...applicable tax rate of 40% and no unused tax loss or credit carryforwards. The Company’s fiscal year ends on December 31. Relevant Issue This case provides an opportunity to use accounting authority to account for the two issues in the case. Under issue 1 we must determine the adjustment required to the Company’s preliminary 2009 financial statements to comply with ASC 740-10 by completing the table that was provided and justify our position. In addition, we must determine what periods the interest should be accrued in 2010 for financial reporting purposes. Under issue 2 we must do the same thing in issue one only using the facts from issue 2 instead. Case Facts In prior years, Bricks & Mortar determined it had no uncertain positions that required recognition under ASC 740. The last date of payment of fiscal year 2009 tax is March 17, 2010 for purposes of accruing interest and penalties under the tax law. The Company is preparing its financial statements for the year ended December 31, 2009. In determining the amount of its 2009 tax provision, the company has prepared a draft of its 2009 tax return. The following is the company’s tax working papers: Balance sheet accounts Current tax liability $2,000 and deferred tax liability $800---Income statement accounts Current tax expense $2,000 and deferred tax expense $200. Management has identified two deductions, taken in its 2009 draft return, for which the tax law is...
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...company, we focus on tax purpose but not immigration. Government interest on Tax, you earn your profit, no matter which corner you are working in the world, you have to pay tax. That is not only your personal liability to the country who grant you a resident or citizenship, and also the country allow you to acquire profit to rich your pocket.The definition of resident for company is in ITAA36 s6(1) state that:A company which is incorporated in Australia, or which, not being incorporated in Australia carried on business in Australia, and has either its central management and control in Australia, or its voting power controlled by the shareholder who are resident of Australia. Page 77 understanding taxation law 2010 Frank GildersBut the current definition of Australia of residency company do perform a highly compulate system and the double tax with a higher tax rate, which is discourage the over-sea investor and bring trouble to Australian itself. – the decrease the competitive ability in the international trading and business market. Analysis :There are many different kind of business cooperation in which investors can do business in Australia, including corporations, branch offices, subsidiaries, trusts, joint ventures and partnerships. For the international investors, the most common way are usually form a Australian subsidiary companies or Australian branch offices. Owing to the Australia tax law, both of them have...
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...Necessary Qualities Internal revenue agents not only need the basic skills required to perform auditing, but agents also need important qualities such as integrity and commitment. A wide variety of skills are needed to perform audits at an efficient level. IRS agents must be dedicated to their work and willing to work with other to accomplish tasks. Communication skills: IRS agents will be in contact with their co-workers, management, and customers. Customers will be comprised of high-ranking members of companies tax departments. Must be able to communicate effectively with specialized tax language. Analytical skills: IRS agents will be examining income, sales, and excise tax returns for large and small corporations. Agents will be searching for any problems with these returns. Must be knowledgable with tax information and able to spot discrepancies in returns. Organization skills: Agents will be handling large amounts of tax returns, records, and tax laws. Agents will deal with multiple corporations returns and cannot mix records. Must be able to keep an orderly workplace. Computer skills: In today’s world, technological improvements have increased efficiency in the IRS. Agents will need to be able to operate auditing programs with ease. Integrity: Agents will be dealing with confidential...
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...INTRODUCTION TO THE COMPANIES CHOSEN * Hero Motocorp: Hero MotoCorp Ltd. (Formerly Hero Honda Motors Ltd.) is the world's largest manufacturer of two - wheelers, based in India. It got separated from Hero Honda in the year 2010.In 2001, the company achieved the coveted position of being the largest two-wheeler manufacturing company in India and also, the 'World No.1' two-wheeler company in terms of unit volume sales in a calendar year. Hero MotoCorp Ltd. continues to maintain this position till date. The Board of Directors of Hero Motocorp are Mr. Brijmohan lall Munjal (Chairman), Mr. Pawan Munjal (Managing Director and C.E.O), Mr. Sunil Kant Munjal (Jt. Managing director), Mr. Sumankant Munjal (Non-Executive director) and Mr. Pradeep Dinodia (Non-Executive and Independent Director). * HUL (Hindustan Unilever Limited): In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing Company, followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). These three companies merged to form HUL in November 1956; HUL offered 10% of its equity to the Indian public, being the first among the foreign subsidiaries to do so. Unilever now holds 52.10% equity in the company. The rest of the shareholding is distributed among about 360,675 individual shareholders and financial institutions. The Board of Directors of HUL are Mr. Harish Manwani (Chairman), Mr. Nithin Paranjpe (C.E.O & Managing Director), Mr. R. Sridhar (C...
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...Business and Economics. It consists of a study for the launch of a new and original product, called Smartink, as well as a proposal for a commercial plan of action. Even in the technological era we live in, it is noticeable that people still do a considerable amount of work recurring to paper materials, and not just electronic devices as many would have thought. So when it comes to studying or memorizing certain text or book it is fundamental to highlight the more important information in order to achieve better results. However, a lot of people do not...
