Premium Essay

Acc Case Study

In: Business and Management

Submitted By uyulroslan
Words 639
Pages 3
1. How would you account for the farm land of 17.5 h.a?

The owner of LTT aquaculture said that, they have invested some rm5 mil in the project over the last six years.
A = L + C + R - E
↑ = 0 ↑ 0 0
Notes : Invest capital into the business will increase the assets and capital by RM5 mil.

2. How would you account for the concrete ponds?

The owner of LTT aquaculture said the farm currently had some 20,000 tails of empuraus of various sizes in 80 special-effect concrete ponds equipped with filtration system and custom-made ozone level in the water.
A = L + C + R - E
↑ = ↑ 0 0 ↑
Notes: Equipment will increase the asset and the liabilities

3. How would you account for the brookstocks? Is the accounting for empuraus not for broodstocks similar?

Empuraus take three years to reach 1.5kg. The farm has produced six-years old empuraus weighting about 8kg and they are use as broodstocks.
A = L + C + R - E
↑ = 0 ↑ 0 0
Notes: Broodstocks for empuraus will increase the assets and capital because they were use as breeding purposes. They actually produce stock to the company.

No. Accounting for empuraus is not similar to broodstocks as the sales of empuraus will increase in asset and revenue.
A = L + C + R - E
↑ = 0 0 ↑ 0 4. Applying an accrual accounting, how should expenditures on the land, maintenance of the ponds and feeding empuraus is treated?

Land will be accounted as a noncurrent asset under property, plant and equipment. It is also known as a fixed asset. There is no depreciation on value of the land unless there is an indication that the land has decreased in economic value. Expenditures on the land, maintenance of the ponds and feeding empuraus are called as expenses. It is routines repairs and maintenance where it is have to be repeated. Technically, an expense is an event in which an asset is used up or a liability…...

Similar Documents

Free Essay

Acc 504 Case Study 2

...business with such as borrowing operating capital – long term notes. Determinations concerning how many shares are initially offered for sale, and what the value and cost per will be, will have to be decided on. Because stocks represent a share in a company, the assets owned by the company are components for setting the price of a stock. In order to gain the benefits of raising capital and achieving greater liquidity that an IPO offers, the Company must be more solidly established and better able to pass tougher regulatory requirements than in the past. Doing so comes with a bigger price-tag than ever before. These days, companies going public should expect to pay more and can reach upwards of $2 million in out of pocket expenses in some cases to cover a host of fees – among them legal, printing, listing, filing -- in addition to the underwriter discount and commission of the offering proceeds and to shore up internal processes to meet the tougher reporting and governance standards for public companies. (Inc.com, Elizabeth Wasserman, 2010). Since the company has several features in place, improving them and becoming Sox Act compliant will help greatly in initial costs while developing a robust internal control system that is sustainable. If the company intends to print its own pay checks and company checks for accounts payable and vendor services, the indelible ink printer will be a great security application of internal control of producing checks in house. This operation......

Words: 817 - Pages: 4

Free Essay

Case Study Case Study Case Study

...This case study is an excellent example of how different types of parties can be brought together in a large scale transaction and how the original energy of those early meetings can be lost over time. I imagine that when Anthony Athanas was purchasing those old piers back in the 1960s many, if not all, of his colleagues, friends, and family members told him that he was off his rocker. I’m sure Athanas was looking at this land as his family’s ticket to financial prosperity and somewhat of a legacy that he could leave to his descendants for years and years to come. One of the items I wish the case would have divulged is the amount of money that Athanas had invested in the properties. For me this information would have given an insight to his net worth and how much he had riding on this investment. I assume it was substantial given his actions later in the process. Twenty years later Athanas’ dreams came true and all those naysayers were more than likely green with envy. The amount of pride Athanas’ had in his investment at that moment had to have been insurmountable. Being approached by a big time real estate development company and their extremely wealthy client, Hyatt Corporation, must have made Athanas feel larger than life and made him feel like something he isn’t, which is a developer himself. The case doesn’t give much insight into whether Athanas had any representation or anyone consulting him throughout the process. From the beginning, I saw this as matchup...

