Andrew Mann s Philosophy On Education - 943 Words

Horace Mann, also known as the father of American education, created eight major theories that are vital to our education system today. Mann s Value Theory contributed to society s views on education. His Value Theory explained the goals of education. Mann believed that education should be open to all people, regardless of their financial status. This concept of Value Theory is much like my educational experience. Growing up, my family was not financially well off. However public school gave me the opportunity to learn and reach a higher level of education. Now I am able to compete with people of all financial statuses, for jobs and opportunities. As part of Value Theory , Mann also believes that education could have a set of values that did not belong to a religion therefore making them applicable to all people. A major example of this theory being implemented in education today is the policy that the government cannot fund religious schools. I experienced this first hand when I gra duated middle school, and many of my friends went on to attending Catholic schools. The families of my friends invested thousands of dollars to cover their tuition. Since I attended a public school, I attended school for free because it was paid for by the government. Perhaps one of the most interesting aspects of Value Theory was Mann s emphasis on the importance of practical knowledge, which he described as reading, writing, math, and science. He believed these subjects were fundamental andShow MoreRelatedRoy Theory14019 Words   |  57 PagesFellow of the American Academy of Nursing (Roy, personal communication, March 6, 1986; Roy, 1983; 1997; Roy Andrews, 1991, 1999). According to Roy (personal communication, March 6, 1986), her major professional interest is the development of nursing as a scientific and humanistic discipline with an articulated and tested theory base that directs nursing practice and nursing education. Her clinical and research interests focus on neuroscience nursing and are aimed at understanding basic human Read MoreThe Age Of Jackson : A Period Of American History Essay1798 Words   |  8 Pages The Age of Jackson, from the 1820 s to the 1830 s, was a period of American history full of contradictions, especially in regard to democracy. The period saw an immense increase in voter participation, nominating committees replaced caucuses, and electors began to be popularly elected. Yet, all of these voting changes affected only a minority of the American people: White, Anglo-Saxon males. So, though one can easily tell that White, Anglo-Saxon males were gaining true liberty and equality,Read MoreTheories of Organizational Behavior10512 Words   |  43 Pagescharismatic leadership. Soon after, F W Taylor introduced the systematic use of goal setting and rewards to motivate employees. In the 1920s, Australian-born Harvard professor Elton Mayo and his colleagues conducted productivity studies at Western Electric s Hawthorne plant in the United States. Though it traces its roots back to Max Weber and earlier, organizational studies is generally considered to have begun as an academic discipline with the advent of scientific management in the 1890s, with TaylorismRead MoreEbooks Solution Manuals and Test Banks for Text Books19223 Words   |  77 PagesAccounting and Auditing Research Tools and Strategies by Weirich, Pearson, Churyk 7 Cases Solutions Accounting and Auditing Research Tools and Strategies by Weirich, Pearson, Churyk 7 Solution Manual Accounting by Carl S. Warren, James M. Reeve 24 Instructor’s Manual Accounting by Carl S. Warren, James M. Reeve 24 Test Bank Accounting Concepts and Applications by Albrecht, Stice, Stice, Swain 11 Instructor’s Manual Accounting Concepts and Applications by Albrecht, Stice, Stice, Swain 11 Solution Manual Read MorePortfolio for Organizational Behavior17518 Words   |  71 Pagesfolk hero in digital times, JetBlue flight attendant Steven Slater has been thoroughly embraced by the Web. Not only have news stories about his meltdown on a plane from Pittsburgh to New York City been exceptionally popular on the Internet, but he s been feted in all manner of online tribute. Even JetBlue Airways wryly noted on its blog post Wednesday that many people reacted: Like, the entire Internet. 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History of Civil War - 882 Words

Unfortunately, our modern society has been marred with war and strife over its eventful lifespan. A civil disagreement, when accompanied by mass offenses, often ends with deadly war. Throughout history, many nations have been unable to solve their personal grievances with one another in a diplomatic manner. In many instances are solves through protest, boycotts and other contentious means. However, in some instances, society elects the worst possible alternative, which is often war. In retrospect, wars have been fought for many worthwhile causes, even by todays standards. Wars have been fought over liberty, injustice, the potential threat to national security and more. However, no war is more damaging than those that are civil. Brother against brother, father against father, neighbor against neighbor. These are often the most bitter of wars simply because they are so personal and contentious. As is the case with the American Civil War of 1861-1865, the varying degrees of hatred and d isagreement resulting in massive deaths. Due primarily to the civil nature of the war, many lives were lost in an unnecessary and often brutal manner. To begin, the civil was occurred between the yeas 1861 and 1865. The war was fought over a noble cause, with was the abolishment of slavery. During this period, the south has seceded from the Nation as it was opposed to the abolishment of slavery. The south relied heavily on slave labor for its economic activity and prosperity. Slave labor, atShow MoreRelatedHistory Of The Civil War Essay1112 Words   |  5 PagesHistory of the Civil War, 1861–1865, by James Ford Rhodes The book I am writing my review on is ‘History of the Civil War’ by James Ford Rhodes. James was born on May 1, 1848, in Ohio City, Ohio which is now a part of Cleveland. James’ father was a very successful businessman and after James finished just one year of college he fallowed his father’s footsteps into business. James’ business turned out to be very successful and he was actually able to retire in 1884. He had a love for writing andRead MoreThe Civil War On American History1206 Words   |  5 Pagescountry divided, the Civil War left a huge impact in history as it helped form what our nation is today. An inevitable conflict that was due in time to transform into a war, the Civil War was influenced by societal interests, economic changes along with political disagreements. Together, these influences sparked a nation into a great divide that ended in what is known as the deadliest war in American history. 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African Americans fought for their freedom, and up until the Civil War it was never given to them. When the Civil War began, they wanted to take part in fighting to free all slaves. TheirRead MoreThe Civil War And American History2238 Words   |  9 PagesRachel Lee Professor Salazar History 141 4 December 2014 The Civil War The Civil War is a war that happens within a country and in this case, the Civil War took place in the United States between the North and the South. The Civil War happened between the North and the South for various reasons. Both sides expected a short war with few casualties, and instead a little over 1 million soldiers died in the Civil War. After the war was over, the war left a huge impact on the modern world through theRead MoreAn Essay On The History Of The Civil War1812 Words   |  8 Pagessee everyday, whether it be in a painting, writing, or in a photo, we all have certain perspectives on different subjects and that’s one of the things that brings a divergence in the path of thoughts. All of three mentioned above are a way that our history as a nation can be preserved, unless of course there’s a fire and everything goes up in flames within seconds and just like that, everything is gone, and this is why copies are important everyone. Oh, what’s that? T he south and north are so angryRead MoreThe Civil War Is The Deadliest War Of American History Essay1853 Words   |  8 PagesThe Civil War is the deadliest war in American History. Between 1861 and 1865, over 600,000 brave souls lost their lives at nearly 10,500 battles. By the end of the war, there were nearly 200,000 African-Americans that fought on the side of the North, with 80 percent recruited from slave states (Half Slave and Half Free, 240). Wars are fought over irreconcilable differences. There may not be one specific cause. Directly or indirectly, slavery was intertwined in many of these differences and the physical

