the methodology of the research, and the work plan which is designed to guide and track the organization of the research.

Research Question and Objectives

Comparative analysis of the profitability of Etihad Airways in 2013 and 2014 using profit margin ratio and working capital ratio; Purpose and Significance Etihad Airways is considered to be the fastest growing carrier in the history of commercial aviation . From that, we were motivated to prepare a comparative analysis of the profitability of Etihad Airways between 2013 and 2014. The research is expected ...

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Accounting Standard Setting under the Australian Conceptual Framework and Application in Business Practices

Introduction A conceptual framework establishes the concepts and provides the guidelines that underlie financial reporting. As a coherent system of notions that flow from an objective, which in turn serve to identify the purpose of financial reporting, a conceptual framework also provides guidance on the identification of the boundaries of financial reporting. Its concepts further provide guidance on the selection of transactions, related events, and circumstances to be presented, and how such elements should be summarized and ultimately reported (Financial Accounting Standards Board [FASB], 2008). One such conceptual ...

The FA

The FA i.e. The Football Association refers to the English football’s governing body, which was established in 1863. Ebenezer Morley is considered the father of The Association. The activities of the company include overseeing, promotion and development of the game at different levels like The FA Cup and England International Teams. The activities also include broadcast and media rights, sponsorship, licensing, merchandising along with sales of tickets (The Bloomberg, 2017).

Financial Position of the FA

Current position with respect to financials of the company as on 31st July 2015 provided an overview of that the company is continuously striving to generate commercial revenues ...

Introduction

The Bayer AG is a German multinational chemical company that deals in pharmaceutical and was founded in 1863 by Barmen. As a chemical and pharmaceutical company, Bayer AG was the first company to produce aspirin in large quantities at a time when it was considered the best cure in the world. From this point, Bayer AG has strategically placed itself from this time to control the cosmetics and pharmaceutical market in the UK and other reading partners that interact with the UK. In terms of business, Bayer AG has invested in doing research and coming up with new products ...

Introduction

Over the last few decades, there have been several changes in the roles of audit companies notably due to challenges that have affected the ethics and integrity of the institution of auditing. Traditionally, audit companies are mandated with the responsibility of analysing the financial systems, financial records as well as the compliance of companies’ financial reporting procedures with the specific national regulations. The effectiveness of audit companies in implementing these duties is extremely important in the public trust in business organizations around the world. Local and international investors rely on the accuracy of audit reports produced by audit companies ...

Background

Being a small sized nation and also one lacking too much of natural resources, it was mandatory for Singapore to adopt a policy of open trade. The overall trade in Singapore currently amounts to thrice its GDP. Moreover, Singapore possesses absolutely no exchange controls either on the inflows or the outflows of foreign currency funds through its residents and non-residents. Despite the presence of stricter controls over the flows of domestic currency, there is no control that the nation has on its inflow and outflow. The country is known to be following an extremely liberal foreign direct investment (FDI) ...

Often abbreviated as SOX, the Sarbanes-Oxley Act was signed by the U.S. Congress into law in 2002 (U.S. Securities and Exchange Commission, 2013). The Act was designed to restore public confidence in corporate financial reporting and to initiate reforms in protecting investors from the possibilities of accounting fraud (U.S. Securities and Exchange Commission [SEC], 2013). Congress also enacted SOX 2002 to improve the accuracy of corporate financial disclosures as well as shield the public from bookkeeping inaccuracies (SEC, 2013). According to Jahmani and Dowling (2008), the SOX 2002 was intended to not only advance the accuracy and reliability of ...

Assignment 5: Capstone

Abstract Dell Inc. deals with manufacturing and selling of personal computers and other computer accessories. Turbo PC was the first product produced by Dell Company, which has experienced gradual growth since its foundation. Various strategies and policies have led to the success of the multinational company over the years. Therefore, the paper covers the effect that the mission, vision, and primary stakeholders of Dell has on its success. It highlights the effect of the six segments of the environment on both the firm and the industry. It also focuses on the SWOT analysis and five (5) forces of competition ...

