Managerial accounting free essay sample

a. Sales budget: April May June Quarter Budgeted sales in units 35,000 45,000 60,000 140,000 Selling price per unit Ãâ€" $8 Ãâ€" $8 Ãâ€" $8 Ãâ€" $8 Total sales $280,000 $360,000 $480,000 $1,120,000 b. Schedule of expected cash collections: February sales $ 48,000 $ 48,000 March sales 112,000 $ 56,000 168,000 April sales 70,000 140,000 $ 70,000 280,000 May sales 90,000 180,000 270,000 June sales 120,000 120,000 Total cash collections $230,000 $286,000 $370,000 $ 886,000 c. Merchandise purchases budget: Budgeted sales in units 35,000 45,000 60,000 140,000 Add budgeted ending inventory* 40,500 54,000 36,000 36,000 Total needs 75,500 99,000 96,000 176,000 Less beginning inventory 31,500 40,500 54,000 31,500 Required unit purchases 44,000 58,500 42,000 144,500 Unit cost Ãâ€" $5 Ãâ€" $5 Ãâ€" $5 Ãâ€" $5 Required dollar purchases $220,000 $292,500 $210,000 $ 722,500 *90% of the next month’s sales in units. Case 8-29 d. Budgeted cash disbursements for merchandise purchases: April May June Quarter March purchases $ 85,750 $ 85,750 April purchases 110,000 $110,000 220,000 May purchases 146,250 $146,250 292,500 June purchases 105,000 105,000 Total cash payments $195,750 $256,250 $251,250 $703,250 2. Cravat Sales Company Cash Budget For the Three Months Ending June 30 April May June Quarter Cash balance, beginning $ 14,000 $ 10,250 $ 10,000 $ 14,000 Add receipts from customers (Part 1 b.) 230,000 286,000 370,000 886,000 Total cash available 244,000 296,250 380,000 900,000 Less disbursements: Purchase of inventory (Part 1 d.) 195,750 256,250 251,250 703,250 Sales commissions 35,000 45,000 60,000 140,000 Salaries and wages 22,000 22,000 22,000 66,000 Utilities 14,000 14,000 14,000 42,000 Miscellaneous 3,000 3,000 3,000 9,000 Dividends paid 12,000 0 0 12,000 Land purchases 0 25,000 0 25,000 Total disbursements 281,750 365,250 350,250 997,250 Excess (deficiency) of receipts over disbursements (37,750) (69,000) 29,750 (97,250) Financing: Borrowings 48,000 79,000 0 127,000 Repayments* 0 0 (16,000) (16,000) Interest* 0 0 (3,020) (3,020) Total financing 48,000 79,000 (19,020) 107,980 Cash balance, ending $ 10,250 $ 10,000 $ 10,730 $ 10,730 *This is the maximum amount (in increments of $1,000) that the company could repay to the bank and still have at least a ,000 ending balance. We will write a custom essay sample on Managerial accounting or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page ** $48,000 Ãâ€" 1% Ãâ€" 3 = $1,440 $79,000 Ãâ€" 1% Ãâ€" 2 = 1,580 Total interest = $3,020 Case 8-29 3. Cravat Sales Company Budgeted Income Statement For the Three Months Ended June 30 Sales revenue (Part 1 a.) $1,120,000 Variable expenses: Cost of goods sold (140,000 ties @ $5 per tie) $700,000 Commissions (140,000 ties @ $1 per tie) 140,000 840,000 Contribution margin 280,000 Fixed expenses: Wages and salaries 66,000 Utilities 42,000 Insurance expired 3,600 Depreciation 4,500 Miscellaneous 9,000 125,100 Net operating income 154,900 Interest expense 3,020 Net income $ 151,880 Case 8-29 4. Cravat Sales Company Budgeted Balance Sheet June 30 Assets Cash (Part 2) $ 10,730 Accounts receivable (see below) 450,000 Inventory (36,000 ties @ $5 per tie) 180,000 Unexpired insurance ($14,400 – $3,600) 10,800 Fixed assets, net of depreciation ($172,700 + $25,000 – $4,500) 193,200 Total assets $844,730 Liabilities and Stockholders’ Equity Accounts payable, purchases (50% Ãâ€" $210,000.) $105,000 Dividends payable 12,000 Loans payable, bank ($127,000 – $16,000) 111,000 Capital stock, no par 300,000 Retained earnings (see below) 316,730 Total liabilities and equity $844,730 Accounts receivable at June 30: 25% Ãâ€" May sales of $360,000 $ 90,000 75% Ãâ€" June sales of $480,000 360,000 Total $450,000 Retained earnings at June 30: Balance, March 31 $176,850 Add net income (Part 3) 151,880 Total 328,730 Less dividends declared 12,000 Balance, June 30 $316,730

