Using the analytical procedures that are part of the case and any further analytical procedures you deem appropriate, identify what you believe to be significant differences from your expectations, and then discuss the audit implications of those differences. Report your results in the table below. Use the student resources posted online labeled Analytical Procedures as a guide - this is the example that developed and analyzed the financial statements of New Technologies, Inc. Feel free to ad...
This report outlines a budget information problem based in Metroline Travel engineering and logistical function. The report also presents a discussion and analysis of a budget information problem with reference to the problem solving frame work. The project also includes the 4 P's within the marketing mix, limitations of incremental budgeting, 10 criteria which are proposed for good-quality information and a financial analysis of the logistical function overtime cost. These analyses are neces...
A budgeting is the quantitative expression of a period of a proposed plan of action by management for a specified period and an aid to coordinating what needs to be done to implement that plan. A budget generally includes both financial and nonfinancial aspects of the plan, and it serves as blueprint for the company to follow in an upcoming period. A financial budget quantifies management expectations regarding income, cash flows, and financial positions. Nonfinancial budgets are units manufa...
FASB 2 defines materiality as: The magnitude of an omission or misstatement of accounting information that, in the light of surrounding circumstances, makes it probable that the judgment of a reasonable user relying on the information would have been changed or influenced by the omission or misstatement. A careful reading of the FASB definition reveals the difficulty that the auditors have in applying materiality in practice. While the definition emphasizes reasonable users who rely on the st...
When traditional costing methods were introduced few decades back companies marketed a relatively narrow range of products. Direct labour was often the biggest cost of production and overhead costs were therefore smaller; thus the distortions that resulted from inappropriate overhead allocation were not evident. Direct labour was therefore used as a proxy to allocate overheads; managers would simply allocate portions of overheads to products according to their direct labour hours. Data proces...
1. Full reference details for article (using Harvard referencing style)Provide enough information about the article to enable readers to find it. Make sure that you include the author, title and when and where the article was published. Swenson, D, Ansari, S, Bell, P & IL-Woon, K 2003, 'Best practices in target costing', Management Accounting Quarterly, March, pp. 2-17, viewed 25 March 2010, http://findarticles.com/p/articles/mi_m0OOL/is_2_4/ai_99824634/ 2. Purpose. State what the author was ...
A process costing technique is worn in favor of Indus deception producing substance, oil, fabric, and flour, pharmaceutical, shoos and petroleum. This kind of estimate is too old through firms developed such clothes methods be the gathering sort manufacturing which manufactures such equipment given that kind writers, automobiles. Airplanes and home embrace emotional appliances. Lastly certain service industries, such sagas, stream, and warmth, cost their goods via with development estimate me...
Introduction This work-based assignment discusses the key elements of accounting in part 1 (1.1-1.3), provides an understanding of financial information in part 2 (2.1-2.3) and interprets financial information in part 3 (3.1-3.3) by examining the financial health of a small business called Card Fun. - Identify principles of accounting According to Atrill & McLaney (2011: 498), accounting is "the process of identifying, measuring and communicating information to permit informed judgments and d...
Introduction The report aims to explain the idea of fair value of accounting and why IASB and FASB have begun moving towards this new method rather than keeping the more traditional historical cost accounting. The report will also highlight the key advantages and disadvantages when using the fair value method why it is so important when pertaining to financial assets. The argument that fair value accounting was a contributing factor to the financial crisis of 2008 will also be critiqued. Last...
PART 1 The inventory valuation is done on cost basis, while the NRV (Net realizable value) is 10% below the cost. As per the accounting standards in Australia governed by the AASB, the inventory valuation is done based on the basis of lower of cost or realizable value, whichever is lower, which is as per the guidelines laid down under the provisions of AASB 102. However, since the cost is of higher value in comparison to the realizable value, the system followed here reflects the inventory at...