Publicly traded companies such as Verizon Communications are required to prepare and file fully audited financial reports according that adhere to U.S. generally accepted principles (GAAP) and International Financial Reporting Standards (IFRS) guidelines. The importance of preparing financial reports is to assist users with information regarding a company’s financial performance to make decisions. Financial reporting analysis helps to determine whether financial reports have any material misstatement or omissions that would influence a potential investor’s decision. An analysis of Verizon Communications’ 2015 annual report will highlight whether the company is complying with accounting policies to ensure information provided ...

Introduction

The invention and development of computers have changed many aspects of human society. Most of these changes were too revolutionary, that it is often hard to imagine a life without computers. This increasing reliance of the society towards computing technology is referred to by scholars as ‘internet of things’, a term they use to describe the interconnectedness of people and computing technologies (Gubbi, Buyya, Marusic & Palaniswami, 2013, p.1646). One of the most impacted professions in the advancement of computers is the accounting profession. In fact, computing and accounting are so related that they are often used interchangeably. For accountants, ...

Question One: SEC’s Rationale to Charge Cardillo Executive

Making False Representation to External Auditor The executives of Cardillo intended to give false financial information to lure investors and creditors. They intended to get at least $3 million thresholds that were established by the court. As a result, the executives made inappropriate adjusting entry, which gave the SEC the reason to charge them. They lied to the external auditors that the $203, 000 that was received from United Airlines was income to the company, which was not the case (Ritteberg, 2012). In the real sense, the money that was paid by the United Airlines was supposed to be ...

Sarbanes-Oxley (SOX) Act was brought to curb corporate fraud and restore investor’s confidence in the integrity of the corporations and executives. Due to SOX, the paperwork for the companies has increased manifold, as the law requires just detailed documentation rather than proactive detection and prevention of fraud. Examples of both its effectiveness and ineffectiveness are given below: Section 404, mandates the management to provide assertions and to be attested by independent auditors that effective internal controls are being applied to the financial reporting. However, Jumpstart Our Business Startups Act (JOBS Act) of 2012 has provisions that eliminate this ...

Introduction

The primary purpose of using specific financial reporting frameworks is to ensure validity, uniformity, consistency and reliability of the financial reports. The IFRS and the US GAAP are two financial reporting frameworks that have some differences. The IFRS are often reliant on principles while the GAAP framework is founded on rules. The application of IFRS exceeds 110 states world over while the GAAP framework is mainly in the US and other few countries such as Japan. The US Securities Exchange Commission is, however, working on a way to adopt the IFRS like other nations. The two financial reporting frameworks ...

Introduction

Multinational corporations across the world usually consolidate and present their operational results in financial and non-financial terms at the end of every term, usually a year. The financial aspect of reporting is supposed to comply with a clearly prescribed set of regulatory standards. The adoption of the International Financial Reporting Standards and GAAPs was meant to ensure that all compliant firms across the world produce financial statements that conform to the industry specific reporting frameworks and thus achieve a degree of uniformity in reporting. Different firms in operating in multiple locations operate under the strict guidelines of the specific ...

Business Ethics Capstone Project

Introduction Business and ethics are really important in all aspects of life. There is the need for every human being to follow rules and this includes generally accepted morals as well as laws. In most cases, laws seem to evolve from morals and generally accepted customs and practices. However, laws come with specific sanctions whilst morals often come with softer consequences like reputational issues. There are many situations where organizations set up ethics as a means of ensuring that the workers observe moral standards in order to reduce the risks of legal problems and issues in its operations. Ethical ...

