Balance of payments

Goodwill is explained as the ‘future economic benefits arising from other assets acquired in a business combination or acquisition that are not individually identified and separately recognised’ in AASB 3 Appendix A. Physical asset including buildings or equipment cannot be considered as goodwill, it should be an intangible asset that has no physical substance. And a business combination itself means ‘a transaction or other event in which an acquirer obtains control of one or more business’. On…

Planning, performing and reporting are the three major stages of auditing. The first stage in an audit is the planning stage. The planning stage consists of getting to know the client, pinpointing factors that could impact the risk for a material misstatement for the financial records, and creating an audit strategy (Wiley,2015). Marilyn Terrill is the senior auditor for the the Uden Supply Company audit, for this client she will need to perform the analytical procedures and calculate the…

The term of one-year is not desirable to investors and it may also limit cash flow. Expenses are accrued as marketing and promotion liabilities in the Consolidated Balance Sheets. Expected payouts for promotion are estimates, another thing that is an estimate is the increased liabilities. If these estimates are off in any sort of way it could affect future financial statements (Procter & Gamble, n.d.). Two Examples…

To obtain the data needed for the question, I first downloaded the dataset per instruction of the question. Specifically, I obtained the data of “rental commitments minimum – 5-year total” and “total liabilities,” assuming that these data reflect firms’ lease commitments and total liabilities. The dataset was then organized as follows: To throw out the “bad data,” I sorted out all the rows containing blank cells by the “filter” tool and removed all the duplicated rows by the “remove…

The cash flow from operating activities include patients, insurers, and other third-party payors at $731,824, other sources are $18,801, and the payments to employees are ($383,540) and the payments to suppliers are ($313,039) which give a net cash from operating activities a total of $54,046. The cash flow from capital and related financing activities include acquisition of capital assets of ($8,189), interest paid ($45…

method, the units of production, or units of activity method of depreciation is effective for equipment evaluation. Also, this method involves extra bookkeeping to track the annual production. The next methods are the accelerated known as declining balance method and sum-of-the year’s digits (SYD). Furthermore, the theory behind these methods are is that some assets are likely to decline in value more rapidly in the early years of their life than in the later years, (Finkler, S.A., Ward, D.M. &…

An accountant plays an increasingly important role when it audits and reports different financial aspects about a company, which includes but not limits to a company’s balance sheet, cash flows, and incomes. The final accounting statements, which will be sent to the clients and sometimes to other stakeholders, will give not only clients but also outsiders a general overview of a company’s financial situation. Investors and cooperators who observe a company merely through its financial reports…

changes in the yield to maturity. When market interest rates increase, the value of the bond decreases, and vice versa. When the market rate of interest increases, the yield to maturity of the bonds must also increases. However, since the interest payments on a bond are fixed, the only way for the YTM to increase is if the bond’s value declines (Titman, Keown & Martin,…

Analysis 1. Weeks of notice of termination or pay in lieu of notice. According to the Employment Standard Act (ESA) 2000, Ethan should be given four weeks of notice since he has been working for the company for more than four years but less than five years. A similar case at Lougheed Imports v. Local was undergone in 2010, where employees posting a few comments about their employer on Facebook was deemed proper cause for the termination of their employment. By contextualizing the following…

1. INTRODUCTION ESTIMATING AUTO INSURANCE PREMIUM USING GENERALISED LINEAR MODELS 1.1 BACKGROUND INFORMATION AND PROBLEM STATEMEENT The basic role of insurance is to pool fortuitous losses together, provide financial protection, offering a means of transferring the risk of losses in exchange of an insurance premium. Insured’s pose varying level of risks to an insurer. It is rational that the rates charged correspond to individual risk levels. The non-uniform rates charged…