Journals of Academy of Business Education - MyAssignmenthelp.com

Question: Discuss about the Journals of Academy of Business Education. Answer: Description of company: Oz Minerals is a mining company that was formed after the merger of Zinifex and Oxiana limited in year 2008 and is based in Adelaide in Australia. It is one of the largest deposits of copper at Carrapateena. The strategy of organization is centered on value creation for a wide range of stakeholders. Core product of company is Copper containing silver and gold. Mining method used by Oz Minerals involves underground mining and open pit and employs processing method such as grinding, conventional crushing and flotation (ozminerals.com 2018).. Product produced by company is railed to port Adelaide, thereafter it is shipped to customers in Europe and Asia, and then it is transported to domestic customers. Ownership and governance structure of company: From the annual report of Oz Minerals for year 2016, it can be seen that there are top twenty investors of company. Shareholder holding more than 20% of shareholding is HSBC custody nominees (Australia) Limited. It is the only shareholder having more than 20% of shares and therefore, company will be classified as non-family company (ozminerals.com 2018). Shareholders having higher than 5% shareholdings are JP Morgan Nominees Australia limited and Citicorp Nominees Pty limited. Total numbers of shares held by these two shareholders are 47613532 and 45349773 respectively. Neil Hamilton is the Chairman and independent non-executive director of Oz minerals. Andrew Cole is the chief executive officer and managing director of company. Other members of board include Charles Lenegan, Julie Bebby, Paul Dowd, and Rebecca McGrath who is the independent non-executive director (ozminerals.com 2018). Calculation of performance ratios: Trend Particulars` 2013 2014 2015 2016 2013 2014 2015 2016 Net Profit after Tax (NPAT) A -294.4 48.5 130.2 107.8 -100.0% 16.5% 44.2% 36.6% Total Assets (TA) B 2517.1 2408.7 2566.4 2630.6 100.0% 95.7% 102.0% 104.5% Ordinary Equity (OE) C 2327.9 2249.1 2354.3 2343.9 100.0% 96.6% 101.1% 100.7% Total Liabilities D 189.2 159.6 222.5 276.3 100.0% 84.4% 117.6% 146.0% Return on Assets (ROA) E= A/B -11.70% 2.01% 5.07% 4.10% -100.0% 17.22% 43.38% 35.04% Return on Equity (ROE) F=A/C -12.65% 2.16% 5.53% 4.60% -100.0% 17.05% 43.73% 36.37% Debt Ratio G=D/B 0.075 0.066 0.087 0.105 100.0% 88.15% 115.34% 139.74% The variable TA indicates total assets and variable OE indicates ownership equity and these two variables are interrelated with ROA and ROE. An increase in total value of assets with value of net profit remaining same indicates that there will be reduction in return on assets as they are not utilized efficiently for generating profits. An increase in value of assets with profit remaining same will generate lower debt equity ratio and therefore, there will be higher return on equity. Therefore, the value of ROE and ROA is determined by the total value of assets and total value of equity. From the above table, it can be seen that return on equity (ROE) is greater than return on assets (ROA) for all the four years. Both the concepts depict the efficiency of organization in using resources for generating assets. Return on equity is less than return on assets because of lower value of total ordinary equities compared to total value of assets. A healthy organization always has total value of assets more than total equity because the values of assets are more than equity when liabilities of organization have reduced (Danes et al. 2016). Two graphs with the description of results: The above chart depicts the monthly share price movement of Oz Minerals over the past two years. Blue line indicates the movement of share price of company while orange line depicts the movement of all ordinaries index. Looking at the graph, it can be inferred that movement of share price of company is more volatile compared to that of index that are less fluctuating over the time period. Therefore, the monthly share price of Oz minerals is more volatile. In the initial year till end of first month of year 2016, share price was volatile and they were above ordinaries index price and in later year, monthly share price fluctuated but they were below the ordinaries index. Line indicating share price of company is not closely correlated with that of line of ordinaries index. However, in the last four months, share price of Oz Minerals were not much volatile and in the current time, they are trading below all ordinaries index. Significant factors influencing the share price of Oz Minerals: The share price of influenced by many internal as well as external factors of economy. Ongoing commercially sensitive negotiations and the intervention of government in supporting palatable alternatives comprising of their party investment are some of the factors that have influenced share price. Feature of investment vase of Oz minerals are due to strong operating margins and reduction of cost assumptions. Poor outlook of company is illustrated by fall in expectation of earning by company and a limited level of growth in revenue is likely to impact the expected earnings resulting in negative growth rate. The unsustainable decline in earnings is mainly attributable to the fact of exceeding of cost growth (Petty et al. 2015). Nonetheless, insiders may have the conviction to buy the shares by perception of prosperous time ahead of the period of investment. Calculation of Beta values and expected rate of returns: Particulars Amount Beta of the company A 0.65 Risk Free Rate B 4% Market Risk Premium C 6% Required Rate of Return D=B+[Ax(C-B)] 5.30% Trend Particulars` 2013 2014 2015 2016 2013 2014 2015 2016 EBIT A -434 56.3 186.8 127.2 -100.00% 12.97% 43.04% 29.31% Total Assets B 2517.1 2408.7 2566.4 2630.6 100.00% 95.69% 101.96% 104.51% Net Profit after Tax C -294.4 48.5 130.2 107.8 -100.00% 16.47% 44.23% 36.62% Owner's Equity D 2327.9 2249.1 2354.3 2343.9 100.00% 96.61% 101.13% 100.69% Return on Equity E=(A/B)x(C/A)x (B/D) -12.65% 2.16% 5.53% 4.60% -100.00% 17.05% 43.73% 36.37% Beta is the factor for measuring the rate of return of stock of company and it helps in explaining systematic risk and stock volatility. Conservative investment is a type of investment where the return is nit fluctuated and they guarantee to investors a given amount of return. When looking at beta value of Oz Minerals that stands at 0.65 is indicative of the fat that excess return of stock is expected to perform .45 worse than expected return of market that is index. Low beta value depicts that investment is conservative as the market related risk is low. Performance of company is associated with mining stocks and price of minerals compared to overall stock market (Thomas et al. 2015). Therefore the company has chosen a conservative investment strategy. Weighted average cost of capital: Particulars Amount Weight age Cost Return Rate Tax Rate WACC Total Long Term Debt 101.5 4.13% 4.8 4.73% 30.00% 0.14% Total Equity 2354.3 95.87% 5.30% 5.08% TOTAL 2455.8 100% 5.22% Weighted average cost of capital is the composite cost of capital that helps in evaluation of new projects that are undertaken by company. The estimation of expected cost by company is done by using WACC for financing sources of investment. Cost of capital is the discount rate that is used by company for the purpose of calculations of their capital budgeting. It helps in evaluating the returns generated by any project and whether they are sufficient for risks compensation. Higher WACC is indication of the fact that higher risk is associated with operation of company and hence investors seek additional return in return for undertaking additional level of risks (Peirson et al. 2014). Therefore, management of organization evaluates the higher weighted cost of capital to be associated with carrying higher level of risk and hence investors seeking higher return for compensation the additional level of risks that they are undertaking Debt ratios for the past two years: The computation if debt ratio for the past three years has been shown in the above table. It can be seen that debt ratio for 0.066 in year 2014 and .087 in year 2015 respectively. It can be seen that debt ratio has increased in year 2015. Now, looking at figure for year 2016, debt ratio stood at .105 and this is indicative of the fact that level of debt ratio has been increasing for the past three to four years as illustrated by figures. Therefore, it can be concluded that debt ratio value has not been stable. Looking at the capital structure of company, it can be seen that value of assets have been increasing throughout, however, total liabilities initially decreased and then it is increased subsequently. It appears that organization is not working on maintaining a preferred optimal capital structure. At year ending 31st December, Oz Minerals does not have any borrowings and at the end of year, consolidated entity has undrawn borrowings. On February, 2016, organization has made an announcement of program of an on market share buyback program. This was done for an amount of $ 60 million as a part of framework of updated capital management. Strategy of Oz minerals is reinforced by this updated framework for maximizing the returns of shareholders by ensuring that there is an efficient allocation of capital. Shares that have been acquired as a part of market buyback share program are presented as deduction to capital by cancelling it and there was a share buyback of $ 29.9 million. Oz minerals completed a share buyback of $ 29.9 million of a $ 60 million share through the program (ozminerals.com 2018). There was a repurchasing of shares of total amount of $ 4.8 million at an average share price of $ 6.23. Yes, the adjustments that have been made to shares by share buyback programs hav e been mentioned in the directors report as presented in the annual report of company. Dividend policy: The dividend policy that has been implemented by the management of Oz minerals is in accordance with the corporation Act and rules that are listed on Australian stock exchange. Payment of dividend is done by considering the outlined principles and ensuring the fair trading of securities of Oz minerals. There has not been any recognition of the financial impact of paying dividend in the consolidated financial statement for the year ending 31st December, 2016. For the purpose of Australian taxation, final year dividend has been fully franked. Implementing the dividend policy as prescribed by principles of Australian stock exchange and corporation act has been dine for maintaining compliance so that they are not facing compliance issues (MAcc 2017). Letter of recommendation: Dear ABC, Queensland Australia Respected Sir, After conducting detailed analysis of financial performance of Oz minerals in terms of their debt structure, leverage, share price, I would like to present my view on forming this company as a part of your investment portfolio. Looking the ratios computed, it can be seen that ROE and ROA is increasing and has been stable in these few years. Debt ratio has increased indicating increase in total liabilities, but this is not unfavorable for investors seeking investment. This is so because organization has employed conservative strategy and hence it will not be risky for investors including it in their portfolio of stocks. In recent years, price of shares have also increased 6.39 for year ending 2016 and increasing to 8.8 for year ending 2017. This increase can be regarded as significant for investors to be included in their investment portfolio. Moreover, looking at beta and weighted average cost of capital for Oz minerals, it can be seen that investing is not risky and stock would be generating reasonable return. Therefore, I would recommend Mr ABC to include Oz minerals to in his/her investment portfolio. Thanking you, ABC Investment Company References Bekaert, G. and Hodrick, R., 2017. International financial management. Cambridge University Press. Brigham, E.F. and Daves, P.R., 2014. Intermediate Financial Management. Cengage Learning. Brooke, M.Z., 2016. Handbook of international financial management. Springer. Danes, S.M., Garbow, J. and Jokela, B.H., 2016. Financial management and culture: the American Indian Case. Journal of Financial Counseling and Planning, 27(1), p.61. Dennis, V. and Walcott, J., 2014. Federal financial management shared services: The move is on. The Journal of Government Financial Management, 63(3), p.18. Editorial, R. (2018). ${Instrument_CompanyName} ${Instrument_Ric} Quote| Reuters.com. [online] U.S. Available at: https://www.reuters.com/finance/stocks/overview/OZL.AX [Accessed 13 Jan. 2018]. Finance.yahoo.com. (2018). OZL.AX : Summary for OZMINER FPO - Yahoo Finance. [online] Available at: https://finance.yahoo.com/quote/ozl.ax?ltr=1 [Accessed 13 Jan. 2018]. Irimia-Dieguez, A.I., Medina-Lopez, C. and Alfalla-Luque, R., 2015. Financial Management of large projects: A research gap. Procedia Economics and finance, 23, pp.652-657. Kov?k, M., Sarga, L. and Klmek, P., 2015. Usage of control charts for time series analysis in financial management. Journal of Business Economics and Management, 16(1), pp.138-158. MAcc, T.D.R., 2017. An Empirical Analysis of Success Factors in an Introductory Financial Management Class. Journal of the Academy of Business Education, 18, pp.231-284. Madura, J., 2014. International financial management. Nelson Education. Ozminerals.com. (2018). Annual Reports | OZ Minerals. [online] Available at: https://www.ozminerals.com/media/reports/annual/ [Accessed 13 Jan. 2018]. Peirson, G., Brown, R., Easton, S. and Howard, P., 2014. Business finance. McGraw-Hill Education Australia. Petty, J.W., Titman, S., Keown, A.J., Martin, P., Martin, J.D. and Burrow, M., 2015. Financial management: Principles and applications. Pearson Higher Education AU. Sofat, R. and Hiro, P., 2015. Strategic financial management. PHI Learning Pvt. Ltd.. Thomas, O.O., Adekunle, T.A., Olarewaju, A.A. and Folarin, E.A., 2015. FINANCIAL MANAGEMENT AS A TOOL FOR THE GROWTH OF SMALL BUSINESS ENTERPRISES IN LAGOS STATE: AN EMPIRICAL APPROACH. Indian Journal of Commerce and Management Studies, 6(1), p.17. Valencia, M. and Restrepo, J., 2016. Evaluation of financial management using latent variables in stochastic frontier analysis. DYNA, 199, pp.35-40.