Words: 1190 - Pages: 5

Premium Essay

Case Study #01 Acc-574, Forensic Accounting

...of the business operation (net income) were all accounted for, by using generally accepted accounting standards and procedures, in accordance with the generally accepted accounting principles. May 19th 2005, on forbes.com, in the section of the faces in news comes that “Richard Scrushy, ex-CEO of HealthSouth, has been accused of allegedly masterminding a $2.7 billion earnings misstatement at the rehabilitation and medical services company. He is also accused of conspiracy, false reporting to the U.S. Securities and Exchange Commission, multiple fraud counts and money laundering. Scrushy faces millions of dollars in fines and a maximum sentence that may near life in prison, if convicted of all counts.”(1) According to the above-mentioned case in 2003, the U.S. Securities and Exchange Commission (SEC), filed civil charges against HealthSouth for misleading public investors by presenting overstated and fraudulent financial statements. In relation to the SEC’s formal inquiriess, a forensic investigation was conducted by PricewaterhouseCoopers to determine the extent and value of the accounting misdemeanors that took place from 1997 through July 2002. The New York Times on March 22 2003 explains “the regulators describe periodic efforts by other executives - - - - to persuade Mr. Scrushy to stop the manipulations. "Scrushy insisted that the scheme continue because he did not want HRC's stock price to suffer," the S.E.C. complaint said.” (2) June 18, 2009, on the business......

Words: 1085 - Pages: 5

Premium Essay

Acc Case

...Danle Corporation – Case 10-5 Discuss whether you believe that the conclusion reached by Danle to omit disclosure regarding to the class-action litigation was appropriate for the year ended December 31, 2009. In our opinion, it was not appropriate for Danle Corporation to omit disclosure relating to the class action lawsuit for the year ended December 31, 2009. First, it must be noted that ASC 450-20-25-2 indicates the following: 25-2 An estimated loss from a loss contingency shall be accrued by a charge to income if both of the following conditions are met: a. Information available before the financial statements are issued or are available to be issued (as discussed in Section 855-10-25) indicates that it is probable that an asset had been impaired or a liability had been incurred at the date of the financial statements. Date of the financial statements means the end of the most recent accounting period for which financial statements are being presented. It is implicit in this condition that it must be probable that one or more future events will occur confirming the fact of the loss. b. The amount of loss can be reasonably estimated. In this case, management does not believe that it was probable that a loss would occur and does not believe that the amount could be reasonably estimated, however, ASC 450-20-50-3 states the following: 50-3 Disclosure of the contingency shall be made if there is at least a reasonable possibility that a loss or an......

Words: 1029 - Pages: 5

Premium Essay

Acc 504 Case Study 2 Internal Controls

...and keeping the cash in custody by another. The accountant of LJB handles all cash receipts and keeps cash in a safe before going for the weekend, therefore the company is in violation of segregation of duty, physical concept, documentation procedures, and establishment of responsibility (Kimmel pg. 338, Landes & Ratcliffe T, 2009). The establishment of responsibility authority requires that specific people be assigned specific responsibilities. The accountant of LJB Company has left the access of petty cash to all employees and this violates the responsibility principle. The president of LJB Company needs to assign a specific person the responsibility of handling petty cash. Leaving the cash accessible to every one in drawer increases cases of theft and fraud; this is also in violation of Physical responsibility (Kimmel, pg.341, 342). The principle of physical, mechanical, and electronic controls requires that computer facilities be installed with passwords, fingerprint access or eyeball scans. The LJB Company has not assigned employees individual passwords leading to violation of Physical control principle. The company’s late realization that one of their employees was convicted of molesting children indicates lack of proper screening and investigation of new and potential employees. Management needs to come up with proper recruitment procedures for example, thorough background investigation, and checking with the investigation authorities for records of crimes,......

