From the Paper "Chase Manhattan and Citicorp are two of the largest bank holding companies in the United States. Chase Manhattan is the sixth largest bank holding company and Citicorp is the largest bank holding company in the country. Both companies had checkered financial performance during the 1980s and early 1990s, and both have recently recovered. This research examines the financial performance of the companies in relation to each other and to the banking industry as a whole.
Citicorp provides a broad range of financial services for individuals and institutional clients from offices in 32 states and 92 foreign countries. Consumer banking services are provided through more than 1500 offices in five states and the District of Columbia, and through 2000 foreign offices. The company also has a ... "
Abstract This paper examines how an increase in personal income can decrease disposable spending. It explores the effects of aggregate demand and describes that a decrease in income taxes may offset the negative impact of reduced wealth on total spending. This paper includes a graph.
From the Paper "Personal income is income received by individuals from all possible sources. This includes wages, and income from dividends paid on investments. The largest component of total income is wages and salaries, a figure that can be estimated using payrolls and earnings data from the employment report. Beyond that, there are many other categories of income, including rental income, government subsidy payments, interest income, and dividend income. Personal income is a decent indicator of future consumer demand, but it is not perfect. Recessions usually occur when consumers stop spending, which then drives down income growth."
Abstract Focuses on budgeting as a key element of a company's strategic management process. Discusses historical relationships of budgets & corporate growth, and its current status as a tool for fiscal predictions. Mergers imapact. Spreadsheets & development of electronic spreadsheets Concept of Economic Value Added (EVA). Gives example of a hypothetical software company takeover & the role budget projections play.
From the Paper "ACCOUNTING FOR DECISION-MAKING
Executive Summary
Every company, whether large or small, faces several dilemmas when confronted with the budgeting process. This essay traces the budgeting process from its beginning concepts to the budgeting of today by addressing the concept that budgets are sometimes referred to as ?tools of repression and barriers to change.?
It is shown that there was some truth to that statement historically but that today budgeting is an essential part of a company's strategic management process. The essay traces budgeting from its original concept of analyzing the past to its current status as a tool for predicting the future.
Compares the differentiation both on the financial profitability and the management appropriateness between two accounting systems, using examples of French Telecom and Deutsche Telekom.
Abstract This paper examines and compares the accounting systems used in the operating of the two European telecommunication giants - French Telecom and Deutsche Telekom. It looks at how each of these systems work best for the specific company and how it suits the needs of the economy of France and Germany. Includes appendixes of a comparison of financial reports.
Preface
Introduction
Different Accounting Systems
Classifications
Accounting Measurement Techniques
Corporate Governances
Foreign Currency Translation
Segmental Reporting
Financial Ratio Analysis
Conclusion
Reference
Appendix
From the Paper "The telecommunication market is expanding rapidly in European countries. France Telecom as one of the outstanding telecommunication operators both in Europe and the rest of the world. In year 2000, France Telecom had a great score which have 77 million worldwide customers; 33.7 billion Euros in revenues by the end of the year. Such great achievements create solid foundations to support the strategy they have used, which is focus on high growth business to continue to expand in France and develop the businesses in the rest of Europe. France Telecom has modified the presentation of its accounts for better reflect its operations and wireless activities."
This analysis provides an historical overview of the relationship of budgeting to traditional company management, and then moves into a discussion of the pros and cons.
Abstract Every company, whether large or small, faces several dilemmas when confronted with the budgeting process. This essay traces the budgeting process from its beginning concepts to the budgeting of today by addressing the concept that budgets are sometimes referred to as "tools of repression and barriers to change." It is shown that there was some truth to that statement historically but that today budgeting is an essential part of a company's strategic management process. The essay traces budgeting from its original concept of analyzing the past to its current status as a tool for predicting the future. Along with an exploration of major theories, including the concept of Economic Value Added, there is a brief discussion of the role that budget projections played in a takeover consideration of a software company by a games manufacturer. The company name as used in the essay is hypothetical although the example is based in fact.
From the Paper "Proponents of the statement that budgets are "a tool of repression and a barrier to change" are as firmly grounded in reality as the Cheshire Cat from Lewis Carroll's Alice in Wonderland. In fact, the scene between Alice and the Cheshire Cat could be used to typify the dilemma every company, whether large or small, faces when confronted with the budgeting process.
It will be recalled that Alice, while lost, asked the Cheshire Cat "which way I ought to walk from here?" to which the cat answered "That depends a good deal on where you want to get to." Alice, in response said "I don't much care where so long as I get somewhere" to which the cat answered "Then it doesn't matter which way you walk, "if you only walk long enough" "
Abstract The paper answers the question of how such a large, profitable international company could be affected by the mismanagement of its foreign managers. Although the company took immediate action when the problems came to light in that the people involved were dismissed and replaced, the company's reputation suffered. The writer illustrates the way in which PepsiCo responded to and recovered from these events.
From the Paper "PepsiCo has already put into place an internal audit structure; this was how the fraud was discovered, although it was an employee speaking who brought the fraud to the attention of the auditors rather than the auditors who discovered it as part of the audit process. The internal audit is a primary resource which supports a company's overall internal control environment by providing an oversight function. The department measures and evaluates risk and allocates the audit effort in the appropriate areas. It should produce cost-saving ideas to make the process more efficient and improve control, and it should serve as a key personnel resource to other departments and units of the company (Sawyer, 1995, p. 46)."
Abstract This paper discusses how a Federal Tax Court decision in 1996 opened the door for Subchapter S Corporations to export goods produced in the United States to selected countries through a foreign sales corporation (FSC). It looks at how the court ruling also permitted an individual retirement account (IRA) of a Subchapter S Corporation owner to be the owner of the FSC and how this structure made it possible for individuals to benefit both from export incentive tax reductions through an FSC and tax benefits available through an IRA. It researches various models designed to maximize federal income tax-related benefits and wealth deriving from these developments.