Economics for Accountants

Question: Discuss about theEconomics for Accountants. Answer: Bubble in Housing Market Bubble in housing market generally referred to the hike in housing price. During past thirty years, housing prices in Australia has been rising by 7.25% per annum on average. As stated by David (2015), property bubble is a kind of economic bubble that indicates steady rise in market price of property. Housing prices increase keeping parity with increase in income of household and rent. Income raises aggregate demand for housing in domestic economy and attracts investment from international market. As supply of housing is less elastic compared to demand, housing prices increase rapidly in the economy. Among the other cities, housing prices has developed rapidly in Sydney. Low interest rate, high population growth, favourable tax system for the investors is significant attributes for rise in housing price in Australia. Figure 1: Australian Housing bubble stage (Source: australianpropertyforum.com, 2015) Ponzi Scheme As discussed by Worthington (2012), ponzi scheme is a type of fraud in investment, when the payment of the first investor is done using the money received from another investors. No real return is generated from this investment. A fraud person or agent may place an advertisement for a housing investment, which does not exist and may earn extraordinary return within a very short period. The fraudster vanishes with all the money leaving the investor with no return including the principle amount. The needless increase in demand builds up a distorted asset market with rising mortgage in Australian banks. This housing market may collapse if the growth model of housing price breaks. Figure 2: Demand and supply of housing (Source: created by author) As approval for new building is growing, the supply increases in the market of housing, keeping demand unchanged. Therefore, supply curve shifts towards right securing new equilibrium at point E2. As supply of housing has increased in the market, quantity of housing increases and price of housing property starts to fall in the market along the demand curve. New equilibrium is reached, where the new supply curve the demand curve. Market equilibrium is achieved at a lower price and a greater quantity. When financial markets are deregulated, new lending institutions tend to emerge and hence, competition increases in the market. In order to attract more customers, lenders try to lend at a lower interest. Borrowers search the lender with lowest cost of capital in both foreign and domestic financial market (Irvine, 2015). It can be stated from the viewpoint of the moneylenders that they undertake greater risk of writing loans in order to increase revenue. However, banks and other financial institutions face credit risk while lending money. Investment in real estate market such as Australia is more risky. Therefore, although borrowers are better off by increasing welfare, economic welfare are not increased through this method, as banks may face insolvency and credit risk if loans remain unpaid (Worthington, 2012). This process may result in loss as depositors will not get their payments and bank will be burdened with increasing nonperforming assets. Oligopoly is a market, where only few firms operate. Cosy oligopoly refers joint venture of different firms. Those firms may compete with each other or may form cartel to keep market power and control over price. Products in this market are differentiated. Firms often engage in price war. As stated by Eyers (2016), acquisition in the banking sector of Australia reduces the competition in the financial market. As competition decreases, number of available options to the customers also decreases. The parent bank gains the power of keeping price at high level. Major Australian banks that holds more than 85% market share over the years are National Australian bank, Commonwealth Bank, Westpac and Australia New Zealand Banking group. Concentration of market power increases the industry profits. References australianpropertyforum.com (2015). Australian property forum. Retrieved 26 January 2017, from https://australianpropertyforum.com/topic/10305033/1/ David, L. (2015) Banks have treated our housing market like a Ponzi scheme, and it's about to bust. Retrieved 26 January 2017, from https://www.theguardian.com/commentisfree/2015/aug/20/banks-have-treated-our-housing-market-like-a-ponzi-scheme-and-its-about-to-bustid Eyers, J., (2016). ACCC warns 'cosy' banks it is concerned about competition. Retrieved 26 January 2017, from https://www.smh.com.au/business/banking-and-finance/accc-warns-cosy-banks-it-is-concerned-about-competition-20160322-gnojod.html Irvine, J., (2015). Simple supply and demand will decide what happens next to Sydney house prices. Retrieved 26 January 2017, from https://www.smh.com.au/nsw/simple-supply-and-demand-will-decide-what-happens-next-to-sydney-house-prices-20151126-gl8z7o.html Worthington, A. C. (2012). The quarter century record on housing affordability, affordability drivers, and government policy responses in Australia.International Journal of Housing Markets and Analysis,5(3), 235-252. [Retrieved from https://www.researchgate.net/profile/Andrew_Worthington4/publication/254417876_The_quarter_century_record_on_housing_affordability_affordability_drivers_and_government_policy_responses_in_Australia/links/5462acee0cf2cb7e9da653b8/The-quarter-century-record-on-housing-affordability-affordability-drivers-and-government-policy-responses-in-Australia.pdf]