A standard method of exchanging financial data is crucial in the financial department of all institutions. In the past, the financial community was often frustrated by the lack of proper financial reporting formats. Most of the formats used were inflexible in sharing of data. Some of the formats used in the past include Microsoft Excel documents (MED), HTML, Adobe files, as well as text files. These formats had a little advantage of paper presentations. The inflexibility of these methods necessitated the adoption and use of XBRL in reporting financial statements. XBRL solved the dilemma that surrounded uniform exchange within ...

(Tutor’s Name) (Assignment)

Executive Summary The disclosure of engagement partners and other participants in audits of public companies can add to the transparency and accountability of financial reporting significantly as it has been suggested by PCAOB and approved by SEC. With the implementation of this policy change, investors and other financial statement users can know the identity of the engagement partners and other participants in the audit. Therefore, investors can make well-informed investment decisions based on these disclosures. However, these disclosures have both direct and indirect costs that will be ultimately passed on to the company management and ...

Financial reports are an essential component of any organization. The reports need to be accurate and easily accessible. In the past, the reports were produced in the form of Microsoft Word or Excel. This could not be easily accessed by the stakeholders due to their inability to be accessed on different devices without appropriate software. Such inflexibility, as well as inaccessibility, necessitated the introduction of a standards-based format for financial reporting. The eXtensible Business Reporting Language (XBRL) provided the needed flexibility in reporting of financial information. The focus of the paper is to examine the use and adoption of ...

Question 1: Hierarchy of Courts in Australia

Question 2: Conveyancing Acts Conveyancing Act of 1994 The Land and Business (Sale and Conveyancing) Act provides for the legal procedures and requirements that vendors and purchasers of land and property must follow. These include the registration and verification of titles to land and property and the role of agents in the land transaction process. It also deals with auctions, special requirements as to sales representatives and rights of parties to a land transaction.

Land Titles Act 194

This piece of legislation provides for the legal requirements for dealing in and holding of freehold land, the powers of the land Registrar, and use ...

Abstract

The Sarbanes-Oxley Act changed the ethical nature of accounting for publicly traded companies. The Act requires new forms of ethical behavior from companies, such as creating and maintaining a code of conduct that all employees, even executives, must follow. It also requires that they honestly and accurately report financial reports and maintains that the executive officers of a company have the most responsibility in reporting and certifying that the information is correct. The Act also changes the auditor-client relationship by making auditing more independent of the client, establishing an auditing committee overseen by the SEC, and ensuring transparency. The ...

In a business environment, managers are always faced with demands of transforming business processes so as to make them cost effective. This is because the business operational environment is highly unstable with consumer needs changing daily and therefore, business executives need to constantly monitor and alter how they conduct business to remain competitive. In particular, inclusive and informed decision-making process is critical to the success of businesses in this age. Information technology has made this easier through Enterprise Resource Planning software solutions. Enterprise Resource Planning Systems can be described as commercial software systems which are customizable and integrate core ...

The ongoing internationalization process persuaded regulators and businesses worldwide to think of a common global accounting language for business affairs. This move led to the development of IFRS. International Financial Reporting Standards (IFRS), sometimes referred to as International Accounting Standards, is a globally recognized accounting framework for businesses worldwide. The major purpose of this accounting standard is to make company accounts understandable and comparable across international boundaries. Currently, over 110 countries are following the IFRS accounting system in order to address complexities relating to international business affairs. However, the United States has not adopted IFRS yet, and the country ...

Abstract

The narrative report is prepared to provide a clear understanding of the prudence concept and historical information attributed to this concept. The prudence concept was applied in 1989 that was not included in the external references of 2010. The IASB observed that the concept was missing or ignored, so they provided an amended definition of the prudence in accounting. The significance of the inclusion of this concept is necessary to provide a clear and complete view of the financial position of users. The prudence concept is related to neutrality and conservatism, so it is badly affected by the adverse ...

Introduction.