Words: 1361 - Pages: 6

Premium Essay

Case Study

...COURSE OUTLINE GIFT BUSINESS SCHOOL MBA Management Accounting- ACC-701 Spring -2014 Faculty: GIFT Business School Credit hours: 03 Course level: Graduate (Elective) Campus/Location/Instruction Mode: GIFT University/On Campus/In Person Course Instructor: Mr. Naveed Ahmad Mughal naveed.mughal@gift.edu.pk Consultation hours: Monday to Friday (as proposed by the instructor) Pre-requisite: ACC-512 / 516 Timing As per university time table This document was last updated: February 18, 2014 BRIEF COURSE DESCRIPTION: The aim of the course is to provide an in depth knowledge and understanding of the use of accounting information for internal purposes contrary to the external disclosure focus of the financial accounting. In particular, the objective of the course is to familiarize students with the fundamental concepts of management accounting system, and use of such information for decision making and performance evaluation. COURSE LEARNING OBJECTIVES: The primary objectives of this course are: 1. To develop an understanding of the costing, cost calculation. 2. To develop understanding of application of different techniques of cost allocation. 3. To understand the relationship between cost and volume and application of this in making different decisions. 4. To develop ability to make different decisions by using accounting information. 5. To understand the application of budgeting and standard costing as controlling tool. 6. To apply the......

Words: 921 - Pages: 4

Premium Essay

Case Study

...The Case Study Approach Linda P. Williams Liberty University Online Author Note Linda P. Williams, Department of Psychology, Liberty University Online Correspondence concerning this article should be addressed to Linda P. Williams, Department of Psychology, Liberty University Online, 1971 University Blvd, Lynchburg, VA 24515, E-mail: lwilliams91@liberty.edu The Case Study Approach Introduction At some point during the pursuit of a degree psychology, the time comes when a student must learn various research techniques. One of the many approaches is case study, which this paper will focus on. Areas of discussion include reasons for using a case study, advantages/disadvantages to the approach, and ways acquire information to perform a case study. The essence of a case study A case study is used to offer a mental accounting of a person, school, neighborhood, business, or group of individuals over the course of time, way of research. It is sometimes referred to as naturalistic observation, but does not always follow the same protocol. Mental accounting is done by means of observation of various behavior or mind sets operating in their natural environment. This is noteworthy, especially when participants have a distinct disorder worthy of being studied to further the cause of research and development. Depending on the purpose of the investigation, the case study may present the individual’s history, symptoms, characteristic behaviors, reactions to......

Words: 671 - Pages: 3

Free Essay

Case Study

...e-commerce. business. technology. society. KENNETH C. LAUDON AND CAROL G. TRAVER CHAPTER 4 CASE 1 BUILDING AN E-COMMERCE PRESENCE: WEB SITES, MOBILE SITES, AND APPS ESPN Goes to eXtreme Scale VIDEO CASE Systems TAGS SUMMARY ESPN; IBM; eXtreme Scale; distributed grid computing; grid. ESPN is the world’s largest cable television sports programming network. In addition, it is the Web’s most popular online source for sports results, content, and commentary. Servicing an online audience of more than 50 million unique visitors every month requires ESPN to adopt processing technologies that are extremely efficient, powerful, and flexible. L= 5:40. http://www.youtube.com/watch?v=NIqru81sjV4 URL CASE ESPN (Entertainment and Sports Programming Network) is a multimedia, global cable television network with headquarters in Bristol, Connecticut. Founded in 1979 with financing provided by The Getty Oil Company, ESPN grew along with the cable television industry to become a mainstay of American popular culture. After a series of investments by Hearst Publications, and ABC (the American Broadcasting Network), 80% of ESPN finally ended up in the hands of entertainment giant The Walt Disney Company, and 20% with the Hearst Corporation, a 100 year-old media company based largely on newspaper and magazine businesses. ESPN focuses on sports programming including live and pre-taped continued CHAPTER 4 CASE 1 ESPN GoES To EXTREME SCALE 2 event telecasts, sports talk shows, and other......

Words: 1062 - Pages: 5

Free Essay

Case Study

...ACC 492 Case Study Requirements 1. What are Mark’s options? 2. How might a going-concern explanatory paragraph become a “self-fulfilling prophecy” for Surfer Dude? 3. What potential implications arise for the accounting firm if they issue an unqualified report without the going-concern explanatory paragraph? 4. Discuss the importance of full and accurate auditor reporting to the public, and describe possible consequences for both parties if the going-concern explanatory paragraph and footnote are excluded. How might Mark convince George that a going-concern report is in the best interests of all parties involved? 5. How appropriate is it for an audit partner to have a friendly personal relationship with a client? 6. What factors should motivate Mark to be objective in his decision, despite his personal concern for his friend? 7. In your opinion, what should Mark do? 1) Mark can ask George to create a plan of action and show him how he plans to keep the business going. After that is done, Mark can write a note in financial statement where he say what he thinks about the plan of action. If George doesn’t fix Marks concern with the company, Mark can write a paragraph in the financial statement disclosing this concern. If George decides not to make the statement in the financial statement, Mark will have to write a......