Simple Conjugations for Tomber (to Fall) in French

Simple Conjugations for Tomber (to Fall) in French One of the most used verbs in the French language,  tomber  means to fall. This could be used for a physical fall or for something like falling in love (tomber amoureux). When you want to say fell or falling, a conjugation is required and that is the subject of this French lesson. The Basic Conjugations of  Tomber Tomber is a regular -er verb, which does make it easier because it follows the conjugation rules for the majority of French verbs. Words like rà ªver (to dream) and monter (to go up) use the same endings and with each of these you study, the new ones become a little easier. The indicative mood is the most common. It includes the basic present, future, and imperfect past tenses youll need for most conversations. Using the chart, you can study  tombers conjugations by finding the subject pronoun and the corresponding tense needed for your sentence. As an example,  je tombe  means I am falling and  nous tombions  means we fell. Present Future Imperfect je tombe tomberai tombais tu tombes tomberas tombais il tombe tombera tombait nous tombons tomberons tombions vous tombez tomberez tombiez ils tombent tomberont tombaient You might find it easier to memorize these conjugations if you practice them in context. Luckily, there are plenty of opportunities to do so with a verb like  tomber. An interesting expression you may like is  tomber dans les pommes  and its not used for to fall into apples like you may expect. The Present Participle of  Tomber As a regular verb, the  present participle  conjugation of tomber  is really easy. Simply add -ant  to the verb stem and you have  tombant. Tomber  in the Compound Past Tense Passà © composà © is the French compound past tense. Its main component is the past participle tombà ©, though youll also need an auxiliary verb. In this case, its à ªtre. To form it, conjugate  Ãƒ ªtre  into the present tense appropriate to the subject, then add the past participle. This produces phrases like  je suis tombà ©Ã‚  for I fell and  nous sommes tombà ©Ã‚  for we fell. More Simple Conjugations of  Tomber Its a good idea to add a few more basic conjugations of  tomber  to your vocabulary. Each has their own use and will only increase your French fluency. The subjunctive, for example, implies uncertainty to the act of falling.  The conditional  is used when the act is dependent on conditions. Both  the passà © simple  and  the imperfect subjunctive  are found in formal French writing. Subjunctive Conditional Pass Simple Imperfect Subjunctive je tombe tomberais tombai tombasse tu tombes tomberais tombas tombasses il tombe tomberait tomba tombt nous tombions tomberions tombmes tombassions vous tombiez tomberiez tombtes tombassiez ils tombent tomberaient tombrent tombassent All formality is lost when using  the French imperative. Here, you can skip the subject pronoun and simply use the verb so you can be as assertive and to the point as possible. Imperative (tu) tombe (nous) tombons (vous) tombez