The prudence concept has been an area of controversy, especially in accounting standards as there have been conflicting ideas on its relevancy and its desirability as a useful tool in the field of financial reporting. There has been a need to develop the prudence concept to suit financial reporting needs both in the contemporary context and in the future. A conceptual framework that incorporates the use of accounting practices that ensure consistency, coherence, acts as a guide to financial reporting and is easily understood by users is what is required for financial statement users.

Issue of prudence.

Over the years, there has ...

1.0 Abstract Stakeholders are of central importance to every business organization. The success of any business hinges on the relationship that it has with its stakeholders. Disclosure of quality financial reports is significant for the capacity of business organizations to build confidence with their key stakeholders. Corporate governance and the audit quality have attracted the interest of researchers to determine how they impact stakeholders. Additionally, the implementation of IFRS (International Financial Reporting Standards) has impacted the direction of business organizations especially with regards to corporate governance. The question of whether the quality and extent of disclosure of financial information ...

Response to an Audit Report Inquiry

Dear Dominique, I am writing this email in response to your request for clarification and explanation on the different types of audit reports. Generally, audit reports give an appraisal of a company or business’s financial performance and status during a specified period of time. These reports are usually completed by an independent accounting professional (internal or external), and cover the company’s assets and liabilities. Audit reports represent the auditor’s assessment of the company’s financial position and future status. In many countries, audit reports are required by law if the company is publicly traded or operates ...

Anyone have an opinion on non-GAAP measures that differ materially from actual financial statements? Is this ethical?

In the U.S., it is a a generally accepted practice to include in a company’s income reporting a report that does not conform to GAAP account principles. These reports are called non-GAAP reports. They include factors that companies believe better describe the results of their operations and finances, and they are commonly used by investors to evaluate a company’s performance. Companies use non-GAAP reports to supplement GAAP reports which are often standardized to particular industries. Non-GAAP reports may include a prediction of a company’s future financial performance. The usage of and reliability of the financial reporting ...

The Financial Accounting and Standard Board (FASB) and the International Accounting Standard Board (IASB) apply to the AT&T Mobility because both are proposing changes in global accounting. Moreover, their rule provides more incentives for companies particularly in changing the terms of the contract in corporations to speed up revenues to achieve quarterly targets. Additionally, the treatment of revenues in AT&T Mobility, the proposal for the changes, may drive the inconsistent allocation of income in particular between its products and payable resources as well as the separation of hosting arrangements. Consequently, AT&T have changed its GAAP accounting to redefine the ...

The fall of Enron

What went wrong and why? Answer. The wrong done in the case of Enron and the reason for the wrong can be described on the basis of the following aspects of their business: Enron’s core business was initially focused on natural gas pipeline and they made exceptional growth in the business. By the end of the 1990s they decided to diversify their business to the newly emerging business of asset management, construction, and Internet operations. Enron entered into foreign markets of Latin America, Asia, and UK with fresh subsidiaries focusing on development of asset management, construction, and internet ...

Accounting and Recording

Summary Financial accounting and reporting is a mode of communication used by different companies to communicate with the investors. This study uses two modes of accounting and reporting recognized by the international accounting and reporting body. The two methods used in this study are the Handelsgesetzbuch, HGB, which are the German commercial code and the US GAAP. The two multinational firms used in this study are from German and USA but operate in the global market. The German firm has its headquarters in Germany but operates in the international market while the USA firm also has it’s headquarter ...

RESEARCH REPORT

INTRODUCTION The French accounting had a long way of establishment and development. More so as France was a country with many colonies throughout the whole world. Despite the fact that the metropolis did not really want to develop thee colonies, as only their resources interested the French government, the French accounting system still had an immense influence on the development of the accounting systems in these countries.

French accounting found its origins under the reign of Louis XIV. The first mention and example of an accounting attempt was undertaken when the French wrote an official document named “Ordonnance”. The ...