Words: 626 - Pages: 3

Free Essay

Case Studies

...Case studies Name: Tutor: Course: Institution: Date: Flying to the Auto Bailout on a Private Jet Basic problems In this case study, there is wastage of resources. The CEOs of the nation's three largest automobiles uses private jets to attend the corporate public relations congress. This is wastage of resources since they are using private jets to travel when their companies are struggling to stay afloat. Ignorance is another basic problem evident in this case study. These CEOs are very ignorant. They attend the corporate public relation congress in Washington unprepared and thus appear to know nothing about their problems. The three companies, GM, Ford and Chrysler, lack the concepts of public relations. The main issues American economy is melting down. Most of the workers are losing their jobs since the companies cannot handle many workers anymore. The companies have got inadequate cash. Bankruptcy is another main issue experienced in this case study. The General Motors Company and the Chrysler can no longer pay their debts. Key decisions * According to the case study, the leaders have to come up with a new public relations strategy. * The CEOs should correct any mistakes they have made before such as using private jets to travel. * Introduce innovation in products * The auto industry of the US should promote its products. * Ensure transparency in business operations. SWOT analysis Strengths * Availability of resources for the......

Words: 657 - Pages: 3

Free Essay

Acc 349 Week 2 Team Assignment Case Study Byp

...ACC 349 WEEK 2 TEAM ASSIGNMENT CASE STUDY BYP To purchase this visit here: http://www.nerdypupil.com/product/acc-349-week-2-team-assignment-case-study-byp/ Contact us at: nerdypupil@gmail.com ACC 349 WEEK 2 TEAM ASSIGNMENT CASE STUDY BYP Prepare written responses to the following case study from Ch. 2 of Managerial Accounting: Tools for Business Decision Making: Managerial Analysis BYP 2-2 Home Work Hour aims to provide quality study notes and tutorials to the students of ACC 349 Week 2 Team Assignment Case Study BYP in order to ace their studies. ACC 349 WEEK 2 TEAM ASSIGNMENT CASE STUDY BYP To purchase this visit here: http://www.nerdypupil.com/product/acc-349-week-2-team-assignment-case-study-byp/ Contact us at: nerdypupil@gmail.com ACC 349 WEEK 2 TEAM ASSIGNMENT CASE STUDY BYP Prepare written responses to the following case study from Ch. 2 of Managerial Accounting: Tools for Business Decision Making: Managerial Analysis BYP 2-2 Home Work Hour aims to provide quality study notes and tutorials to the students of ACC 349 Week 2 Team Assignment Case Study BYP in order to ace their studies. ACC 349 WEEK 2 TEAM ASSIGNMENT CASE STUDY BYP To purchase this visit here: http://www.nerdypupil.com/product/acc-349-week-2-team-assignment-case-study-byp/ Contact us at: nerdypupil@gmail.com ACC 349 WEEK 2 TEAM ASSIGNMENT CASE STUDY BYP Prepare written responses to the following case study from Ch. 2 of Managerial Accounting: Tools for Business Decision...

Words: 777 - Pages: 4

Premium Essay

Case Study

... ACC 4291Integrated Case StudySem 2, 2014/15 Androids Under Attack By Ali Shah Hashim David Lawrence, 43 years of age, joined the auditing firm of Androids 20 years ago and earned a salary of USD 700,000 per annum. He was the Androids’ partner in charge of auditing Enronaa’s accounts since 1987 – his job was to check Enronaa’s accounts and to make sure that they fairly represent the state of the business. Androids had been Enronaa’s auditor for the past 16 years. On the morning of October 23, David and his auditing team listened in on a call between stock analysts and Enronaa’s executives, who were trying to explain the company’s financial free fall. There were too many unanswered questions. After lunch, David called the entire Enronaa team together in Conference Room 37C1. His heart beat faster as he thought about the net that was closing in on Androids. As his eyes wandered around the room, on one of the conference room walls was an imposing picture of Arthur Androids. David was particularly proud of the long and distinguished history of the firm. His mind wandered as if to witness how in 1913, Arthur and Clarence, both from the audit firm of Price, bought out a small audit firm in Illinois to form Arthur, Clarence & Co., which became Androids & Co. in 1918. Androids, who headed the firm until his death in 1945, was a zealous supporter of high standards in the accounting industry. A stickler for honesty, he argued that accountants’ responsibility was to investors,......