Hassan and Amir The Relations, which Touch the Soul

Introduction to accountant Essays

Introduction to accountant Essays Introduction to accountant Essay Introduction to accountant Essay Task-1 Acknowledgement: I would like to be grateful to my teacher for helping me out in this assignment. Introduction: For this assignment my aim to give advice to someone who is unsure about what is required and cannot see the purpose of maintaining accounting records. Basically, this person is one who does not understand the value of Account and its purpose. What is an accounting? An account is to be defined as the skills or practice of maintaining accounts and preparing reports. And the purpose is to aid financial control and Management of a business. Book keeping: Book keeping is the process of recording in books of account or on computers the financial effects of business transactions. In bookkeeping, an accountant keeps a comprehensive record of how much your business owes creditors and how much is owed to you. The records of these transactions also indicate how much you have invested in equipment and inventory. Why Accounting? There are many reasons to keep accounts in business, which consists these certain points: * To record * To monitor * To control * To manage * To measure * To inform The main features of Accounting * Recording Transaction * Monitoring activity and Controlling the business * Helping the management of the business * Informing the various stakeholders * Controlling the purse string * Planning for the feature * Comparing with past performance * Analysis and evaluation Recording Transaction- Recording transactions includes documenting revenues (by invoices or sales receipts), and entering purchases (in the account payable account) and expenditures (in the check register). Using Office Accounting, the small business owner can move beyond daily recording to higher level accounting tasks, such as recording sales orders, tracking prospective customers, and projecting sales opportunities and cash flow. Monitoring activity and controlling the business All business need to know how they are performing throughout the year. If sales suddenly start to fall this trend needs to be quickly identified and remedial action taken. Business will also need to track how much they are spending on running the business. If these costs are steadily raising it is likely that profits will start to fall. Helping the management of the business Management accounting is concerned with the provisions and use of accounting information to managers within organizations, to provide them with the basis in making informed business decisions that would allow them to be better equipped in their management and control functions. Analysis and evaluation It is possible to evaluate the performance of the company, make comparison with competitors and keep a record of the firms progress over periods of time. Financial Documents * An invoice- a document sent with goods sold on trade credit, informing the purchaser that the payment is due on a certain date. * A cash receipt- a proof of purchase given when something is paid in cash. * A credit note- a document issued to a purchaser when they have overpaid ,allowing credit on future payments * Proof of delivery-proof the items have been delivered and received at a certain destination. Financial transaction * Sales goods or services to customers * Debtors-customers who owe the business money for goods or services received on credits * Purchases- goods or services bought with the sole idea of resale * Creditors-the people or businesses that the business has purchased goods from on credit * Purchase of fixed assets-items that help the business to become more efficient * Expenses- items that need to be bought in order for the business to function Book of Account In order to record all of the above financial transactions a business will break its accounts books into four sections: a. The sales ledgers contains the personal accounts of all the debtors (customers) who have received or services and have yet to play for them. b. The purchase ledger contains the personal accounts of all the creditors-people the business has bought goods from and whom they will pay at a later date. c. The general ledger keeps a record of the monetary value of sales, purchases, sales returns and purchase returns. It contains the accounts which record the amount of money that has been spent on the expenses of the business. The other main account that is held within the general ledger is the cash book. This is the account that records all the money that has come in and gone out of the business. d. The journal records extraordinary items such as the start-up capital of a business and the purchase of a fixed assists. These are then posted to the general ledger in their own accounts. It is also used to record the correction of errors made in the double entry accounting. People who involved in Accounting Accountants- Accountants are responsibilities for supplying and using financial information. They are employed by businesses specialising in accountancy, or by a large firms which have their own financial department. They use the transactions recorded by these groups to produce final account. Clerks- Billing and posting clerks and machine operators, commonly called billing clerks, compile records of charges for services rendered or goods sold, calculate and record the amounts of these services and goods, and prepare invoices to be mailed to customers. Billing clerks review purchase orders, sales tickets, hospital records, or charge slips to calculate the total amount due from a customer. They must take into account any applicable discounts, special rates, or credit terms. A billing clerk for a trucking company often needs to consult a rate book to determine shipping costs of machine parts, for example. A hospitals billing clerk may need to contact an insurance company to determine what items will be reimbursed and for how much. Auditing Another function of these specialists is Auditing. Businesses which produce their own final accounts must by law have them checked for authenticity by an independent firm of accountants. This audit is performed annually. Legal Requirements Public limited companies are regulation by Companies Act 1985 and 1989 concerning the preparation and publication of financial statements. Companies are required to submit a copy of their account s annually to companies House. Companies with a turnover greater then à ¯Ã‚ ¿Ã‚ ½60,000 are also required to have their accounts independently audited. Consequences of not keeping financial records There are also negative consequences to a business if financial information to be inaccurate. These include: * Criminal action * Cash flow problems from a high fax bill or criminal action * Shareholders losing confidence and investing elsewhere * Bad public image * Change to management structure Purposes and Considerations of Ratios and Ratio Analysis:- Ratios are highly important profit tools in financial analysis that help financial analysts implement plans that improve profitability, liquidity, financial structure, reordering, leverage, and interest coverage. Although ratios report mostly on past performances, they can be predictive too, and provide lead indications of potential problem areas. Ratio analysis is primarily used to compare a companys financial figures over a period of time, a method sometimes called trend analysis. Through trend analysis, can be identify trends, good and bad, and adjust the business practices accordingly. Can also see how ratios stack up against other businesses, both in and out of the business. Task-2 In task two my aim to explain the different between Capital expenditure and revenue expenditure; Capital income and revenue income Capital Expenditure are expenditures creating future benefits. Capital expenditure are used by a company to acquire or upgrade physical assets such as equipment, property, or industrial buildings. In accounting, a capital expenditure is added to an asset account. A capital expenditure is incurred when a business spends money either to buy fixed assets or to add to the value of an existing fixed asset. Included in such amounts is spending on: * acquiring fixed assets bringing them into business * legal costs of buying buildings * carriage inwards on machinery bought * Any other cost needed to make a fixed asset ready for use. There two types Asset. They are: 1. Fixed asset 2. Current asset Fixed asset: Fixed assets, as opposed to current asset are those assets with a remaining useful life of over a year. Following the accruals principal, these assets are shown on the balance sheet but their value is depreciated, and treated as an expense in the P ; L account for each year of their life. There are two types of fixed assets: * Tangible fixed assets * Intangible fixed assets Tangible fixed assets include physical assets such as land and buildings and equipment. Long term financial investments are also considered tangible. Current asset: Current assets are those assets that are expected to be used (sold or consumed) within a year, unlike fixed assets. Revenue expenditure -The day-to-day running costs of a business (staff wages, purchase of trading stock, rent of business premises, and so on) are referred to as revenue expenditure * Premises cost e.g. rent, heating, and land and lighting etc. * Administrative costs e.g. telephone charges, postage, stationery, printing * Staff cost e.g. salaries, wages, training, staff insurance, pensions * Selling and distribution costs e.g. carriage on sales, marketing * Finance costs e.g. bank charges, loan and mortgage interest * Purchase of stock e.g. cash and credit transaction Capital income Any income resulting from the sale of capital investment assets. * Sole trader a person who trades by himself/herself without the use of a company structure or partners and bears alone full responsibility for the actions of the business. * Loans- A fixed sum of money borrowed from a bank for a clearly defined period of time. The loan may be repaid in one lump sum, or by instalments * Shares Shares is a term referred to the units of ownership interest provided to the stockholder or owner of a company. The term is often used in connection with the number of units issued to an owner of Common Stock or Preferred Stock. There is two types of shareholders: 1. Preference shares: Shares with a fixed dividend. The holders of preference shares are entitled to their dividend before ordinary shareholders and rank above ordinary shareholders should the company be wound up. Preference shares are share capital but not equity share capital. 