The 1920s was known as the Roaring Twenties in the American history because of changes in the social norms, and the country experienced a strong economic boom (Kennedy: 2). During the time of widespread economic gain, the application of fair value in accounting and lack of regulation in security markets left the investors at great risk. That is the reported figures of stock prices had no information justifying their values. Similarly, financial institutions such as banks were lending recklessly with no guarantees to their clients. Consequently, the gap between the rich and the poor in America increased steadily (pbs.org). ...

Executive Summary

The world experienced one of its worst recession which commenced in late 2007. One of the issues that emerged was criticism on the then accounting standards which prompted standard setters to respond. The G20 countries recommended the formation of financial crises advisory committee which developed various recommendations that led to the improvement of specific International financial reporting standards namely IFRS 10, 11, 7 and 9. Also, the recommendation led to the development of IFRS 12. These development were the key responses by the standard setters which are reviewed to demonstrate how they positively impacted the financial statements

Introduction

Towards the ...

Introduction

The Financial Accounting Standard Board (FASB) is an independent board that incorporates different professionals who are mandated with the responsibility of communicating appropriate standards used for financial accounting and reporting purposes. The concept is referred to as the Accepted Accounting Principles (GAAP) and is often used by organizations in the preparation of financial reporting. Existing standards in FASB face a lot of criticizing for failing to meet the needs of users more effectively as far as financial reporting is considered. The reason why the facets are considered inappropriate and should be amended is that they are not a faithful ...

There is a considerable and sizeable population of small business in the US economy. Statistically speaking there are over 28 million small business that occurs with small business specifically indicating businesses with fewer than 500 employees. Over 22, million individuals are self-employed without any additional payrolls or having employed other persons. Of the working population, a considerable percentage of over 50% that translates to 120 million individuals work in the small business (US statistics and data, 2016). Small business on average have modest turnovers that attract income taxes on the cash generated. Business entities are relevant in the generation ...

Abstract

The question on the moral issues surrounding companies and their decision makers has been there for a long time. This has become even more critical given companies’ ever-increasing urge to outdo their competitors. It has consequently, led to the development of decision-making models that incorporate ethical values to describe processes that decision makers should follow when dealing with issues containing ethical dimensions. That, therefore, creates and maintains a corporate culture that is ethics-oriented. Many problems and solutions have been attributed to the corporate practices that constitute an organization’s culture. That definitely makes it an important determinant of the ...

H1 This hypothesis should test if IFRS adoption improves accounting quality in R&D firms. However, many research studies that have been conducted established that lower predictability and persistence in earnings. There is also a decrease in earnings influence to stakeholder value, weak volatilities in prices charged by markets, better predictability of cash flow of a company as well as financial predictions. Also, there is a rise in accruals together with timeliness loss of recognition as well as a reduction in expenditure on research and development. According to Ahmed, Neel, and Wang (2012), their study established that increase in income ...

Impacts of Outsourcing Internal Audit Fuction Author NameInstitution Name

Abstract This research finds out the effects outsourcing internal audit and extent of external auditors’ dependence on the work done by the internal audit team. We explore if outsourcing the internal audit function affects reliability on internal audit job already done and the use of assistant’s position for internal audit. We determine if internal audit outsourcing, the role of internal audit in systems consulting, affects external auditors’ dependence on internal audit. Results show that involvement in consultancy activities relating to the financial reporting system affects the extent of reliance on the work of the internal audit. When internal ...

Question 1

Within an organisation, accounting plays an active role to ensure that all business transactions of monetary value are classified, recorded, measured, summarised and reported in an accurate manner by adhering strictly to basic reporting rules such as International Financial Reporting Standards (IFRS) or US GAAP. Accounting rules make sure that financial statements are prepared and reported accurately by complying strictly with all reporting principles. Additionally, accounting steps confirm that all financial information is included in reporting mechanism while financial statements contain no error or any material misstatement having huge financial consequences. When the industry follows one accounting mechanism, it ...

