Accounting : Page - 13

Types of Physical Assets in Work Organizations In a work organization as well as in a training institute generally the following physical assets can be identified:     Plant and equipment.   Motor vehicles.       Air conditioner. Water purifier (Haggerty al. 2017). Two primary reasons to maintain asset registers are: Asset register helps an organisation to keep track of its assets a...

Practical MotivationThe research study provides an overview on the ethics in accounting profession. Ethics is the substratum of the accountants profession. Ethics is important for all accountants as they are responsible over the financial statement users and gives information to the users having conflicting interests. Ethics in accounting is crucial for accountants to gain professional skills and knowledge in their job so that they are able to p...

Explanation of the Purpose of the Studies pertaining to Activity Based CostingActivity Based Costing is an accounting method which analyses and allocates the costs to the activities of overheads which is followed by the allotment of costs to the products. It identifies the relationship between the costs, activities of overheads and the manufactured product. With the help of this relationship, it allocates the indirect costs to the products les...

Part A: Saving for a House DepositPART A The savings would be in the form of annuity with payments being made at the end. Annuity payment = 0.4*(91000/12) = $ 3,033.33 Total duration of annuity = 5 years or 5*12 = 60 months Interest rate applicable = 2% p.a. or (2/12) or 0.16667% per month The relevant formula to be applied pertains to future value of annuity. Here, P = $3,033.33, n = 60 and r = 0.16667% Thus, FV = 3033.33*(1.001666...

Identification of the current business processes and issues faced by the sameChange in the organizational; structure and functioning leads to sustainability of the businesses while operating in the diverse international markets. Proper planning and allocation of resources as per the analysis of the market conditions helps businesses in maintaining the efficacy of the functions in the competitive scenarios. Advancement of organizations are base...

Main Weakness of Old Revenue Standards1.a.The requirements of both existing Australian standards on revenue recognition and the newly issued international accounting standards by the IASB (International accounting standards board) are the same. There were certain drawbacks in the existing standard on revenue recognition which has resulted in an inconsistency between the company’s reported revenue. To be more specific when the company r...

Corporate RegulationThe consequences of the financial accounting and reporting if allowed voluntarily have discussed in detail. How the AASB sets IFRS along with the applicability on the member countries have been discussed in the project. The companies taken into consideration are 3P learning Education Limited, Evolve Education Group, G8 Education Limited and Red hill Education Limited. All the companies considered deals in the education sector...

Section 1: Materiality Concern of the EntitySection 1: Materiality concern of the entity Materiality is one of the concepts, which is being covered by ASA 320 as per which materiality is very crucial for the auditor in terms of planning and performing the audit of the financial statements. The misstatements, errors and significant omissions’ either individually or in aggregate are considered material if the same has the ability to chang...

The Challenge of obtaining accurate inventory forecasting of retail distribution channelsKeeping the accurate information is very vital for the development of retail distribution channels. However, this has become obvious seeing a number of retail distribution channels are struggling to grow since much of their time is spent in handling the stock (Ruankaew and Williams, 2013). Another challenge faced by these channels is the problem of informi...

Definitions of Independence in the Audit ContextAny kind of threat that is imposed on an auditor, set a limit on his work does affect the professionalism of the job. There are many authors who have described the threats that may affect the professionalism of auditing as overdue salary, actions or threatened litigations, personal relationship with the firm or partners, beneficial interesting shares and other Investments in the business, interes...

Stock Evaluation            The assessment aims in identifying an adequate portfolio which contains a combination of stocks that have the components of value investing and growth investing. Adequate calculation of Technical Analysis and fundamental analysis are conducted in the assessment to identify stocks which have growth probability. With the calculation of DuPont Adequate growth and r...

SALES BUDGET:                 Particulars Chairs Desks Stools TOTAL           April:         Selling Price per Unit £120 £208 £51   Sales Volume in April 290 120 230   Total Sales in April £34,800 £24,960 £11,730 £71,490   &nbs...

Share Capital for Rippa LtdAccording to “Paragraph 51 of AASB 116”, any revision in an asset’s useful life is to be considered as a change in accounting estimate, instead of accounting policy change (Aasb.gov.au, 2018). Hence, this does not mandate the need for retrospective restatement of accounts. The change would exert influence only on the financial statements of the prospective periods. Book value as at 1st July 2017 = ${...