2. Ordinary shares: Shares which are the risk capital of the business, also known as equity. The holders are part owners of the company and are entitled to share in any profits made. * Mortgages A contract between a borrower and a lender where the lender guarantees payments until the debt is repaid. * Partners A partnership is a type of business entity in which partners share with each other the profits or losses of the business undertaking in which all have invested Liability: An amount owed; an obligation of a company or entity that settled in the future by transfer of assets, provision of services, or assignment of future economic benefit, it is the result of a past transaction. Liabilities are reported on a balance sheet and are usually divided into two categories: Current liabilities these liabilities are reasonably expected to be liquidated within a year. They usually include payables such as wages, accounts, taxes, and accounts payables etc. Long-term liabilities these liabilities are reasonably expected not to be liquidated within a year. They usually include issued long-term bonds, notes payables, long-term leases, pension obligations, and long-term product warranties. Formula: ASSEST=CAPITAL+LIABILTIES Fixed assets + current asset Example: Assets =à ¯Ã‚ ¿Ã‚ ½ 25000 Capital=? Liabilities= à ¯Ã‚ ¿Ã‚ ½38000 Capital = Assets liabilities = à ¯Ã‚ ¿Ã‚ ½ 25000-à ¯Ã‚ ¿Ã‚ ½38000 = à ¯Ã‚ ¿Ã‚ ½212000 Revenue Income Revenue income is the income of a business which is derived from the normal trading activities of that business. Income is mainly derived from sale of the businesss product or service but other incomer can be derived from rent receivable, interest on investments etc. * Rent received: means when you rent your property and received capital for lend your property. This is one of the revenue incomes. * Commission received: commission is another type of income for selling a product. For example sale assistant selling a car, will received a percentage of actual amount of which the car sold. * Sales (cash and credit transaction): with currency sales you will received a receipt, which is a legal documents and credit sale is when you give credit to consumer. Gross profit: Gross profit is a basic measure of the profitability of the business and it shows the return a business can make from making and selling its products. Gross Profit = Revenue Cost of Goods. Net profit: Net profit is gross profit minus other, overhead costs. These costs are indirect costs of production such as bills, transportation, wages, interest payments etc. Net profit =Gross Profit Expenses Task 6 In this task my aim to explain her component parts (section) of a trading and profit and loss account and balance sheet. * Purpose and use of trading profit and loss account and balance sheet 1) Purpose and use of trading account The trading account shows the gross profit (or loss) that the company has made. Profit is the money made by the business and equals income minus expenses. 2) Profit and loss account The profit and loss account is an extension of the trading account. The profit and loss account shows the net profit (or loss) made. The Trading account and profit and loss account are often combined as one trading and profit and loss account so that both the gross and net profit can be displayed in the same set of accounts. The purpose of the profit and loss account is to: a. Show whether a business has made a PROFIT or LOSS over a financial year. b. Describe how the profit or loss arose e.g. categorizing costs between cost of sales and operating costs. 3) Purpose and use of balance sheet The Balance Sheet is a statement showing the assets, liabilities and owners capital of a business at a particular moment in time, for example the year end. The purpose of a Balance Sheet is to report the financial position of a company at a certain point in time. Balance Sheet analysis also provides management with insights into income trends, debt standing and long-term financial consistency, all of which are crucial towards planning and execution of vital business policies. Balance sheet also functions as an indicator to the amount of debt that can be lent to the organization. * The cost of goods sold section of the trading account The price of buying or making an item held for resale after being adjusted by beginning and ending inventory balances Formula: Opening Stock + Purchases + Carriage Inwards Purchases Return Closing Stock = Cost Of Sales Example: Opening stock = à ¯Ã‚ ¿Ã‚ ½8,550 Purchases = à ¯Ã‚ ¿Ã‚ ½345,700 Carriage Inwards = à ¯Ã‚ ¿Ã‚ ½328,160 Purchases return = à ¯Ã‚ ¿Ã‚ ½3,420 Closing stock = à ¯Ã‚ ¿Ã‚ ½23,850 Cost of sales =? Opening Stock + Purchases + Carriage Inwards Purchases Return Closing Stock = Cost Of Sales = à ¯Ã‚ ¿Ã‚ ½8,550 + à ¯Ã‚ ¿Ã‚ ½345,700 + à ¯Ã‚ ¿Ã‚ ½328,160 à ¯Ã‚ ¿Ã‚ ½3,420 à ¯Ã‚ ¿Ã‚ ½23,850 = à ¯Ã‚ ¿Ã‚ ½328,160 * The calculation of Gross profit Gross profit is the amount of profit available after deducting from sales the direct (variable) costs of labour and materials, plus the applicable costs of the factory overheads applied to the production of goods and services. Formula: Net Turnover Cost of Sales = Gross Profit + Commission Received + Discount Received + Rent Received * An explanation of the kinds of income such as: Discount received; rent received; commission received that should be added to gross profit Discount Received means this discount is received from your creditors or suppliers at the time of the settlement of their account Commission Received is another type of revenue income, a payment made to an intermediary, often calculated as a percentage of the value of goods or services provided. Commission is most often paid to sales staff, brokers, or agents. Rent Received means a person renting his/her property gets money from the person(s) renting the property, this could also be called revenue income. These three incomes reduce the cost of sales so, thats why they are added to Gross Profit. * The Overheads/ Expenses section in the profit and loss account Expenses mean an outgoing payment made by a business or individual. Here is a list of examples of expenses in a business: wages/ salaries, insurance, rent and rates, electricity and heating, carriage outwards, water, depreciations, telephone bills, administration cost, petrol, bad debts, discount allowed, sundry expenses, general repairs, advertising and interest on loans. * The calculation of net profit The Net Profit- This is calculated in the Profit and Loss Account and is what remains after all other costs used up in the period have been deducted from the Gross Profit. Net profit =Gross Profit Expenses Trail Balance sheet Cafà ¯Ã‚ ¿Ã‚ ½ Bleau DR CR Purchase à ¯Ã‚ ¿Ã‚ ½30,000 Sales à ¯Ã‚ ¿Ã‚ ½74,640 Salaries à ¯Ã‚ ¿Ã‚ ½25,000 Capital à ¯Ã‚ ¿Ã‚ ½55,000 Electricity and Gas à ¯Ã‚ ¿Ã‚ ½2,000 Bank Loan à ¯Ã‚ ¿Ã‚ ½5,000 Opening Stock à ¯Ã‚ ¿Ã‚ ½3,500 Creditors à ¯Ã‚ ¿Ã‚ ½3,360 Premises à ¯Ã‚ ¿Ã‚ ½42,000 Equipments à ¯Ã‚ ¿Ã‚ ½10,000 Vehicles à ¯Ã‚ ¿Ã‚ ½4,500 Debtors à ¯Ã‚ ¿Ã‚ ½2,400 Drawing à ¯Ã‚ ¿Ã‚ ½12,000 Cash/Bank à ¯Ã‚ ¿Ã‚ ½4,700 Rent or Rates à ¯Ã‚ ¿Ã‚ ½1,900 Total à ¯Ã‚ ¿Ã‚ ½138,000 Total à ¯Ã‚ ¿Ã‚ ½138,000 DR = CR Trail Balance sheet Jane Water DR CR Purchasing à ¯Ã‚ ¿Ã‚ ½322,000 Sales à ¯Ã‚ ¿Ã‚ ½375,000 Opening stock à ¯Ã‚ ¿Ã‚ ½90,000 Capital à ¯Ã‚ ¿Ã‚ ½178,000 Wages and Salaries à ¯Ã‚ ¿Ã‚ ½30,000 Creditors à ¯Ã‚ ¿Ã‚ ½7,000 Rates à ¯Ã‚ ¿Ã‚ ½6,000 Telephone à ¯Ã‚ ¿Ã‚ ½1,200 Drawings à ¯Ã‚ ¿Ã‚ ½18,000 Bank à ¯Ã‚ ¿Ã‚ ½3,000 Van à ¯Ã‚ ¿Ã‚ ½30,000 Shop fittings à ¯Ã‚ ¿Ã‚ ½50,000 Debtors à ¯Ã‚ ¿Ã‚ ½9,800 Total à ¯Ã‚ ¿Ã‚ ½560,000 Total à ¯Ã‚ ¿Ã‚ ½560,000 DR = CR Cafà ¯Ã‚ ¿Ã‚ ½ Blue Trading Profit and Loss Account year entering 31st Dec 2006 Cafà ¯Ã‚ ¿Ã‚ ½ Blue à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Sale à ¯Ã‚ ¿Ã‚ ½74,640 Less Cost of sales Opening stock à ¯Ã‚ ¿Ã‚ ½3,500 Purchases à ¯Ã‚ ¿Ã‚ ½30,000 Cost of sales à ¯Ã‚ ¿Ã‚ ½33,500 Gross Profit à ¯Ã‚ ¿Ã‚ ½41,140 Less Indirect Cost Rent or rates à ¯Ã‚ ¿Ã‚ ½1,900 Salaries à ¯Ã‚ ¿Ã‚ ½25,000 Electricity gas à ¯Ã‚ ¿Ã‚ ½2,000 à ¯Ã‚ ¿Ã‚ ½28,900 Net profits à ¯Ã‚ ¿Ã‚ ½12240 Looking at trading Profit and Loss of Cafà ¯Ã‚ ¿Ã‚ ½ Bleu, the Cafà ¯Ã‚ ¿Ã‚ ½ made Net profit which is à ¯Ã‚ ¿Ã‚ ½12240.As far as my opinion I think it is a successful business because this business made positive result so far. They could make more profit however; they may consider Salaries which is bit high. Also they may consider keeping their sales more competitive to their purchase. Jane Water Trading Profit and Loss Account year entering 31st Dec 2006 Jane Winter à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Sales à ¯Ã‚ ¿Ã‚ ½375,000 Less cost of sales Opening stock à ¯Ã‚ ¿Ã‚ ½90,000 Purchases à ¯Ã‚ ¿Ã‚ ½322,000 Cost of sales à ¯Ã‚ ¿Ã‚ ½412,000 Net Loss -à ¯Ã‚ ¿Ã‚ ½37,000 Less Indirect Cost Rate à ¯Ã‚ ¿Ã‚ ½6,000 Telephone à ¯Ã‚ ¿Ã‚ ½1,200 Wages and Salaries à ¯Ã‚ ¿Ã‚ ½30,000 à ¯Ã‚ ¿Ã‚ ½-37,200 Net Loss -à ¯Ã‚ ¿Ã‚ ½74,200 Looking at trading Profit and Loss of Jin Winter, I think it is a not a successful business because of negative result which is net Loss à ¯Ã‚ ¿Ã‚ ½-74200 so far. In my opinion if the business results continue end up with the negative result, business may shut down within days or months. Z man production Ltd Trading, Profit and Loss account for year ending 31st December 2006 à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Sale à ¯Ã‚ ¿Ã‚ ½810,000 Sales return à ¯Ã‚ ¿Ã‚ ½18,900 Net turn over à ¯Ã‚ ¿Ã‚ ½791,100 Less cost of sale Opening stock à ¯Ã‚ ¿Ã‚ ½21,800 Purchase à ¯Ã‚ ¿Ã‚ ½553,550 Carriage in à ¯Ã‚ ¿Ã‚ ½5,400 Purchase Return (-) 914650 Closing Return (-) 17560 Cost of sale à ¯Ã‚ ¿Ã‚ ½548,540 Gross profit à ¯Ã‚ ¿Ã‚ ½246,060 Commission received à ¯Ã‚ ¿Ã‚ ½3,500 Discount received à ¯Ã‚ ¿Ã‚ ½3,500 à ¯Ã‚ ¿Ã‚ ½249,560 Less expenses Wages à ¯Ã‚ ¿Ã‚ ½75,900 Rent à ¯Ã‚ ¿Ã‚ ½7,540 Sundry expenses à ¯Ã‚ ¿Ã‚ ½6,545 Electricity/gas à ¯Ã‚ ¿Ã‚ ½4,700 Vehicles à ¯Ã‚ ¿Ã‚ ½6,540 Petrol à ¯Ã‚ ¿Ã‚ ½22,455 Advertising à ¯Ã‚ ¿Ã‚ ½7,590 Discount allowed à ¯Ã‚ ¿Ã‚ ½5,410 Insurance à ¯Ã‚ ¿Ã‚ ½7,900 Equipments à ¯Ã‚ ¿Ã‚ ½5,400 Carriage out à ¯Ã‚ ¿Ã‚ ½7,580 General repair à ¯Ã‚ ¿Ã‚ ½5,400 Bad Debt à ¯Ã‚ ¿Ã‚ ½5,500 Interest on Loan à ¯Ã‚ ¿Ã‚ ½5,500 à ¯Ã‚ ¿Ã‚ ½179,360 Net Profit à ¯Ã‚ ¿Ã‚ ½70,200 Analysis of Trading, profit and loss Account of Z man Production Looking at trading, Profit and Loss of z man Production Ltd Company, its a successful company. However the company could make more profit by considering the following: Sales They could sell more by reducing their product cost or raise their product cost in certain amount. The company should beware that it may effect on customer, if they rise too much. Purchase They could consider purchasing fewer products or goods because in view of