Convection Currents and How They Work

Convection Currents and How They Work Convection currents are flowing fluid that is moving because there is a temperature or density difference within the material. Because particles within a solid are fixed in place, convection currents are only seen in gases and liquids. A temperature difference leads to energy transfer from an area of higher energy to one of lower energy. Convection is a heat transfer process. When currents are produced, matter is moved from one location to another. So, this is also a mass transfer process. Convection that occurs naturally is called natural convection or free convection. If a fluid is circulated using a fan or a pump, its called forced convection. The cell formed by convection currents is called a convection cell or  Bà ©nard cell. Why Convection Currents Form A temperature difference causes particles to move, creating a current. In gases and plasma, a temperature difference also leads to regions of higher and lower density, where atoms and molecules move to fill in areas of low pressure. In short, hot fluids rise while cold fluids sink. Unless an energy source is present (e.g., sunlight, heat), convection currents only continue until a uniform temperature is reached. Scientists analyze the forces acting on a fluid to categorize and understand convection. These forces may include gravity, surface tension, concentration differences, electromagnetic fields, vibrations, and bond formation between molecules. Convection currents can be modeled and described using convection-diffusion equations, which are scalar transport equations. Examples of Convection Currents and Energy Scale You can observe convection currents in water boiling  in a pot. Simply add a few peas or bits of paper to trace the current flow. The heat source at the bottom of the pan heats the water, giving it more energy and causing the molecules to move faster. The temperature change also affects the density of the water. As water rises toward the surface, some of it has enough energy to escape as vapor. Evaporation cools the surface enough to make some molecules sink back toward the bottom of the pan again.A simple example of convection currents is warm air rising toward the ceiling or attic of a house. Warm air is less dense than cool air, so it rises.Wind is an example of a convection current. Sunlight or reflected light radiates heat, setting up a temperature difference that causes the air to move. Shady or moist areas are cooler, or able to absorb heat, adding to the effect. Convection currents are part of what drives global circulation of the Earths atmosphere.Combustion generates conv ection currents. The exception is that combustion in a zero-gravity environment lacks buoyancy, so hot gases dont naturally rise, allowing fresh oxygen to feed the flame. The minimal convection in zero-g causes many flames to smother themselves in their own combustion products. On a larger scale, atmospheric and oceanic circulation are the large-scale movement of air and water (the hydrosphere), respectively. The two processes work in conjunction with each other. Convection currents in the air and sea lead to weather.Magma in the Earths mantle moves in convection currents. The hot core heats the material above it, causing it to rise toward the crust, where it cools. The heat comes from the intense pressure on the rock, combined with the energy released from natural radioactive decay of elements. The magma cant continue to rise, so it moves horizontally and sinks back down.The stack effect or chimney effect describes convection currents moving gases through chimneys or flues. The buoyancy of air inside and outside of a building is always different due to temperature and humidity differences. Increasing the height of a building or stack increases the magnitude of the effect. This is the principle on which cooling towers are based.Convection currents are evide nt in the sun. The granules seen in the suns photosphere are the tops of convection cells. In the case of the sun and other stars, the fluid is plasma rather than a liquid or gas.

THE STUDY OF EXPECTATION GAP IN THE ACCOUNTING EDUCATION OF UNITED Assignment

THE STUDY OF EXPECTATION GAP IN THE ACCOUNTING EDUCATION OF UNITED KINGDOM & EMPLOYERS REQUIREMENT (ANALYSING LEEDS UNIVERSITY) - Assignment Example The review of literature indicates a framework of educating students in the accounting departments. The studies involve study of the expectation gap, the performance and the constraints gap to help students understand the analysis of the accounting platform. The survey questionnaire aims at providing supportive information to students and universities concerning the study of expectation gap in the accounting education of the United Kingdom. The survey seeks to find information concerning student and employee requirements in the University of Leeds. University Name: Please take time to fill the questionnaire. This will take approximately 30- 45 minutes to finish the questionnaire. Correct response to the questions is important, as it will assist the school and the human resources department in securing a better curriculum in the accounting sector. Thank you for taking time to assist the school in becoming a better education provider. Purpose of the Survey The survey gives insight of t he thoughts of students concerning the present accounting curriculum. It enables the management of Leeds University to handle the challenges concerning the current curriculum. The questionnaire is important hence provide valid and correct information. SECTION A (Answer the provided questions by ticking the appropriate answer) 1. What is your gender? Male Female 2. Kindly tick your year of teaching Freshman Sophomore Junior Senior 3. How old are you? Kindly check the ONE that best describes Under 14 14 -15 16 -17 18 -19 20+ 4. On average, how can you describe your students accounting grades? Kindly chose ONE response Not very good Fair Average Very good Excellent 5. At what level did you start teaching accounting? High school College University Job/ Working Uncertain 6. What aspects would you like to see change in the education sector? Teaching mode Teaching hours Number of classes available Number of lecturers available 7. For how long have you been in Leeds? Kindly pick the ONE tha t describes you Since birth More than 10 years 5-10 years Less than 5 years Analysis of the health 8. Describe your health by choosing ONE response Poor Fair Good Very good Excellent 9. Do you have any long term disabilities like leukemia Yes No 10. In response to the long-term disability, kindly choose the relevant topic I do not have such a condition Learning disability Physical disability Emotional disability Allergies (food) Allergies (respiratory) Asthma Diabetes Other (please specify ______________________________________ 11. Do we need to reconsider the condition before putting you in long hours? I do not have such a condition Yes No 12. In general how satisfied or dissatisfied do you feel about your job? Very Satisfied Satisfied Not sure Dissatisfied Very dissatisfied 13. Express your feelings about the terms and conditions Very Satisfied Satisfied Not sure Dissatisfied Very dissatisfied 14. Check the appropriate box that shows the level of satisfaction. Please check appropr iate box. Satisfied Dissatisfied Uncertain Salary Amount of annual leave Security of employment Flexibility of working hours Your input into decision making within the organization Opportunity for professional development 15. Does the organization support your place to work? Yes No Not sure 16. Does the university provide a friendly place to work? Yes No Not sure 17. How satisfied or dissatisfied are you with the general guidance and managerial direction from the university? Very Satisfied S