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...Table of Content: Notes to Consolidated Financial Statements 1. Summary of Significant Accounting Policies Principles of Consolidation Description of the Company New Accounting Pronouncements Cash and Cash Equivalent Inventories Investments Property, Plant and Equipment and Depreciation Earnings per Share Revenue Recognition Research and Development Use of Estimates Income Taxes Annual Closing Date 2. Cash, Cash Equivalents and Current Marketable Securities 3. Inventories 4. Property, Plant and Equipment 5. Intangible Assets and Goodwill 6. Long-Term Liabilities 7. Income Taxes 8. Employee Related Obligations 9. Pensions and Other Benefit Plans 10. Merger and Acquisitions 11. Earnings per share 12. Rental Expense and Lease Commitments 13. Investments 14. Share-Based Compensation Plans 15. Recent Accounting Pronouncement 16. Subsequent Events 3 3 3 3 3 4 4 4 4 5 5 5 5 6 6 6 6 7 7 8 8 8 9 9 9 10 10 10 11 ACCT551 Class Project Page 1 ACCT551 Class Project Excerpts from 2009 Annual Report for the Procter & Gamble Company 1. Summary of Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the accounts of the Procter & Gamble Company and its subsidiaries (the “Company”, “we” or “us”). Intercompany transactions are eliminated. Description of the Company and Business Segments The Procter & Gamble Company’s business is focused on providing branded consumer goods products of superior quality and value. Our product are sold...
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...DCF analysis The value of a company today, based on how much money it’s going to make in the future Dividend discount model (DDM) Free cash flow to equity – determine the fair value of companies One must consider * Future sales growth, profit margins * Discount rate – depends on a risk-free interest rate 1. Forecast period & forecasting revenue growth * How far we should project cash flows * Excessive return period * One can guess based on the company’s competitive and market position Company competitive position * 1 year: * Slow-growing company * Operates in highly competitive, low margin industry * 5 years: * Solid company * Operates with advantage such a strong marketing channels, recognizable brand name, or regulatory advantage * 10 years: * Outstanding growth company * Operates with very high barriers to entry, dominant market position or prospects Revenue growth also depends on * Whether the company’s market is expanding or contracting * How its market share is performing Look historically - Example: The company has grown revenue at 20% for the past two years It could decrease over time as a result of increasing international competition and industry commoditization 20% for the first two years 15% for the next two years 10% for the last year 2. Forecasting Free Cash Flows * Estimate the free cash flow * The cash that through a company...
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...trades from their own home or office, probably will have multiple computers and monitors at their desk. From their desk or “trade station” traders can analyze data, build charts, and place his or her trades. According to Leibfarth (2006), most day traders rely on highly expensive computers and charting software to get the results they desire. The newest phenomenon to hit the trading world is algorithmic trading or black box trading. In its simplest form, individuals can programs computers or “black boxes” automatically to place trades based on certain market conditions such as volume spikes, chart patterns, trend lines, or pivot points in the markets. Once programmed, these computers can work alone and require minimal, if any, human interaction. For example, once a computer is powered on it can be directed to buy 100 shares of International Business Machines or IBM at $87.84 per share if a technical level or multiple technical levels in the company’s stock pattern has been met. Basically, the user can create a set of rules for the computer to execute. This does not only apply to stocks but also indexes and commodity futures contracts. Inversely, these black boxes also can be programmed to sell or short a position when either a trader’s profit target has been...
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...Industry Analysis: Single-Family Custom Homebuilders Mumford Tarbuckle MGT 330 Dr. Snozberry March 9, 2009 Industry Analysis: Single-Family Custom Homebuilders In some of the worst economic and housing market conditions in over 25 years, small, single-family custom homebuilders must weather the storm or die. In this paper, I will analyze how forces will affect and impact the general environment and the task environment from the perspective of a small custom home builder. The housing industry contains many types of builders. Highly capitalized, high production builders construct multiple dwelling units, such as skyscrapers hundreds of feet high, containing tens of thousands of square feet of living area; they build in densely populated, highly regulated urban areas. At the small business end of the housing industry, “mom and pop” contractors construct one-at-a-time, one-of-a-kind single-family homes in rural settings. The industry has a wide range of skills, techniques, environments, and budgets. Despite the gaping differences amongst such diverse builders, there is an interrelation and common influences. The most acutely felt force affecting all builders in the general environment is the decline in the broader economy. Some analysts believe the political environment, particularly the actions and approach of the new Presidential administration, are also critical. The 66-year old National Association of Home Builders (NAHB) has over 200,000 housing-industry...
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...A third career that I am highly interested in is becoming an accounting manager. With this job, it will take lots of education and effort, but the pay makes it all worthwhile. An accounting manager is considered one of the top positions in the accounting field. The fact that it is such a prestigious position it interests me, because I would enjoy being in a field that I can be considered a leader. Between those three career paths, I believe I would like to pursue the forensic accounting field more. The reason I would choose forensic accounting over tax accounting is because I almost was a criminal justice major, so I know the criminal justice side of forensic accounting decently already and am also very interested in criminal law. With being an accounting major, I would know if something looked suspicious, and could detect any sort of fraud. For this job, the average starting salary would be around $65,000. In the next ten years, the demand for more and more forensic accountants is only going to increase. According to the AICPA...