their amount of sales, purchase is higher. Petrol The Company spend far more money on petrol; however they should aim to spend less amount of money on their petrol cost to raise their profit. Wages Wages is one of the things which company could consider about it. Wages are bit higher then it should be. For example instead of à ¯Ã‚ ¿Ã‚ ½75900, if wages were à ¯Ã‚ ¿Ã‚ ½ 50000, then they could save à ¯Ã‚ ¿Ã‚ ½25000. Timberlake Wholesalers Ltd Trading, Profit and Loss account of Timberlake Wholesalers Ltd, year ending 31st Dec 2004 à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Sale à ¯Ã‚ ¿Ã‚ ½250,000 Sales return à ¯Ã‚ ¿Ã‚ ½5,400 Net turn over à ¯Ã‚ ¿Ã‚ ½244,600 Less cost of sale Opening stock à ¯Ã‚ ¿Ã‚ ½12,350 Purchase à ¯Ã‚ ¿Ã‚ ½156,000 Purchase Return (-) 7200 Closing Return (-) 16300 Cost of sale à ¯Ã‚ ¿Ã‚ ½144,850 Gross profit à ¯Ã‚ ¿Ã‚ ½99,750 Discount received à ¯Ã‚ ¿Ã‚ ½2,500 à ¯Ã‚ ¿Ã‚ ½102,250 Less expenses Salaries à ¯Ã‚ ¿Ã‚ ½46,000 Rent and Rates à ¯Ã‚ ¿Ã‚ ½2,000 Electricity/gas à ¯Ã‚ ¿Ã‚ ½3,000 Sundry expenses à ¯Ã‚ ¿Ã‚ ½4,700 Discount allowed à ¯Ã‚ ¿Ã‚ ½3,700 à ¯Ã‚ ¿Ã‚ ½59,400 Net Profit à ¯Ã‚ ¿Ã‚ ½42,850 Looking at Trading, Profit and Loss of Timberlake Wholesalers Ltd Company, its a successful company. The company made profit à ¯Ã‚ ¿Ã‚ ½42,850, which is good proves that its a fairly successful company; however if the company have five or six shareholders means every shareholder would get less profit between them, but if the company have one share holder that would be alright. They could make more profit by considering selling more product or goods and increase their products prices. By making product or goods prices high would collapse in their business, so they should beware of it. They also may beware of the competitors when they are making price high for their products or goods. For my opinion they should consider make price high because their amount of their purchases. Again looking at the companys less expenses the salaries are too high comparing to their net profit. They may consider employing less employee or less salaries to increase profit and they can cut down their electricity/gas bills apparently its bit high. The amount of rant and rates are ok because they are not elevated. Task 7 In this task my aim to explain my friends each of the element of a balance sheet: * Fixed assets * Intangible assets * Current assets * Current liabilities * Working capital * Long term liabilities * Net assets * Capital employed * A description of how to tell if the accounts balance. * Fixed assets are those that will be used within the business and have a life expectancy of more than one year. * Intangible assets is an asset that lacks physical substance and usually has a high degree of uncertainty concerning their future benefits, and they are unable to be touched (they are not physical objects). Patens, copyrights franchises, and goodwill are all examples of intangible assets. * Current assets can be turned quickly into cash and are considered to be the life blood of a business. * Current liabilities is the debts of the business which must be repaid within one year. These usually consist of creditors- suppliers that have sold goods or services to the business on credit. * Working capital is calculated by taking current liabilities away from current assets. It represents the amount of money that a business has available to spend after meeting all its immediate debts. A negative figure here could indicate that the business may be facing liquidly problems. * Long term liabilities consist of the business debts which will be paid over a period of longer than one year. They will include bank loans which have been taken out over a number of years. * Net assets are the total value of the assets less current liabilities. * Capital employed is the value of money that has been left in the business after net profit has been added and drawing deducted. The Capital employed of one the year becomes the opening capital of the next year. * A description of how to tell if the accounts balance If net assets are equal to capital employed in the end of balance sheet, then the account is balance. If not then the balance sheet would probably wrong or trading, profit and loss account which done previously, would been calculated mistakenly. à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Fixed Assets Premises 100,000 Equipment 30000 Vehicles 21500 151,500 Current Assets Cash 125 Debtors 23850 Stock 16300 40275 Less current Liabilities Bank overdraft 851 Creditors 12041 VAT 3475 16367 Net current assets 23908 Total asset less current Liabilities 175408 Creditor: Amount falling due to after One Year Long term Loan 33000 Net Assets 142408 Financed by: Capital 110000 Net Profit 42850 152850 Less Drawing 10442 Capital Employed 142408 The balance sheet of Timberlake Wholesalers For Year Ended 31st Dec 04 Balance sheet of Z man Production LTD, year ended 31st march 2003 At cost Depn 2 Date NBV à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ Fixed Assets: Premises à ¯Ã‚ ¿Ã‚ ½100,000 à ¯Ã‚ ¿Ã‚ ½100,000 Equipment à ¯Ã‚ ¿Ã‚ ½25,000 à ¯Ã‚ ¿Ã‚ ½2,500 à ¯Ã‚ ¿Ã‚ ½22,500 Machinery à ¯Ã‚ ¿Ã‚ ½30,000 à ¯Ã‚ ¿Ã‚ ½6,000 à ¯Ã‚ ¿Ã‚ ½24,000 Vehicles à ¯Ã‚ ¿Ã‚ ½15,000 à ¯Ã‚ ¿Ã‚ ½1,500 à ¯Ã‚ ¿Ã‚ ½13,500 Fixture/Fittings à ¯Ã‚ ¿Ã‚ ½10,000 à ¯Ã‚ ¿Ã‚ ½1,000 à ¯Ã‚ ¿Ã‚ ½9,000 à ¯Ã‚ ¿Ã‚ ½169,000 Current Assets: Closing Stock à ¯Ã‚ ¿Ã‚ ½2,000 Debtors à ¯Ã‚ ¿Ã‚ ½10,000 Cash in hand à ¯Ã‚ ¿Ã‚ ½250 Bank Balance à ¯Ã‚ ¿Ã‚ ½2,000 Petty Cash à ¯Ã‚ ¿Ã‚ ½100 à ¯Ã‚ ¿Ã‚ ½14,350 Current Liabilities: Creditors à ¯Ã‚ ¿Ã‚ ½5,000 Overdraft à ¯Ã‚ ¿Ã‚ ½3,000 V.A.T à ¯Ã‚ ¿Ã‚ ½1,500 -à ¯Ã‚ ¿Ã‚ ½9,500 Net Current Assets: à ¯Ã‚ ¿Ã‚ ½4,850 Less Long-time liabilities: Bank Loan à ¯Ã‚ ¿Ã‚ ½25,000 Mortgage à ¯Ã‚ ¿Ã‚ ½10,000 -à ¯Ã‚ ¿Ã‚ ½35,000 Net Assets à ¯Ã‚ ¿Ã‚ ½138,850 Financed by: Opening Capital à ¯Ã‚ ¿Ã‚ ½144,350 Net Profit à ¯Ã‚ ¿Ã‚ ½12,000 Drawings -à ¯Ã‚ ¿Ã‚ ½18,000 Closing Capital à ¯Ã‚ ¿Ã‚ ½138,850 Balance sheet of A-Z Engineering Supplies, year ended 31st march 2003 At cost Depn 2 Date NBV à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ Fixed Assets: Premises à ¯Ã‚ ¿Ã‚ ½50,000 Motor Vehicles à ¯Ã‚ ¿Ã‚ ½14,560 à ¯Ã‚ ¿Ã‚ ½64,560 Current Assets: Closing Stock à ¯Ã‚ ¿Ã‚ ½14,905 Debtors à ¯Ã‚ ¿Ã‚ ½6,500 petty cash à ¯Ã‚ ¿Ã‚ ½56 à ¯Ã‚ ¿Ã‚ ½21,461 Current Liabilities: Creditors à ¯Ã‚ ¿Ã‚ ½4,590 Overdraft à ¯Ã‚ ¿Ã‚ ½3,400 à ¯Ã‚ ¿Ã‚ ½7,990 Net Current Assets: à ¯Ã‚ ¿Ã‚ ½13,471 Less Long-time liabilities: Mortgage à ¯Ã‚ ¿Ã‚ ½25,000 à ¯Ã‚ ¿Ã‚ ½25,000 Net Assets à ¯Ã‚ ¿Ã‚ ½53,031 Financed by: Opening Capital à ¯Ã‚ ¿Ã‚ ½42,571 Net Profit à ¯Ã‚ ¿Ã‚ ½23,460 Drawings à ¯Ã‚ ¿Ã‚ ½13,000 Closing Capital à ¯Ã‚ ¿Ã‚ ½53,031 J.Mitchell Ltd Trading, Profit and Loss account for year ending 31st dec 2006 à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Sales return à ¯Ã‚ ¿Ã‚ ½810,000 Sales return à ¯Ã‚ ¿Ã‚ ½18,900 Net turn over à ¯Ã‚ ¿Ã‚ ½791,100 Less cost of sales Opening stock à ¯Ã‚ ¿Ã‚ ½21,800 Purchase à ¯Ã‚ ¿Ã‚ ½553,550 Carriage in à ¯Ã‚ ¿Ã‚ ½5,400 Purchase Return (-) 914650 Closing stock (-) 17560 Cost of sale à ¯Ã‚ ¿Ã‚ ½548,540 Gross profit à ¯Ã‚ ¿Ã‚ ½246,060 Commission Received à ¯Ã‚ ¿Ã‚ ½3,500 Discount Received à ¯Ã‚ ¿Ã‚ ½3,500 à ¯Ã‚ ¿Ã‚ ½253,060 Less expenses Wages à ¯Ã‚ ¿Ã‚ ½75,900 Rent à ¯Ã‚ ¿Ã‚ ½7,540 Sundry expenses à ¯Ã‚ ¿Ã‚ ½6,545 Electricity/gas à ¯Ã‚ ¿Ã‚ ½4,700 Vehicles à ¯Ã‚ ¿Ã‚ ½6,540 Petrol à ¯Ã‚ ¿Ã‚ ½22,455 Advertising à ¯Ã‚ ¿Ã‚ ½7,590 Discount allowed à ¯Ã‚ ¿Ã‚ ½5,410 Insurance à ¯Ã‚ ¿Ã‚ ½7,900 Equipments à ¯Ã‚ ¿Ã‚ ½5,400 Carriage out à ¯Ã‚ ¿Ã‚ ½7,580 General repair à ¯Ã‚ ¿Ã‚ ½5,400 Bad Debt à ¯Ã‚ ¿Ã‚ ½5,500 Interest on Loan à ¯Ã‚ ¿Ã‚ ½5,500 à ¯Ã‚ ¿Ã‚ ½179,360 Net Profit à ¯Ã‚ ¿Ã‚ ½73,700 J.Mitchell Ltd Trading, Profit and Loss account for year ending 31st dec 2007 à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½Ãƒ ¯Ã‚ ¿Ã‚ ½ Sales return à ¯Ã‚ ¿Ã‚ ½935,460 Sales return à ¯Ã‚ ¿Ã‚ ½15,490 Net turn over à ¯Ã‚ ¿Ã‚ ½919,970 Less cost of sale Opening stock à ¯Ã‚ ¿Ã‚ ½17,560 Purchase à ¯Ã‚ ¿Ã‚ ½584,650 Carriage in à ¯Ã‚ ¿Ã‚ ½3,285 Purchase Return à ¯Ã‚ ¿Ã‚ ½15,470 Closing stock à ¯Ã‚ ¿Ã‚ ½14,365 Cost of sale à ¯Ã‚ ¿Ã‚ ½575,660 Gross profit à ¯Ã‚ ¿Ã‚ ½344,310 Discount Received à ¯Ã‚ ¿Ã‚ ½1,360 rent Received à ¯Ã‚ ¿Ã‚ ½3,255 à ¯Ã‚ ¿Ã‚ ½348,925 Less expenses Wages à ¯Ã‚ ¿Ã‚ ½95,655 Rent à ¯Ã‚ ¿Ã‚ ½7,655 General repairs à ¯Ã‚ ¿Ã‚ ½6,595 Carriage out à ¯Ã‚ ¿Ã‚ ½6,420 Sundry expenses à ¯Ã‚ ¿Ã‚ ½4,350 Electricity/gas à ¯Ã‚ ¿Ã‚ ½5,125 Advertising à ¯Ã‚ ¿Ã‚ ½8,100 Petrol à ¯Ã‚ ¿Ã‚ ½25,460 Discount allowed à ¯Ã‚ ¿Ã‚ ½5,150 Insurance à ¯Ã‚ ¿Ã‚ ½7,900 Telephone à ¯Ã‚ ¿Ã‚ ½1,435 Stationary à ¯Ã‚ ¿Ã‚ ½896 Bad Debt à ¯Ã‚ ¿Ã‚ ½8,555 Interest on Loan à ¯Ã‚ ¿Ã‚ ½5,500 Vehicles à ¯Ã‚ ¿Ã‚ ½3,000 Equipment à ¯Ã‚ ¿Ã‚ ½5,400 à ¯Ã‚ ¿Ã‚ ½197,196 Net Profit à ¯Ã‚ ¿Ã‚ ½151,729 Balance sheet of J- Mitchell, year ended 31st march 2006 At cost Depn 2 Date NBV à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ Fixed Assets: Fixtures and Fittings à ¯Ã‚ ¿Ã‚ ½25,000 à ¯Ã‚ ¿Ã‚ ½1,500 à ¯Ã‚ ¿Ã‚ ½23,500 Vehicles à ¯Ã‚ ¿Ã‚ ½65,400 à ¯Ã‚ ¿Ã‚ ½6,540 à ¯Ã‚ ¿Ã‚ ½58,860 Equipment à ¯Ã‚ ¿Ã‚ ½54,000 à ¯Ã‚ ¿Ã‚ ½5,400 à ¯Ã‚ ¿Ã‚ ½48,600 à ¯Ã‚ ¿Ã‚ ½130,960 Current Assets: Closing Stock à ¯Ã‚ ¿Ã‚ ½17,560 Debtors à ¯Ã‚ ¿Ã‚ ½22,650 Cash-in -Hand à ¯Ã‚ ¿Ã‚ ½500 Bank à ¯Ã‚ ¿Ã‚ ½3,000 à ¯Ã‚ ¿Ã‚ ½43,710 Current Liabilities: Creditors à ¯Ã‚ ¿Ã‚ ½30,000 VAT à ¯Ã‚ ¿Ã‚ ½3,000 Bank overdraft à ¯Ã‚ ¿Ã‚ ½3,000 à ¯Ã‚ ¿Ã‚ ½36,000 Net Current Assets: à ¯Ã‚ ¿Ã‚ ½7,710 Less Long term liabilities: Bank Loan à ¯Ã‚ ¿Ã‚ ½25,000 Net Assets à ¯Ã‚ ¿Ã‚ ½113,670 Financed by: Opening Capital à ¯Ã‚ ¿Ã‚ ½39,970 Net Profit à ¯Ã‚ ¿Ã‚ ½73,700 Closing Capital à ¯Ã‚ ¿Ã‚ ½113,670 Balance sheet of J- Mitchell, year ended 31st march 2007 At cost Depn 2 Date NBV à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ à ¯Ã‚ ¿Ã‚ ½ Fixed Assets: Fixtures and Fittings à ¯Ã‚ ¿Ã‚ ½50,000 à ¯Ã‚ ¿Ã‚ ½3,500 à ¯Ã‚ ¿Ã‚ ½46,500 Vehicles à ¯Ã‚ ¿Ã‚ ½60,000 à ¯Ã‚ ¿Ã‚ ½13,080 à ¯Ã‚ ¿Ã‚ ½46,920 Equipment à ¯Ã‚ ¿Ã‚ ½54,914 à ¯Ã‚ ¿Ã‚ ½10,800 à ¯Ã‚ ¿Ã‚ ½44,114 Machinery à ¯Ã‚ ¿Ã‚ ½60,000 à ¯Ã‚ ¿Ã‚ ½10,000 à ¯Ã‚ ¿Ã‚ ½50,000 à ¯Ã‚ ¿Ã‚ ½187,534 Current Assets: Closing Stock à ¯Ã‚ ¿Ã‚ ½14,365 Debtors à ¯Ã‚ ¿Ã‚ ½50,000 Cash-in -Hand à ¯Ã‚ ¿Ã‚ ½32,759 Bank à ¯Ã‚ ¿Ã‚ ½41,741 à ¯Ã‚ ¿Ã‚ ½138,865 Current Liabilities: Creditors à ¯Ã‚ ¿Ã‚ ½33,000 VAT à ¯Ã‚ ¿Ã‚ ½4,000 Bank overdraft à ¯Ã‚ ¿Ã‚ ½4,000 à ¯Ã‚ ¿Ã‚ ½41,000 Net Current Assets: à ¯Ã‚ ¿Ã‚ ½97,865 Less Long term liabilities: Bank Loan à ¯Ã‚ ¿Ã‚ ½20,000 Net Assets à ¯Ã‚ ¿Ã‚ ½265,399 Financed by: Opening Capital à ¯Ã‚ ¿Ã‚ ½113,670 Net Profit à ¯Ã‚ ¿Ã‚ ½151,729 Closing Capital à ¯Ã‚ ¿Ã‚ ½265,399 Task-8 For this task I will need to have access to some past and present final accounts. As part of my report to my friend, I will need to perform ratio analysis