Presuade Your Employer You Deserve A Raise Essay

Presuade Your Employer You Deserve A Raise - Essay Example I believe that I have been exceptional in all that time that I have served the organization till now. I know that I have not given a full year to the organization but whatever, I have given is worth praise. There are people who work to earn a living. There are those who work to keep themselves occupied. There are also those who work to achieve a sense of fulfillment and those who work for a multiple combinations of the three reasons mentioned above. I work because I am passionate about what I do. It is not surprising then, to see that in a short span of a little under a year, I have achieved more than what you could have expected and have delivered on all fronts. When I joined the organization, I was completely new to the concept of the retail industry. However, in a small amount of time, I have achieved what was not possible for other people. I was given a higher position keeping the fact aside that I was not an experienced person. I appreciate the step taken by the organization in terms of my upgrade. However, I was also looking towards a raise in my pay. I do not think you can deny the fact that the consumer appliances segment of our store has been extremely well organized and my peers appreciate my contribution to the changes that I had suggested – and which have been implemented – in the way we track our inventory. I think the suggestions were a function of the time I had spent at the store and also my ability to innovate. Using the new inventory tracking process, our suppliers can be requested for replenishing the stock before a particular item gets completely depleted. You might like to believe that inventory management is not a central issue for a retail store, but I would request you to walk down to any of the other consumer electronics stores across the mall. You would observe two things: Another critical factor that I would like to draw your attention to is that I have developed my own set of regular clientele

Catch-22 and Dr. Strangelove Essay Example for Free

Catch-22 and Dr. Strangelove Essay \In Joseph Heller’s novel, Catch-22, and Stanley Kubrick’s film, Dr. Strangelove, the bureaucrats are illustrated as illogical and untrustworthy. Heller’s attention to administrations such as the hospital and the military-establishment are recognized for their unreliable rationality and logic. Similarly, in Dr. Strangelove, Kubrick mocks the absurdities of the nuclear arms race and of the officials of the United States and The Soviet Union as he conveys the malfunction of highly placed government bureaucrats. Catch-22 and Dr. Strangelove, are two satirical and somewhat historical works that effectively comment on the corrupt and perhaps insane bureaucrats. The lives of Yossarian and the men in his squadron in Catch-22 are not determined by their own decisions but instead, by the decisions of the impersonal bureaucracy. The bureaucrats are absolutely oblivious to any attempt the men make to reason with them logically. Major Major, for example, will only see people in his office if he is not there and sends them away when he returns. Doc Daneeka refuses to ground Yossarian for his â€Å"insanity† because Yossarian’s desire to be grounded reveals that he is sane. Doc Daneeka elaborates in his discussion of Orr, Yossarian’s tent-mate. â€Å"Orr was crazy and could be grounded. All he had to do was ask; and as soon as he did, he would no longer be crazy and would have to fly more missions. Orr would be crazy to fly more missions and sane if he didn’t, but if he was sane he had to fly them. If he flew them he was crazy and didn’t have to; but if he didn’t want to he was sane and had to.† (46) Yossarian and the others in his squadron find that what they say and do has little effect on their fate when the bureaucracy controls them. Their only option is to follow the illogical rules and use what is expected of them to their own advantage. Yossarian’s superiors are more concerned with getting a promotion than they are about winning the war. Colonel Cathcart, the colonel in command of Yossarian’s squadron, tries to impress his superiors by â€Å"bravely† volunteering his men for dangerous combat. Cathcart’s only concern is being promoted to general. Cathcart continually raises the number of combat missions required of the men before they can be sent home. Yossarian argues with Doc Daneeka who explains, â€Å"†¦regulations do say you have to obey every order. That’s the catch. Even if the colonel were disobeying a Twenty-seventh Air Force order by making you fly more missions, you’d still have to fly them, or you’d be guilt y of disobeying an order of his.† (58) Similarly, Dr. Strangelove also criticizes the malfunctions of bureaucracy and the inadequacy of officials. General Jack Ripper gives the command to attack the Soviet Union without permission from his superiors or the president. Instead of discussing the idea of an attack with is supervisors, Ripper orders the attack because, according to him; Clemenceau†¦ said war was too important to be left to the generals. When he said that, 50 years ago, he might have been right. But today, war is too important to be left to politicians. They have neither the time, the training, nor the inclination for strategic thought. I can no longer sit back and allow Communist infiltration, Communist indoctrination, Communist subversion and the international Communist conspiracy to sap and impurify all of our precious bodily fluids. -Criticizes the malfunction of bureaucracy. (Dr. Strangelove) Mr. President’s embarrassment about the issue demonstrates bureaucracy does not function appropriately because those lower in command should not determine the launch of nuclear powers. Further exemplifying the inadequacy of the bureaucrats, the Joint Chiefs in the war room show their unprofessional and blatant prejudice, especially toward the Russians. General Buck Turgidson clearly states, Im beginning to smell a big fat Commie rat, and later refers to them as a bunch of ignorant peons. The Germans are also referred to when Turgidson, upon learning Dr. Strangeloves original German name, passes it off as a Kraut by any other name. Dr. Strangelove, the character, also calls into question the reliability of people in power. Strangelove is clearly the Presidents scientific adviser in the war room whose appearance copies the mad scientist stereotype with his wild hair, black gloved hand, and his clearly brilliant yet insane mind. Through their presentation of bureaucracy, Heller and Kubrick display why officials and politicians are unfit to make important decisions concerning the safety of the country. Catch-22 conveys this notion through the bureaucracy’s enforcement of impractical rules and Catch-22’s on the eccentric men in Yossarian’s squadron. Kubrick suggests the same concept in Dr. Strangelove by frequently demonstrating the disorder, madness and prejudice of the officials. In either piece, the reader carries away the certainty of the instability of the men in control of important military and national decisions.

