...When I become an accountant I would like to work in a lot of different industries. I would like to try to have experience in all types of industries to figure out what I would love to do the most. My major goal is to create a non-profit organizations, after I get the gist of accounting and get the funds to do so. One organization will be a homeless rehabilitation center, where the homeless will be able to stay and get mentally and physically evaluated and treated. I would like to have a homeless rehabilitation center, because no one should have to go hungry, cold, and unsheltered. Most homeless get classified as lazy but not a lot of people talk to them and truly understand why they live the way they do and seek to help them with their insecurities...
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...ACC460( Government and Non-Profit Accounting )Complete Class Click This Link to Get The Tutorial: http://www.myhomeworkspot.com/ACC455-Corporate-Taxation-Complete-Class-002.htm Week 1 Individual Governmental Accounting Standards Board (GASB) and Financial Accounting Standards Board (FASB) Analysis Paper Prepare a 350- to 700-word paper comparing and contrasting GASB and FASB accounting. Explain the objectives of the two standards boards and how they are similar and different. Describe how the modified accrual basis of accounting differs from full accrual accounting. Format your paper consistent with APA guidelines. Discussion Questions DQ 1 Log into http://www.charitynavigator.org/. Choose a good charity and a bad charity and explain why you feel they should labeled good or bad. DQ 2 What is fund accounting? How does it compare to proprietary accounting? Why is fund accounting necessary? What are the major fund types? DQ 3 What are some examples of government and not-for-profit organizations? How do businesses measure success? How do government organizations measure success? DQ 4 What is the purpose of CAFR? What are the components of CAFR? Why is the Federal Government not subject to GASB 34? How do government-wide financial statements add information not available in fund financial statements? Week 2 Individual Ch. 1, 2, & 3 Textbook Exercises Resources: Ch. 1, 2, & 3 of Government and Not-for-Profit Accounting Prepare written answers...
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...operating a modern fleet of over 150 wide-bodied aircraft. Emirates airlines accounts to about 40% of the total movements of flights and aiming for at least 70% total flights coming in and going out of Dubai International Airport.” (http://www.emirates247.com/look-back-2010-onto-2011/the-most-popular-stories-of-2010) I am an accountant for Emirates Airlines and in charge of creating a project aiming to increase the company’s market share and gain more profit without sacrificing the company’s quality of services and reputation. I just recently began my employment in the company and now facing the big challenge of creating this project and attaining the goal of making it huge in international market and increasing our sales without compromising our excellent customer service. To be able to achieve this goal, I definitely need to focus in training and development of the company’s employees, both current and newly hired ones. I am optimistic about this project and I will do my best to make it work. However, I feel that accounting department alone cannot achieve this goal thus I...
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...Expenses should be reported by function or program. Direct expenses are those associated with a function or program. Indirect expenses are those that are not directly linked to an identifiable function. Revenues should be distinguished between program revenues and general revenues. Program revenues are reported in the program or functions section of the statement. General revenues are not directly linked to any program orbfunction and reported in the bottom section of the statement. Program revenues are reported in the charges for services, operating grants and contributions and capital grants and contributions. Extraordinary items, special items, and transfers are reported separately on the government-wide statement of activities. Extraordinary items are both unusual in nature and infrequent in occurrence which is usually beyond the control of management. Special items are either unusual or infrequent and must be within the control of management. Used to account for the general administration and most traditional services of government. The General Fund is used to record the budgetary inflows and outflows estimated or authorized in the annual budget. In the Operating Statement Accounts the Revenues and Other Financing Sources increase fund balance when closed and are recognized on the Modified AccrualExpensive. Expenditures and Other Financing Uses decrease fund balance when closed and are recognized on the Modified Accrual basis. Periodically compare actual revenues to estimated...
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...was 1900 since the emergence of non-profit organizations have started through the initiation of Arts and Culture Organization as it diversified its status from a profit-based system into a kind of philanthropic organization with tax incentives as the main instigation for the move. Through the years, the industry of non-profit organizations has been vastly engaged in different sectors of the society primarily to serve the general public. According to Peter F. Drucker, the “non-profit” institution neither supplies goods nor services not controls. Its “product” is neither a pair of shoes nor an effective regulation. Its product is a changed human being. The non-profit institutions are human-change...