Introduction

In the world of business, accounting is the spoken language that is used in different parts of the world. As such, there are two different spoken languages in financial accounting. The two sets of language dictate the financial reporting standards that are used. The major economies of the world use either the International Financial Reporting Standards (IFRS) or the United States Generally Accepted Principles (US GAAP) (Erchinger & Melcher, 2007). The two standards are regulated by two bodies that are (1) the Federal Accounting Standards Board (FASB) responsible for the GAAP and the International Accounting Standards Board (IASB) for the ...

In the accounting practice, the recognition of a deferred tax asset or liability takes into account the forecasted future effects of the tax associated with the short period differences. Under the current accounting principles, there is the differentiation of the deferred tax assets and liabilities into current and non-current amounts in the classified statement of financial position. The difference is based on how the particular assets or liabilities are classified for purposes of financial reporting. For those assets and liabilities for which there is no close association, the deferred tax is based on the anticipated date of reversal of ...

Broader set of Information to be Included in Traditional Financial Reporting

The Main Criticisms of Traditional Financial Reporting The very first criticism on traditional financial reporting is that the use of diverse accounting policies among different companies jeopardises the performance comparison between financial statements. In other words, traditional financial reporting causes businesses to use multiple accounting policies due to which accurate financial comparison becomes difficult. Another argument against traditional financial reporting is that despite performing independent examination of financial records and statements through internal and external audit, the financial records and statements may still contain material misstatements . There is a possibility that some material errors may go undetected during financial ...

The concepts and principles related to study of a management issue

The Concepts and Principles Related To Study of a Management Issue Management theories have been developed by scholars to combat administrative matters in corporate companies, but they have not been successful enough to fight issues such as fraud, embezzlement, poor leadership among other issues (Larry, 2016). It is apparent that the government of the United States had to find ways to combat these management problems to avoid scandals that were devastating to the economy. Even with developed policies, the managerial sector is still facing diverse challenges that need strategies that target individual leaders and employees. According to Larry upon ...

1.0 Statement of the problem The concern is brought about by the decreasing revenues of their business as evident in the preceding year of operation. Sales have dwindled over time due to decreased demand for services at the restaurant. Morrison observes that there has been a significant decrease in lunch demands and an overall reduction of sales revenues. Morrison also observes that despite the restaurant offering three services, the takeout, and catering programs have a very minimal share of revenues at about 9% each which is troubling given the fact that the two services are very popular in the ...

The International Financial Reporting Standards (IFRS) and Generally Accepted Accounting Principles (GAAP) are two set of accounting rules that regulate financial reporting. The IFRS is adopted in more than 120 countries around the world (IFRS, n.d.). GAAP is developed and used in United States. The two sets of principles have many common features. In fact, there is more commonality than differences between IFRS and GAAP. IASB and FASB, two standard-setting bodies for IFRS and GAAP respectively have started a convergence process with the aim to develop a universal set of rules. However, some important difference between IFRS and GAAP. ...

Abstract

The quality of financial reporting by various companies affects the economy of the country in more ways than one. Apart from the economy of the country, the quality of audit and financial reporting affects the operation of the company as well. Effective disclosure and transparent finical reporting provide a necessary condition to maintain and assure the confidence of the stakeholders. This study seeks to investigate the relationship that exists between the type of corporate governance and the quality of audit among listed companies in Australia's Petroleum and Mining industry. It presents a review of previous and existing literature concerning ...

Q1. Accounting standards play a significant role in the financial statements preparation process. The main international standard-setting organization is the International Accounting Standards Board (IASB) headquartered in London. It issues International Financial Reporting Standards (IFRS) which are used in more than 115 countries and is gaining acceptance in other states as well. These standards are also used on most foreign exchanges. Moreover, the IASB also issues framework for financial reporting and international financial reporting interpretations. Besides, the International Organization of Securities Commissions (IOSCO) also plays a significant role in the international standard-setting process. It doesn’t develop accounting standards, ...