Objective and Requirements of the Standard1). The AASB  117 standard deals with leases. This standard requires: a lessor and a lessee  to classify the lease. The classification can either be a  finance lease or an operating lease. This depends on its economic substance An operating lease recognises lease payments as an expense on a straight line basis, . The systematic basis represents the time pattern of the  basis of ...

Current Organization structureAn accounting software is a computer based system that is used by account managers to execute accounting tasks. (Boulianne 2014). An accounting software can either be created on handy for local use or acquired from developing companies of such. There are various categories of accounting software. They range from small scale software to large scale software, depending on the area of usage and the level of transacti...

Cost Allocation using a Costing System total indirect cost = 20000+60000+40000= $300000Under the costing system, all indirect cost are allocated based on one cost attribute. In the given scenario it is square foot occupied by each division. Using this we have: - animal shelter: indirect cost per unit= 150000/5000=$30, direct cost per unit = 150000/5000 = $30. -veterinarian clinic: indirect cost per unit = 60000/2000= $30, direct cos...

Limitations of Traditional Management Accounting PracticesControl, compliance along with competitive report serves as vital aspects that have facilitated in development of the management accounting practice. Such tradition process of carrying out management accounting practice has certain limitations that includes that they just focus on the financially based business performance measures so that the financial perspective has a considerably in...

Impact of Enterprise System on Organizational Performance and Its MeasurementEnterprise system can be defined as the large- scale application software packages that help an organization in its business processes, information flows, reporting and data analytics. These systems offer a number of benefits to the organization such as reducing the manual input of data and minimizing the information technology cost (Waring, Wainwright & Skoumpopo...

Scour Protection for Marine Infrastructure There are many problems in putting the sea overpass bridge piers in extra or less superficial marine and coastal seawaters since as good as taking to endure the tidal and wave flows the piers of the bridge have to be steady on the seabed that might be changing constantly. One of the main problem experienced by the constructors is how to prevent, foresee scours of the seabed sediments nearby the sea cros...

Identifying Organizational and Managerial RisksThe information technology audit or IT audit is the process of examination as well as evaluation of the organisational IT infrastructure, operation as well as policies. To understand the use of use and impact of IT audit and control on the business the scandal of Satyam Computer Service audit report is being considered. This is one of the biggest scandals that took place in an IT company and for t...

Understanding Activity-Based CostingCurrently, manufacturing organizations setting is changing significantly and competition is now more intensive than before. Accurate costing data is crucial for any organization to retain its competitiveness within the market (Reddy, Venter & Olivier 2012). Therefore, a more accurate and precise costing data is required to enhance effective decision-making in the current advanced manufacturing setting. Non...

Valuation Models and Methods Valuation Models This is a method for valuing the stocks that a firm has in its portfolio probably from the shareholders contributions to the firm’s equity. It is calculated as the total forecasted future shareholders earnings Dividends discounted to present values. That is, the value of stock of a firm grounded on the net present value of the future shareholders earnings. Shareholders dividends are the d...

Importance of identifying the acquirerThe AASB 3 business combination was adopted by Australian Accounting Standards Board that is said to be solely responsible for the maintenance and development of all financial reporting standards that are relevant to both private and public entities of the economy of Australia (He, Evans and He, 2016) . The purpose of this report is to give a detailed explanation of what is AASB 3 standard. It includes the...

Overview of Exchange Traded Funds (ETFs)Vanguard MSCI Australian small companies index is an exchange traded fund that intends to match the return in terms of capital appreciation and income of the MSCI small cap index Australian shares. The fund is a small capitalisation index that generally involves smaller companies on the equity market of Australia that target coverage of around 14% of free float of market capitalisation of share market th...

What is Balance sheet and its importance? Balance sheet It is also known as statement of financial position that reflects the true and fair view of a company’s financial position in the market. It is a statement that shows the balances of the assets, liabilities and capital of a business reported at the end of a fiscal year. Balance sheet reflects the capital structure of the firm and provides an idea about the company’s equit...