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...Week 1 DQ 1 Why is it important that financial accounting systems report performance fairly and factually? Financial accounting systems are responsible for recording, monitoring and maintaining all financial and accounting transactions within an organization. It is crucial that financial accounting systems report performance fairly and factually because the information within the system is required for the organization to make good economic decisions that could make or break the entire business. The reports that are created by financial accounting systems are used to provide information to outside parties such as tax experts, creditors, and/or potential investors. Inaccurate financial reports can lead an organization to experience legal issues, financial fraud, and can cause a bad reputation for the overall organization. In order to maintain and grow a profitable business, organizations must rely on fair and factual financial reports. Financial accounting systems must also report performance fairly and factually to ensure that the organization is performing and operating properly. An inaccurate financial report, for example, can cause an organization to make an economic decision that the organization may not be able to afford to do. In a health care organization, financial reports must also be accurate to avoid errors in medical billing that can lead the organization to lawsuits and major financial losses. Financial reports that are not created fairly and factually...
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...PRINCIPLES OF ACCOUNTING Higher 2 (2016) (Syllabus 9755) CONTENTS Page INTRODUCTION 2 AIMS 2 ASSESSMENT OBJECTIVES 2 SPECIFICATION GRID 2 SCHEME OF ASSESSMENT 3 SYLLABUS OUTLINE 3 SYLLABUS CONTENT 5 SUMMARY OF COMMONLY USED RATIOS 15 RESOURCES 16 Singapore Examinations and Assessment Board MOE & UCLES 2014 1 9755 H2 PRINCIPLES OF ACCOUNTING (2016) INTRODUCTION Principles of Accounting aims to provide candidates with a foundation course in accounting at a breadth and depth appropriate to the A Level. It is designed to provide candidates with a sound understanding of financial and managerial accounting procedures and an appreciation of its role in society. The teaching approach emphasises the broad educational aspects of the subject rather than one which is vocational or professional in nature. There is no requirement to learn the published accounting standards. Prior knowledge is not necessary for students offering this syllabus. It is not the intent of this syllabus to be a pre-requisite for any business-related courses. AIMS 1. Develop an understanding of the concepts, principles and practices of accounting and the ability to apply them in a variety of business and personal situations; 2. Develop an understanding of the role of accounting as an information system for monitoring, problemsolving and decision-making in changing economic, social and technological environments; 3. Develop a critical approach to analysing and evaluating accounting policies...
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...Advanced Financial Accounting Unit 3 Solutions Solution to question 1 1. Prepare the equity accounting entries for 20x5 EA1: Recognize share of post-acquisition R/E of A Dr Investment in A 21,000 Cr RE RE of A as at 1 Jan 20x5 RE of A as at date of acquisition Change in RE 30% Share of A's change in RE 21,000 100,000 30,000 70,000 21,000 EA2: Recognize share of impairment loss on intangible asset (note a) Dr RE 4,800 Cr Investment in A 4,800 (30% Asso x 50% impair x (1-20% tax) x 40K) EA3: Adjustment of after-tax unrealized profit on sale of inventory from 20x4 Dr RE (30% asso x (1-20%) x 5k) 1,200 Cr Investment in A 1,200 EA4: Reclassify dividend income as a reduction of investment Dr Dividend income (30%x 20k) 6,000 Cr Investment in A 6,000 EA5: unrealized profit on inventory now recognized in 20x5 Dr Investment in A (30% x 80% x 5k) 1,200 Cr share of profit of A 1,200 EA6: Recognize share of current profit after tax of A Dr Investment in A 48,000 Cr Share of profit of A (30%x160k) 48,000 1 Advanced Financial Accounting Unit 3 Solutions 2. Analytical check of Investment in A $ Investor’s share of book value of A $340,000 x 30% NCI’s share of FV adjustment on intangible assets (after-tax) ($40,000 x 50% x 80%) x 30% Investor’s share of Implicit goodwill (Note) NCI balance as at 31 December 20X5 Note: Implicit goodwill in investment in A: $ Investment in A BV of net assets of A at acquisition Unrecognized intangible (after-tax) FV of net assets of A at...