Words: 3225 - Pages: 13

Free Essay

Acc Case

...ACC 312 – Spring 2016 Comprehensive Budget Problem Tom and Linda own Hercules Condiment Company (HCC). Their unique condiment is sold by the gallon to fast food restaurants all over the Midwest. The sales price is currently $5.00 per gallon and they sold 50,000 gallons in Q4 of 2011. Sales are expected to grow 15% each quarter in 2012. Reluctantly they have given us the formula for their final product ½ gallon of Thousand Island dressing plus ½ gallon of mustard makes 1 gallon of “Secret Condiment 100” in one container. They have asked us to create a master budget and summary cash budget for the next two financial quarters (2012 Q1 and 2012 Q2). Please use the Excel template posted on Canvas under the Assignments section. Additional Information: A. Thousand Island costs $1 per gallon while Mustard costs $1.50 B. The plastic container for the product has a cost of 25 cents. C. Employees that make the sauce make $12 per hour. They can make 30 gallons (units) per hour. D. Variable manufacturing overhead is charged: $2.10 per labor hour E. Fixed manufacturing overhead is $5,000 per quarter (it was $4,000 in Q4 of last year). F. Variable Marketing/Admin is $1.25 per gallon. G. Fixed Marketing/Admin is $25,000 per quarter ($5,000 of this represents depreciation) H. Calculate Q1 sales based on Q4 sales times 15% I. Ending inventory (of finished goods) must equal 20% of the next quarter’s projected sales Page 2 J. $20,000 cash was......

Words: 452 - Pages: 2

Premium Essay

Case Study

...ASSIGNMENT GUIDANCE – NRSG258 ASSESSMENT 1: CASE STUDY Dear students here are some guidelines to assist you in writing Assessment 1: Case Study. If, after reading through these, you still have questions please post on the relevant forum. If you are still unsure then please contact your campus specific lecturer to arrange to discuss your assignment. We ask that you bring these guidelines to any meeting and highlight the areas about which you are still unsure. In this case study you do not need an introduction or conclusion for this case study of 1500 WORDS ± 10% due by midnight 8th April Turnitin. Just answer the questions. Turnitin is located in your campus specific block. Although we suggest you do your background reading in the current textbooks for basic information, the case study also requires you to find current literature/research/articles to support your discussion throughout the case study. Do NOT use Better Health Channel, WedMed, dictionaries, encyclopaedias etc. These are NOT suitable academic sources. If you use these you will not meet the criteria for this question and you will lose marks. You must follow the APA referencing format as directed by ACU in your case study and in your reference list. The Library website has examples of how to do this referencing and you can find the correct format at the end of your lectures and tutorials as well as in the free Student Study Guide. This essay should have approximately 10 relevant sources.......

Words: 1111 - Pages: 5

Premium Essay

Acc 349 Week 3 Case Study

...Learning Team C Week 3 Case Study BYP 4-2 ACC349 April 4, 2011 Learning Team C Week 3 Case Study BYP 4-2 [pic] [pic] (a) |Activity cost pool |Estimated overhead |Cost drivers per activity |Total cost driver activity |Activity-based overhead rate | |Market analysis |$1,050,000 |Hours of analysis |15,000 hrs |$1,050,000 =$70 | | | | | |15,000 hrs | |Product design |2,280,000 |Number of designs |2,500 designs |2,280,000 =$912 | | | | | |2,500 designs | |Product development |3,600,000 |Number of products |90 products |3,600,000 =$40,000 | | | | | |90 products | |Prototype testing |1,400,000 |Number of tests |700 tests |1,400,000 =$2,000 | | | | | |700 tests | ......

Words: 424 - Pages: 2