Issues Between Store Norske Spitsberger Kulkompani Corporation

1. Store Norske is considering using Coal India Limited to assist them in their international business operations. What issues will Store Norske have to address with respect to any business transactions between Store Norske and Coal Inida Limited. Discuss. Store Norske’s manner of partnering with Coal India to assist them in their international business operations is called international joint venture. This is the most common way to go into international business to a) reduce the risk in venturing into a new operation, and b) takes the favorable opportunity of using the skills and assets of the new business ...

The creation of cash flow statement was done by the FASB so that the stakeholders of the business including creditors, owners, and managers can receive a higher amount of information about the receipts and expenditures of cash. Though there is the provision of showing the cash balances in the balance sheet at the end of every period, there is no further information given on the balance sheet, statement of owner’s equity or income statement. The creation of a cash flow statement solves this problem without fail. The basic purpose of a cash flow statement is the provision of ...

Various scandals across Europe have forced regulators to tighten rules that govern the appointment of external auditors and the auditing process. The Enron scandal, scandals at WorldCom and Global Crossing and the collapse of Arthur Anderson provided a platform for tightening of rules governing auditing process to avoid reoccurrence of the events (Cray and Lee 305). In UK occurrence of many scandals initiated formation of corporate government framework. Among the scandals witnessed in the United Kingdom include names such as Polly Peck, Robert Maxwell, and BCCI. To protect companies from the occurrence of scandals that may result in their ...

Introduction

Studying accounting has been one of my interests since I was a child. Being in accounting classes was really enjoyable from the start. However, although studying the concept in class was interesting, I found it more thrilling to put to work some of the skills that I had learned. I was privileged to get an internship at PWC, one of the big four auditing firm, which I started on January 4th the year 2016. Through this internship, I was exposed to real-life accounting and auditing experiences which I had spent the last several years preparing. As such, this report ...

Identify different users of accounting information and discuss the varying information needs of these users.

Users of accounting information are both - internal & external to the company in question. Internal users are the primary users of accounting information. They are company managers, employees and proprietors. Managers make use of the accounting information for analysis purpose regarding the company’s output and ranking so that suitable measures could be taken for bettering company performance. Next-in-line internal stakeholders are company employees. Their information needs are different from that of company managers. They use company information for measuring the earnings made by the company and deriving results thereof for relating with their future income and job safety; ...

This report analyses the most recent financial reports of two companies; Sino Gas and Energy of Australia (2014), and Solar World of Germany (2015). Sino Gas and Energy reported total provisions of $97,166 that constituted 0.09% of the total assets. Solar World reported total provisions of k€ 49,466 that constituted 5.69% of the total assets. The provisions for the two companies are listed below in descending order based on their book values:

Sino Gas and Energy $

Other provisions 60,837 Employee entitlements 36,329 Total 97,166 Solar world k€ Warranties 24,653 Pensions 10,704 Litigation risks 9,190 Other ...

Abstract

The study has an objective of examining the impacts of corporate governance among listed Australian companies using their audit quality as the baseline. Corporate governance is a broad topic. Thus the study focuses on the effect of ownership structure on the quality of auditing across Australia. While a widely accepted definition of audit quality has not been formulated nor has a widely accepted measure been generated, the research will employ different aspects of corporate governance to establish its relationship with the quality of the audit. Various data and information will be gathered from at least ten different companies in ...

General accepted accounting standards (GAAP) are acceptable framework and guidelines in accounting practice, used by professional accountants to record financial statements and position of a company. Therefore, this comprises of accounting and reporting standards, meant for both profit oriented firms and non-profit-oriented firms. On the other hand, according to (ken,2013) International Financial Reporting Standard (IFRS) is a global business language used in company circles so that their accounting documents and reporting are standardized. This, therefore, means that they are somewhat comparable across the industry, hence shareholder and stakeholders can make educated investments decision. IFRS is commonly used for ...