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...Differences of Accounting for Government & Nonprofit organization versus for profit business. Business accounting has always been considered by some people to be the model for government accounting. But there are differences between one and another. Government and not for profit are governed mainly by their budgets. The budget covers the governmental decisions on how to raise money and where to spend it. Traditionally the budget takes center stage and one of the most public decisions in the government. They may have several budgets for the different funds in government and may be backed by the force of law. Nonprofit accounting is guided by FASB Statement of Financial Accounting Standards Nos. 116 and 117. Nonprofits usually don't have a revenue stream similar to that of a for-profit business, which gets funds through the selling of goods or services. Instead, a nonprofit receives donations and government and foundation grants. Unlike a for-profit, a nonprofit often needs to report on funds received. For example, if an organization gets federal funding, it must report on how the money was spent and it must comply with various rules. This can get very complex, which is why you may see specialized accountants in large nonprofits who are experts in certain funding sources. One of the main differences between the GASB and the FASB is that the GASB is intended to keep and improve upon the current standards put in place for governmental accounting purposes; while...
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...Review questions 16.2 There is a general requirement that unless a specific accounting standard requires an item of income or expense to be recorded directly in equity, the expense or income amount is to be included in profit or loss. Specifically, paragraph 88 of AASB 101 states: An entity shall recognise all items of income and expense in a period in profit or loss unless an Australian Accounting Standard requires or permits otherwise. As an example of one class of items that does not go to profit or loss we can consider the situation where an error from a prior period is discovered (perhaps the assets recorded last year were valued in excess of their recoverable value). In such a case the error is to be corrected retrospectively, as required by AASB 108 Accounting Policies, Changes in Accounting Estimates, and Errors. This would require a reduction in assets and a reduction in retained earnings to recognise the asset write-down expense. Although this is an expense that is recognised, it is a case of an expense being recognised directly in equity (retained earnings is an equity account). A number of other accounting standards also require certain income and expense items to be recorded directly in particular equity accounts rather than including them in a period’s profit or loss. These items form part of what is now referred to as ‘other comprehensive income for the year’—which when added to ‘profit or loss’ gives ‘total comprehensive income’ for the period. Paragraph 7 of...
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...(BMA) Supervisory Board Member President of Afghan Social Researchers Association (ASRA) Work Experiences Business Unit Manger & adjunct Trainer, AUAF-PDI Technical Adviser, FinTRACA- Da Afghanistan Bank Custom Analyst- Ministry of Finance Official of Treasury Department- Ministry of Finance Education: Global MBA plus finalist of ACCA- Continuous BSc from Oxford Brookes University Certified Accounting Technician (CAT) 1. Purpose and format of the financial statements INTERPRETATI ON OF FINANCIAL STATEMENTS 2. Users of the financial Statements 3. Profitability Ratios & Interpretation 4. Liquidity Ratios & Interpretation 5. Gearing Ratios & Interpretation 6. Limitations of ratio analysis Accounting: Definition Is the process of Recording Classifying Summarizing Interpreting in journal in ledger and in Financial Statements financial information in order to make decisions Financial Statements Financial Statements present information about The financial position of an entity Its financial performance during accounting period Its cash flow Financial statements are 1. 2. 3. 4. 5. Statement of Financial Position Statement of Comprehensive Income/income statement Statement of Cash Flow Statement of changes in Equity Notes to the Financial Statements Elements of Financial Statements Statement of Financial Position shows the financial position of an entity as at a particular...