Intellectual Property and the Future of the Music Industry Essay

Corruption, Conscience, and Copyright: The Current State of Intellectual Property and the Future of the Music Industry â€Å"Today’s pirates operate not on the high seas but on the Internet, in illegal CD factories, distribution centers, and on the street. The pirate’s credo is still the same--why pay for it when it’s so easy to steal? The credo is as wrong as it ever was. Stealing is still illegal, unethical, and all too frequent in today’s digital age. That is why RIAA [Recording Industry Association of America] continues to fight music piracy.† – RIAA.com The human conscience is a powerful tool. And if you are like most Americans, you probably consider yourself to be a rather moral person, at least based upon your own morality, your own conscience. Chances are, however, that you have engaged in some form of illegal activity during your life: speeding down a familiar road, jaywalking across an empty street, driving with a broken blinker. Assuming you consider yourself to be of high moral stature, how does your conscience reconcile this? The answer: the unlawful does not always imply the unethical, and that which is illegal is not necessarily immoral. Since the digital revolution in the 1990’s, the downloading of copyrighted music has skyrocketed. The Recording Industry Association of America, RIAA, has denounced music piracy, claiming that it is both illegal and immoral. And they drive a hard bargain, arguing the following: 1. Downloading music is against the law. 2. Downloading music betrays the songwriters and recording artists who create it. 3. Downloading music stifles the careers of new artists and up-and-coming bands. 4. Downloading music threatens the livelihood of the thousands of working people who are em... ...ec_39_00000201----000-.html Blackburn, David. On-line Piracy and Recorded Music Sales. Dec. 2004. http://www.katallaxi.se/grejer/blackburn/blackburn_fs.pdf CD Baby. Who/What are we? http://cdbaby.com/about Holahan, Catherine. Downloading Music’s New Deal. Business Week Online. Oct. 31, 2006. p8-8, 1p. Leach, Eric and Henslee, Bill. Follow the Money: Who's Really Making the Dough? Nov. 1, 2001. http://emusician.com/mag/emusic_follow_money_whos/index.html Lessig, Lawrence. The Limits of Copyright. June 19, 2000. http://www.lessig.org/content/standard/0,1902,16071,00.html McCourt, Tom, and Burkart, Patrick. When Creators, Corporations and Consumers Collide: Napster and the Development of On-line Music Distribution. 2003. Sage Publications. Music United. Why You Shouldn't Do It. http://www.musicunited.org/4_shouldntdoit.html