to measure the: Profitability ratio Liquidity ratio and Efficiency of her business in order to help her understand her financial situation. J. Mitchell Ltd 2006 Profitable ratio Gross profit margin 246060 x 100 791100 x 1 24606000 791100 31.1 Profit margin 73700 x 100 791100 x 1 7370000 791100 9.3 Return on Capital Employed 73700 x 100 113670 x 1 7370000 113670 64.8 Liquidity ratio Current Assets 43,710 Current Liabilities 36,000 1.2 : 1 Current Assets Stock 43710 -17560 Current Liabilities 36000 61270 36000 1.7:1 Asset Utilisation Debtors x 365 1) Credit sales 22650 X 365 791100 8267250 791100 10 DAYS 2) Creditors x 365 Credit purchases 30000 X 365 553550 10950000 553550 20 DAYS 3) Average stock = Opening Stock + Closing Stock 2 Average stock = 21800 + 17560 2 19680 Average Stock x 365 Cost of sales 19680 x 365 548540 13 DAYS J. Mitchell Ltd 2007 Profitable ratio Gross profit margin 344310 x 100 919970 x 1 34431000 919970 37.4 Profit margin 151729 x 100 919970 x 1 15172900 919970 16.5 Return on Capital Employed 151729 x 100 265399 x 1 151729 265399 0.6 Liquidity ratio Current Assets à ¯Ã‚ ¿Ã‚ ½138,865 Current Liabilities à ¯Ã‚ ¿Ã‚ ½41,000 3.4 :1 Current Assets Stock 138865 -14365 Current Liabilities 41000 153230 36000 4.3:1 Asset Utilisation Debtors x 365 1) Credit sales 50000 X 365 919970 18250000 919970 20 DAYS 2) Creditors x 365 Credit purchases 33000 X 365 584650 12045000 584650 20 DAYS 3) Average stock = Opening Stock + Closing Stock 2 Average stock = 17560 + 14365 2 15963 Average Stock x 365 Cost of sales 15963 x 365 575660 10 DAYS Task-9 In this task I will be using suitable ratios from the previous task analysis the performance of the business which is J -Mitchell. A ratio: Is the mathematical relationship between two quantities in the form of a fraction or percentage. There also relationships that can be measured in time periods and one 2 one situations. Ratio analysis: is essentially concerned with the calculation of relationships which after proper identification and interpretation may provide information about the operations and state of affairs of a business enterprise. The analysis is used to provide indicators of past performance in terms of critical success factors of a business. This assistance in decision-making reduces reliance on guesswork and intuition and establishes a basis for sound judgement. Purposes and Considerations of Ratios and Ratio Analysis:- Ratios are highly important profit tools in financial analysis that help financial analysts implement plans that improve profitability, liquidity, financial structure, reordering, leverage, and interest coverage. Although ratios report mostly on past performances, they can be predictive too, and provide lead indications of potential problem areas. Ratio analysis is primarily used to compare a companys financial figures over a period of time, a method sometimes called trend analysis. Through trend analysis, can be identify trends, good and bad, and adjust the business practices accordingly. Can also see how ratios stack up against other businesses, both in and out of the business. Significance of Using Ratios the significance of a ratio can only truly be appreciated when: 1. It is compared with other ratios in the same set of financial statements. 2. It is compared with the same ratio in previous financial statements (trend analysis). 3. It is compared with a standard of performance (industry average). Such a standard may be either the ratio which represents the typical performance of the trade or industry, or the ratio which represents the target set by management as desirable for the business. Profitability Ratios Closely linked with income ratios are profitability ratios, which shed light upon the overall effectiveness of management regarding the returns generated on sales and investment. Gross Profit Margin-The gross profit margin ratio tells us the profit a business makes on its cost of sales, or cost of goods sold. It is a very simple idea and it tells us how much gross profit per à ¯Ã‚ ¿Ã‚ ½1 of turnover our business is earning. Net Profit Margin- The profit margin tells you how much profit a company makes for every à ¯Ã‚ ¿Ã‚ ½1 it generates in revenue. Return on Capital Employed- ratio also indicates whether the company is earning sufficient revenues and profits in order to make the best use of its capital assets. It is expressed in the form of a percentage, and the higher the percentage, the better Liquidity Ratios While liquidity ratios are most helpful for short-term creditors/suppliers and bankers, they are also important to financial managers who must meet obligations to suppliers of credit and various government agencies. A complete liquidity ratio analysis can help uncover weaknesses in the financial position of your business. Working Capital Ratio-This ratio indicates whether a company has enough short term assets to cover its short term debt. Anything below 1 indicates negative W/C (working capital). While anything over 2 means that the company is not investing excess assets. Assets utilisation- Assets utilisation is measured how effectively you manage and control the current aspects of your business. Stock turnover ratio the stock turnover ratio shows how many times over the business has sold the value of its stocks during the year. The result of this ratio gives the number of days that on average money is tied up in stocks. The longer this is, obviously the worse this is for the business as the money is not available to be used elsewhere. Debtors collection periods ratio- The debtors collection shows how days on average debtors take for pay for good sold to them by the business. The average collection period measures the quality of debtors since it indicates the speed of their collection. * The shorter the average collection period, the better the quality of debtors, as a short collection period implies the prompt payment by debtors. * The average collection period should be compared against the firms credit terms and policy to judge its credit and collection efficiency. * An excessively long collection period implies a very liberal and inefficient credit and collection performance. * The delay in collection of cash impairs the firms liquidity. On the other hand, too low a collection period is not necessarily favourable, rather it may indicate a very restrictive credit and collection policy which may curtail sales and hence adversely affect profit. Creditors payment periods ratio- is collection is opposite to the debtors collection. This ration shows the speed the take to pay the creditors. J-Mitchell Ltd Company Ratio Analysis year 2006 and 2007 Profitability Ratios Gross Profit Margin After looking at J-Mitchell LTD company, I can assure that the company did well good because In year 2006 the gross profit margin was 31.1% and in year 2007 the gross profit margin is 37.4%.Comparing to year 2006 and 2007, its look like company doing well because gross profit were raised in 2007 by more then 5%.Meanwhile y in year 2006 the net turnover was à ¯Ã‚ ¿Ã‚ ½791100 and in year 2007 the net turnover is à ¯Ã‚ ¿Ã‚ ½919970, which is healthy position for company. Profit Margin- looking back at j- Mitchell Ltd 2006, I can say that the company havent done well in year 2006 which is 9.3% and as well as 2007 which is 16.5% comparing to gross profit margin. Although In 2007 J- Mitchell Ltd company did well then they did in year 2006.However it could be raise more by looking back to trading, profit and loss account in year 2007.there are certain things that could be improved for example Bad Debt. To save from bad debt the company should check the reference, past bank statement before they lend money to other peoples, so it can be checked whether they can repay the money on time. Also In year 2007 J-Mitchell company had too high expenses for example petrol in year 2006 J-Mitchell they spent à ¯Ã‚ ¿Ã‚ ½22455 and in year 2007 they spent à ¯Ã‚ ¿Ã‚ ½25460.If J- Mitchell Ltd company wants improve their gross profit they may have to consider reduce their petrol expenses as well as other expenses for example-wages, bad debt etc. Overall I think in year 2007 J-Mitchell Ltd Company did well compare to year 2006 and in the future the company could be successful if they keep their expenses low for example wages, petrol, insurance etc. Return on capital employed- In 2006 J-Mitchell Ltd company were very good position which was 64.8% unlikely in year 2007 their revenue 0.6% which is not healthy for company or shareholders. This is an unusual because they havent kept good record of their transaction. I think the figure I have received are not accurate and also Ive received only two years account information. So I am not sure whether the business would do good or bad unless I have received more past accounting information. Liquidity ratio Working Capital Ratio in year 2007, the working capital ratio looks reasonable healthy; current assets are nearly three times as much as current liabilities (3.4:1), so the firm should not have too much difficulty meeting debts that need to be paid in the short times .Whereas in year 2006, the working capital ratio also looked reasonable because the current assets was nearly twice times as much as current liabilities (1.5:1).In 2007, the business has too much current assets, which is too good for company . Liquid capital ratio- the liquid capital ratio also shows a good picture. Even with stocks taken out of the current assets the firm still have sufficient liquid assets to cover its bills, so it seems to be in a liquid position. In year 2006 the liquid capital ratio was (1.7:1) and year 2007 the liquid capital ratio is (4.3:1) which healthy for company. Assets utilisation Stock turnover ratio -Looking at J-Mitchell Ltd Company 2006, every 13 days to sell stock seems not long time but this is a manufacturing company and short turnover periods are not rare. Comparing to year 2007, year 2007 was good because in year 2007 every 10 days to sell stock which is quite short time. That means if the company carry on like this they may end up with more profits. Debtors collection periods ratio Debtors collection periods of J-Mitchell LTD company is good enough however; Debtors are not taking long times to pay their bills in year 2007 then year 2006.In year 2006 debtors took 13 days to pay their bills but in year 2007 debtors took 20 days to pay their bills. Usually debtors gets 30 days to pay back but in this company debtors havent took the much long time to pay their bills. Creditors collection ratio in year 2006 and year 2007, an average of 20 days to pay bills suggests that the company has either negotiated good credit terms with suppliers or is struggling to pay bills.