Outline
Introduction
The Subchapter S Corporation IRA/FSC Model
The Subchapter S Corporation Direct Export Model
The Subchapter C Corporation Direct Export Model
The Subchapter C Corporation FSC Subsidiary Model
Postulated Theory and Hypotheses
Analysis of the Two Postulated Hypotheses
Discussion
Conclusion
From the Paper "Subchapter S Corporations always have had the authority to engage in the export of goods to foreign countries. No special benefits accruing directly from profits on exports, however, were available to the owners of Subchapter S Corporations. Rather, the benefit to the owners of such corporations was the ability of a Subchapter S Corporation to elect to be taxed as individual owners, as opposed to being taxed as a corporation. Thus, the owners of a Subchapter S Corporation making such an election would benefit to the extent that individual tax rates were lower that the applicable corporate tax rate, as well as to the extent that other incentives initiated by government to spur exports led to increased profits on export sales."
Abstract The paper uses an anonymous company to illustrate the way in which managers of an accounting department might use the system of TQM to improve their productivity. The writer first introduces the characteristics of the department, then proposes solutions that employ this program. The paper concludes with responses to the feedback of the experiment, prescriptions for changes necessary within the department.
From the Paper "TQM implementation approaches can be classified in three ways: startup (also called greenfield), incremental, and retrofit (Krumwiede, Sheu & Lavelle, 1998, p. 8). Startup approaches are those which are used with new companies, or with those companies (or departments) which are willing to completely abandon their current system and begin from scratch. These systems are characterized by completely new ways of doing all tasks, including not only those tasks directly related to the product or manufacturing operation at hand, but also to the way the company is organized, how employees are compensated for their efforts, and other factors related to the overall company culture. These startup approaches to TQM are rarely found because few companies can afford to completely stop production and take the time necessary to design a program from the grassroots level; however, new companies are beginning to build TQM into their organizations, which represents a type of startup approach."
Abstract This paper discusses the concept of Rational Emotive Behavior Therapy (REBT) as presented in "A Guide To Rational Living" by Ellis and Harper. The writer then presents a personal application of REBT, and more specifically the concept presented in Chapter 7 "Overcoming the Influences of the Past" where REBT is applied to a learning experience in real life, through the experience of alcoholism.
From the Paper "The mere fact that children need love, approval, and attachment, means that to be deprived of these needs would result in sadness, loneliness, and depression. When needs are not met, children and adults will tend to go beyond the original event and effort to make things better. Unfortunately, this attempt can lead to self-blame and beliefs that self-improvement would prevent future neglect. Overexertion toward becoming more deserving of love may ensue ("I absolutely must perform well") or the opposite may occur. The child may believe that there is no hope and life will always be void of love due to beliefs of unworthiness."
Abstract A review of an article in the Fall 1999 Management Accounting Quarterly (written by Rusell et al), infers that the changing role of the accountant includes all forms of accounting professionals. The paper shows that not only do management accountants analyze financial information, review tax and other regulatory issues and execute much of the traditional accountant duties, but they are now migrating to be included in executive teams involved in strategic planning issues. The paper shows that accountants are involved in corporate technology and new product developments. In other words, they are now accountants with supplementary management. The paper makes use of charts.
Table of Contents
Introduction
The Evolution of the Management Accountant
The Management Accountant and Strategic Partnering
What Does It Mean to Me
Conclusion
References
From the Paper "Reinvention on a grand scale appears to be the order of the day. Failure to provide today's Management Accountant with the tools it needs tomorrow just adds risk of the profession becoming a marginal discipline (i.e., deskilled, decentralized and disappearing (Parker 7)). Therefore, the need is great for a partnering of sorts in which to provide the reinvented Management Accountant with a broader knowledge base that includes areas such as operations, product and process technology, systems, marketing and strategic management. The focus must be switched from historical accounting stewardship to strategic planning. For the traditional Management Accountant, this will be like putting on a new pair of shoes; and for those that challenge change, the shoes may be a little tight."
Abstract As information technology (IT) rapidly increases and globalization becomes the wave of the future, the accounting profession is undergoing major transformations. The paper shows that there are many advantages to this increase of information technology in the accounting profession such as the ability to provide clients with enhanced web-based products and services. Disadvantages of the system examined in the paper include less personalized services and its threat to smaller businesses.
From the Paper "The increase in IT in the accounting industry also has its disadvantages. Accountants often become so wrapped up in the automated world of IT that they fail to realize that there is a great need in today's accounting environment for a personalized and client specific oriented service. IT often robs the client of this experience, which may cause the client to take his or her business elsewhere.
In addition, as IT promotes globalization, smaller businesses are in danger of competition from larger ones. As globalization increases, the limited audit assignments are going to large accounting and auditing firms, as these businesses are in a better position to service clients that are located in many areas of the world."
Abstract This paper explains the meaning of marginal cost, with reference to fixed and variable costs and the model of diminishing returns, which also is known as law of diminishing marginal productivity. The author applies this theory to a real world example: British Airways, where an understanding of costing can be seen to support the strategies that have followed since 2001.
Abstract This paper analyzes the Capital Asset Pricing Model, describing some of its numerous benefits. With the CAPM, traders can avoid much of the risk they incur through diversification. Therefore, only unavoidable risk should be compensated. Nevertheless, even after a trader diversifies his portfolio, some risk remains. Because some risk is associated with the market as a whole, this risk cannot be neutralized through diversification, and CAPM explains that.
Abstract This paper covers a hypothetical situation of a company that researches the accounting software products in the market and implements one that is most beneficial for its productivity.