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...Discussion of the issues (2.5) * Limitation of historical cost accounting Historical cost accounting: assets are recorded at the amounts paid/ received at acquisition Problem: +) inflation, +) increase in asset values are not reflected in financial statements (wearing out of assets, increase in market value) Advantage: +) objective method: documentary evidence to prove the purchase price of an asset, or amounts paid as expense. +) costs can easily be verified. * Alternative method of accounting that have been developed to address the problem: Measurement of the elements of financial statements: measurement options rather than historical cost include: +) replacement cost/ current value: means the amount need to replace an item with an identical item. Ex: XY Co purchased a machine five years ago for $15 000. It is now worn out and needs replacing. An identical machine can be purchased for $20 000. Historical cost is $15 000 Replacement cost is $20 000 +) net realisable value: is the expected price less any costs still to be incurred in getting the item ready for sale and then selling it. Ex: XY Co's machine from the example above can be restored to working order at a cost of $5 000. It can then be sold for $10 000. What is its net realisable value? Net realisable value = $10 000 – $5 000 = $5 000 +) deprival value: is the loss which a business entity would suffer if it were deprived of the use of the asset. Value to the business, or deprival...
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...Topic | AS | IFRS | Presentation of Financial Statements | AS1-Disclosure of Accounting Policies AS5-Net Profit or Loss for the Period , Prior Period Items and Changes in Accounting Policies | IAS1- Presentation of Financial Statements | | Entities preparing first financial statements in compliance with Indian GAAP are required to comply with all accounting standards. | Entities preparing first financial statements in compliance with IFRS apply optional exemptions and mandatory exceptions in IFRS1 to the retrospective application of IFRS. | | Non-compliance with accounting standards or the Companies Act is prohibited unless permitted by other regulatory framework. | IFRS may be overridden in extremely rare circumstances where compliance would be so misleading that it conflicts with the objective of financial statements set out in the IFRS framework and thus, departure is needed to achieve fair presentation. | | Entities meeting the conditions to qualify as Small and Medium Sized Company have certain exemption or relaxation in complying with the accounting standards. | IFRS for SMEs(Small and Medium Enterprises) is a self-contained set of accounting principles that are based on full IFRS, but that have been simplified to the extent suitable for SMEs. The IFRS for SME and full IFRS are separate and distinct frameworks. | | There is no requirement to make an explicit and unreserved statement of compliance with Indian GAAP in the financial statements. | Entities should...
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...In accounting, historical cost is the original monetary value of an economic item.[1] Historical cost is based on the stable measuring unit assumption. In some circumstances, assets and liabilities may be shown at their historical cost, as if there had been no change in value since the date of acquisition. The balance sheet value of the item may therefore differ from the "true" value. While historical cost is criticised for its inaccuracy (deviation from "true" value), it remains in use in most accounting systems. Various corrections to historical cost are used, many of which require the use of management judgment and may be difficult to implement or verify. The trend in most accounting standards is a move to more accurate reflection of the fair or market value, although the historical cost principle remains in use, particularly for assets of little importance. Depreciation affects the carrying value of an asset on the balance sheet. The historical cost will equal the carrying value if there has been no change recorded in the value of the asset since acquisition. Improvements may be added to the cost basis of an asset. Historical cost does not generally reflect current market valuation. Alternative measurement bases to the historical cost measurement basis, which may be applied for some types of assets for which market values are readily available, require that the carrying value of an asset (or liability) be updated to the market price (mark-to-market valuation) or some other...
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...Introduction According to the American Accounting Association, accounting is a process to measure, identify and communicate to show economic information by the user. ( http://tutor2u.net/business/accounts/intro_accounting.htm). Besides that accounting also can be define as the language of business because it is a system to record , analyse and summarize of financial transaction ( http://www.cliffsnotes.com/study_guide/Introduction-to-Accounting.topicArticleId-21081,articleId-21001.html). Accounting is a transaction of selling and buying . After that organise these information presenting it for decision-making. Accounting is important to record all of the business transaction easy for the owner to know whether they are financially successful and to know how much they owed and how much they owned.(Frank Wood & Alan Sangster ,2008,Business Accounting 1 eleventh edition, pg4) Summary Accounting is a process where the user identify, measure and communicate the economic information to perform decision and judgement. Bookkeeping is required in accounting to record data . There are two equation used in accounting which is accounting equation (assets equal to liabilities plus equity) and profit determination equation (profit equal to revenue minus expenses). Double entry system is used inside the book keeping. T-account is a shape use when doing double entry system. It divided into left-hand side called “debit” and right-hand side called “credit”...
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