Employment Discrimination Assignment Example | Topics and Well Written Essays - 750 words

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IT - Project Milestone Research Paper Example | Topics and Well Written Essays - 1500 words

IT - Project Milestone - Research Paper Example Summary of the release verification and signoff procedures†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..4 VII. Review of the maintenance plan†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦5 VIII. Review of the post release activities†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..6 IX. System reviews†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..7 X. Initial monitoring reviews†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..7 XI. The risk assessment for release and post release phases†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢ € ¦7 XII. Summary that reflects on each stage of the project†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..8 XIII. Summary describing the results†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.8 XIV. Conclusion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦11 XV. References†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.12 Project Milestone Majority of projects normally do not undergo proper preparation early enough. This mostly leads to the rejection of the project implementation. Therefore, for acceptance of any forms of project and be ready to implement, proper preparation needs to be put in place. Most of the project†™s details are left uncovered, and this can cause the project to stall during the installation of the project. Therefore, to avoid such mistakes, making of a well preparation of a clear release and the maintenance plan is necessary. The creation of a well maintenance plan is not a hard task to undertake. Though the creation of an effective and a more comprehensive maintenance plan is a bit difficult and more challenging, it is necessary for any project release and maintenance plan development. Therefore for an effective release and maintenance plan of the hard disk drive project, a clear understanding of the project plan and the maintenance of the environment is essential (SFSU – San Francisco State University, 2001). This paper thus focuses majorly on the build and the release and maintenance procedures for the hard disk drive project. The paper further explains the details involving of an effective form of maintenance and release program plan. Overview of the Document Con tent The project is about the procedure that the hard disk drive ought to go through before its implementation. The procedure includes the thorough build, release and also the maintenance plan of the project. This document tackles on the meaning of some of the terms used in this document. The document further covers the stages that the software undergoes during its release and maintenance process. The risks assessment and the overall results of this release and maintenance of the hard drive software program is also outline in this document. Summary of the Build and Release Process The build and the release plan involve the development and also the maturity of the computer software project. The build and release process involves the time in which the project starts the development process until the project is fully released ready for use (SFSU – San Francisco State University, 2001 ). The term maintenance policy is the guidelines and the regulations that the procedure of build and the release and the maintenance ought to follow the time. The maintenance plan is also termed as the ‘schedule of work’. It is the procedure set that the maintenance process follows during the development process of a project (SFSU – San Franc

Finance Essay Example | Topics and Well Written Essays - 1000 words - 13

Finance - Essay Example discounted payback period, accounting rate of return, net present value, internal rate of return, modified rate of return and profitability index (Shapiro & Balbirer, 2003, pp.242). However, I find Net Present Value (NPV) as the most reliable capital budgeting technique. I will support my point by providing a thorough comparative analysis of NPV with the four most common techniques, accounting rate of return, payback period and internal rate of return. Each method is explained with the help of numerical examples found in the Appendix. Net Present Value is a technique which takes into account the time value of money. NPV for a project is calculated by finding out the present value (PV) of all the future cash flows, which the investment in the project is expected to generate. The PV of future cash flows is found by discounting them at the expected rate of return or cost of capital. Then, sum of the PV of all cash flows is compared with the cost of investment (Hampton, 1998, pp. 328). The selection criterion of a project is that, if the PV of future cash flows is greater than the initial cost of investment, the project should be selected. In other words, NPV tells us the present worth of cash flows which would be generated by the project in future; hence, if the initial investment that we make today is less that the expected cash flows present value, it means we will cover our cost, only then it will be wise to select a project. The formula to calculate NPV is sum of present values of future cash flows minus initial investment cost. A rule says that any project which has NPV greater than $0 should be selected, however, in case of mutually exclusive projects; where you have to choose one out of all the alternatives, choose the one which shows a higher NPV. The following paragraphs will carry out an in-depth analysis of the advantages and disadvantages of using this technique, so that we can have a clearer idea about situations when it can highly aid investment

Cryptography With Biometrics For Secure Key Exchange

Cryptography With Biometrics For Secure Key Exchange Biometrics is the application of biometry techniques to the authentication and automatic identification of people in security systems. The traditional concept of biometry addresses the application of mathematical and statistical techniques to biological sciences. Biometrics on the other hand can be said to be the science of recognizing the identity of a person based on the physical or behavioural attributes of the individual such as face, fingerprints, voice and iris (Jain et al). In Modern society, Biometrics has been important to large scale identity management systems whose functionality relies on the accurate determination of an individuals identity in several different applications context (). Traditional methods of establishing a persons identity includes knowledge based (e.g., passwords) and token based (e.g., ID cards) mechanisms, but these substitute representations of identity can be lost easily, shared, manipulated or stolen thereby compromising the intended security. By using biometrics it is possible to establish an identity based on who you are, rather than by what you possess, such as an ID card, or what you remember, such as a password (Poli et al, 2009). Biometrics is not recommended for every application and user, and in some cases biometric authentication is simply the wrong solution. Defining those environments in which biometrics offers the strongest benefit to individuals and institutions is one of the major challenges facing the biometric industry As time goes by, the increasing success and affordability of biometric technologies has continually broadened the range of applications in which biometrics operate effectively (). Cryptography is the science of writing in secret code and is an ancient art. The goal of cryptography extends beyond merely making data unreadable. In this project it also extends into user authentication. The security of a cryptographic system is dependent relatively on the secrecy of the cryptographic key and not causing inconvenience when it falls in the hand of the enemy. Therefore, the key issue in cryptography is key management (Dong et al, 2008). Biometrics can be used to protect the key in cryptography, while cryptography and data hiding can be used to protect biometric templates (). Combining biometrics and cryptography together will have the potential to offer higher assurance of the legal information holder. Key management is an important issue in cryptographic systems. There are several ways to combine biometrics with a cryptosystem, namely: Biometrics key release Biometrics key generation Biometrics key binding In a key release mode, biometrics plays a predetermined role in a cryptosystem. The key would be released to users only if biometric matching is successful. A key generation mode requires the key of a cryptosystem being derived directly from a biometric template, hence the unique biometrics provides a unique key for the security system based on some transform or feature extraction. In the key binding mode, the system binds a cryptographic key with the users biometrics at the time of enrolment. The key would be retrieved only upon a successful authentication. The key generation/binding modes seem to be more secure than the key release mode because in key release mode, the user authentication and key release are two separate parts (Dong et al, 2008). The conventional cryptography systems do not need any complex pattern recognition strategy as in biometric systems. They almost always depend on an accurate key matching process. That is, it requires that keys are exactly correct and does not tolerate a single bit error. However, as biometric characteristics are known to be variable and noisy and each new biometric sample is always different, only an approximate match under a threshold between the input biometric data to a corresponding stored template would lead the authentication successful. Aim and Objectives Integrating only biometric authentication on systems exposes new problems. This project investigates how to enhance biometrics security using cryptographic encryption and attempts to present an overview of an up to date research in this increasingly important topic by putting biometrics, cryptography and data hiding in the same context of security enhancement. The Objectives in this project are to: Identify the main characteristics of Biometrics. Identify the main security characteristics of Cryptography and Biometrics. Identify threats and attacks towards Biometrics. Propose countermeasures for securing Biometric Templates. Evaluate attack techniques against Crypto-Systems. Research Question The following research questions have been identified after some initial investigation and going through the initial literature review. Will the combination of biometrics and cryptography secure a system from attacks and produce a secured channel to exchange data. Hypotheses The hypotheses below have been created by extensive research into biometric systems, cryptographic encryption and the security. The hypotheses created in this project are the initial reviews and may change throughout the project. The identification of threats and attacks in biometrics and cryptographic systems security. The information collected will be used to create attack scenarios to conduct an experiment on the different threats faced by biometric systems and cryptographic encryption then identify any countermeasures that can be used to secure the system. Rationale Section 2 Methods 2.1. Secondary Research Method (Literature Review) The literature review will give a detailed insight into the combination of biometrics and cryptography for the purpose of securing data exchanges. By looking at the wider topic before the development will allow the study to take a more furnished approach to a useful answer to the research question. The main objectives of the literature review will be to: Identify the main characteristics of Biometrics. Identify the main security characteristics of Cryptography and Biometrics. Identify threats and attacks towards Biometrics. Identify threats and attacks towards Cryptographic Encryption. Countermeasures for securing Biometric Templates. Evaluate attack techniques against Crypto-Systems. Identifying suitable data gathering techniques for the project. Identifying suitable data analyse techniques for the project. 2.1.1 Literature Sources Books Journals Journal of Applied Security Research, 2010 International Journal of Computer Science and Network Security, 2009 Information Forensics and Security, 2010 Conferences Science and Technology for Humanity (TIC-STH), 2009 IEEE Toronto International Conference, 2009 Computer Security Applications Conference, 2008 Websites IEEE/IEE Electronic Library (IEL) via IEEE Xplore http://www.ieee.org/ieeexplore ProQuest http://proquest.umi.com Springerlink www.springerlink.com 2.2. Primary Research Method (Experiment) Section 3 Resources and Risks 3.1. Required Resources Throughout this project, many resources are required for carrying out the experiment and the initial literature review. 3.1.1. Literature based resources Access to Glasgow Caledonian University library: To gain access to computers to research literature on the internet, Athens, or access books which have been published by authors that may be relevant to Cryptography and Biometrics. Internet connectivity for any other research such as Google scholar: Home and university based internet connectivity will be needed to further research any literature that may be needed. 3.1.2. Experiment based resources 3.2. Risks Section 4 Project Plan The main tasks which have to be completed during the project, the estimated time to complete and any deliverables that may be available at that time of the project are shown below. A Gantt chart will be produced to show the tasks to be done in parallel rather than in sequence to manage time effectively and avoid delays. 4.1. Project Task

Management of Field Construction Projects Essay -- Construction Manage

The objective of this report is to present and discuss the management of field construction projects. These projects involve a great deal of time and expense, so close control and management is paramount if they are to be completed within the established time and cost limitations. The term construction management is applied to the provision of professional management services to the owner of a construction project with the objective of achieving high quality with low costs. A specialist project manager organises, schedules, and controls the field work and is responsible for getting the project completed within the time and cost limitations. He acts as the focal point for all facets of the project and brings together the efforts of all organisations having input into the construction process. According to the Journal Your Pathway to qualifying in Project Management, RICS, July 2006. ‘Project Managers occupy a central role in driving successful completion of projects. Project Management is a thriving professional discipline much in demand throughout the world. Consequently, these chartered professionals can chose from a variety of potential employers including clients and consultants from both the public and private sectors with either commercial or not for profit aims. Typically, project managers will be appointed at the beginning of a project and will assist the client in developing the project brief and then selecting, appointing and co-ordinating the project team. He or She will then usually represent the client throughout the full development process managing the inputs from the client, consultants, contractors and other stakeholders.’ A key skill that every project manager should possess is being able to keep a proj... ...anager comes in as an enforcer. Subsequently if the client is looking to have more of an input in the construction and allow it to develop or mature over the course of the construction, a member of the design team will be employed to make the design changes either where necessary or where the client has had a change of heart. The member of the design team will also have the ability to ensure the contractor is fully aware of where all the design risks lie over the course of the construction. Works Cited 1. Latham, Michael (1994), Constructing the team 2. Egan, John (1998), Rethinking Construction 3. S. Keoki Sears, Richard Hudson Clough, Glenn A. Sears (2008), Construction Project Management: A Practical Guide to Field Construction Management 4. Sidney M. Levy (2006), Project Management in Construction 5. Raymond Joyce (2001), CDM Regulations Explained