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...crime and social class. Marxism is a conflict structural theory which states that there is a division of labour between two social classes, the bourgeoisie and the proletariats, because of the existence, exploitation and reproduction of capitalism. Marxists explain how superstructures in society, such as religion, politics, media, education, law etc, act as agencies of control and serve the interests of the ruling class. Unlike functionalists, Marxists do not agree that there is a value consensus in society but instead state that the superstructures benefit the bourgeoisie and damage the lives of the proletariat. As Item A states, crime in society can be seen as a reaction against the unequal distribution of wealth through the social position they have been given. The essay will focus on the relationship between crime and social class in a Marxist perspective. The traditional Marxist approach to crime suggests that crime is inevitable because capitalism is criminogenic – crime is built in its very nature. The concept of capitalism is to create as much profit by paying low wages to the labourers which leads to many consequences. The exploitation rises poverty and material deprivation which means that crime may be the only option for working class members to survive. Utilitarian crimes are more likely to be committed by working class members than the ruling class because the materials they require many not be achievable in a legitimate way. David Gordan (1976) argues that...
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...gastronomy is something that has always interested me. Because of my interest of cuisine I chose to write a paper about restaurant culture in Stockholm. My goal was to write about the restaurant life in Stockholm through a sociological perspective, with politics and economics as the main perspectives. Because of time limits I was needed to narrow my view of the restaurant world to two timeframes, from 1955-1965 and 2002-2012. The study is mainly based on literature analyses and attempts to find connection between economical and political events and events in the restaurant world. Through the analysing of literature pertinent to my subject I’ve found that the restaurants and it’s life is highly dependant on it’s society, some changes are of course panoptic but there are certain changes in the political landscape and the economy that has indeed influenced the restaurants. It is important to recognize that we can’t discuss about Stockholm’s restaurant life isolated when there has been major changes in society. Some changes are general for the whole society as well as the country. Keywords Gastronomy, Restaurant life, Sociology Introduction Question Can the development of society mirror on to the restaurant scene of Stockholm regarding array of cuisines, culture and economics? Thesis By looking at Stockholm’s restaurant life at two different periods of time we may read the development of society and it’s footprint on the restaurant life. Economy After world...
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...another object. Alvesson also described eight different metaphor types. Four of this metaphor type best describes FIRS’s culture: o Culture as a clan: This metaphor emphasized that organizational cultures has the capacity to create a group of people who share a particular understanding of the world they live in. It defines a close-knit group of interrelated families. The FIRS group is tightly sticked together. From the Chairman way to the security personnel. A big family where Instructions flow from top to bottom flawlessly. o Culture as social glue: this can be seen by the ability to take all individual parts and mend them together as a single vehicle moving the organization forward at the same acceleration. This is the true definition of tax revenue service. All units and departments work hand in hand as a team to achieve the set goals and...
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...MEMO To: From: Date: Subject: Christine Jach John Purdue January 29, 2014 Application Strategies for Job Openings After doing some research on different companies and the job openings that they have, I have found ten specific positions that I would like to apply for. The following is a list of those jobs, followed by an explanation which job I have chosen to tailor my job documents towards. 1. Crowe Horwath (Federal Tax Senior Staff): In order to apply for this job, I would obviously include on my resume the fact that I went to Purdue University and was in the Krannert School of Business. I feel that Krannert has earned a lot of respect from employers through the years. Furthermore, I would highlight certain classes that I have taken and that I have gotten A’s in all of the classes related to Accounting and Tax. My strategy would also include discussing my involvement in the well-known Purdue Accounting Association as well as VITA. 2. CVS Pharmacy (Account Manager): In order to apply for this job, I would point out the fact that I have a double major in Accounting and Management. I think this would be helpful because this position requires characteristics of both of those backgrounds. In addition, I would discuss with them the fact that I started out my schooling in Pharmacy so I have a great deal of knowledge regarding that field. I would also point out my attention to detail and my excellent time management skills that date back to elementary school...
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...Appendix 16 Executive Summary In the constantly improving transfer pricing laws of China and given the Chinese fertilizer market’s future potential, it is worth to enter the market with a BHP Billiton’s division established there. The planned imports from PotashCorp provide the possibility for the use of transfer pricing to improve tax efficiency and thus the benefit of the whole organization. If performance measurement tools are used, this may underestimate the performance of the division using most of the methods such as market price and dual cost. The cost plus method turns out to be more on the division’s side but as the Chinese prices are lower than that of the world, the conditions appear to be supporting the method as beneficial to the company as a whole while the division is able to generate revenues for company at a low tax. Performance measurement tools seem to be less beneficial for large divisions based organization, where differences in dynamics render the largely homogeneous performance measurement indicators unable to serve the intended purpose. Introduction There are certain management decisions that are challenging in certain organizational structures. With a divisional structure, BHP Billiton may find it difficult to introduce the most appropriate transfer pricing method. It is a game where selecting one method might put one party at a loss while contribute towards the good of the company as a whole. It is a matter of maintaining the...
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