American Writers Essay

List of American Novels for Research Project English 11H Historical/War Red Badge of Courage, Stephen Crane Killer Angels, Michael Shaara A Farewell to Arms, Ernest Hemingway The Things They Carried, Tim O’Brien Cold Mountain, Charles Frazier My Brother Sam is Dead, JL Collier African-American Beloved, Toni Morrison (mature themes) I Know Why the Caged Bird Sings, Maya Angelou Native Son, James Baldwin The Color Purple, Alice Walker (mature themes) Invisible Man, Ralph Ellison Their Eyes Were Watching God, Zora Neale Hurston Malcom X (autobiography- lengthy) A Lesson Before Dying, Ernest Gaines. The Autobiography of Miss Jane Pittman, Ernest Gaines Go Tell it on the Mountain, James Baldwin Black Boy, Richard Wright (memoir) Dystopian/Futuristic/Science Fiction Ender’s Game, Orson Scott Card Slaughterhouse 5, Kurt Vonnegut Catch-22, Joseph Heller The Giver, Lois Lowry Martian Chronicles, Ray Bradbury Realism/Naturalism/Regionalism The Call of the Wild, Jack London White Fang, Jack London O’Pioneers, Willa Cather My Antonia, Willa Cather Maggie, Girl of the Streets, Stephen Crane The Jungle, Upton Sinclair Adventures of Tom Sawyer, Mark Twain Miscellaneous Modern/Contemporary novels The Secret Life of Bees, Sue Monk Kidd. The Natural, Bernard Malamud (baseball; Jewish myth) One Flew Over the Cuckoo’s Nest, Ken Kesey (set in a mental asylum) House on Mango Street, Sandy Cisneros Of Mice and Men, John Steinbeck The Joy Luck Club, Amy Tan (Chinese-American culture) The Help, Kathryn Stockett (set in 1960s; about African-American maids in the South) Shoeless Joe, WP Kinsella (baseball) Franny and Zooey, by JD Salinger (from 1950’s; If you have an interest in world philosophy or eastern religion, you’d probably like this. ) The Outsiders, S. E. Hinton The Bell Jar, Sylvia Plath (mature themes) Research Novel Lottery Preparation. Native American Lone Ranger and Tonto Fistfight in Heaven, Sherman Alexie Absolutely True Diary of a Part-time Indian, Sherman Alexie Ceremony, Leslie Marmon Silko Quest/Journey On the Road, Jack Kerouac The Old Man and the Sea, Ernest Hemingway The Road, Cormac McCarthy Dark Romanticism The Scarlet Letter, Nathaniel Hawthorne (set in Puritan New England; challenging) ark Roma nticis m he Scarlet Letter For our project, you will read one of the books on this list and (later) research the reasons this has become a significant member of the American literary canon. (What literary elements make it unique or powerful? What impact has this work had on our history or way of thinking? ) During our next class, we will conduct a lottery so that each student has a different title. To help insure that you end up with a title that you will enjoy, please spend 20-30 minutes choosing 4 titles from the list that you will be pleased to read and research. You ARE NOT allowed to read any book that you have previously read. I strongly suggest you do some Internet searches on various titles to examine what those books are all about, and to determine if their content might appeal to you. You also need to make sure ahead of time that your choices are okay with your parents. Remember, we will draw names and choose titles, so it’s highly likely you won’t get your first choice. You may, in fact, want to come up with more than four choices! Four top choices: 1_________________________________________________________________________ 2_________________________________________________________________________ 3_________________________________________________________________________ 4_________________________________________________________________________ Please see side two for list of titles—————————————————————————–?

Nairobi Securities Exchange

Investors use earning information to calculate the level of cost of equity capital. The cost of equity for a firm is computed by adding up the risk free rate and a premium for exposure to systematic risk as follows: Cost of equity = Risk-free rate + (risk measure) x (Market risk premium) 1.4 Nairobi Securities Exchange The Nairobi Securities Exchange offers a trading platform for both the local and international investors who are looking to gain exposure to Kenya and Africa's economic growth. NSE play a critical role in the growth of Kenya's economy by encouraging savings and investment by helping local and international companies access cost-effective capital. NSE is regulated by the Capital Markets Authority of Kenya. CMA approves public listing and fosters investor's confidence by ensuring rules, regulations and requirements for trade are complied with and market integrity is sustained in order to guarantee orderly, fair and efficient markets (CMA, 2016). CMA retains investor's confidence by ensuring rules, regulations and requirements for trade are complied with and market integrity is maintained. CMA also plays an important responsibility of mobilization and allocation of capital resources in the economy in order to provide incentives for long term investments (NSE, 2016) In Kenya, listed firms are required to produce quarterly, semi-financial statements and audited annual reports. Financial statements are prepared according to International Financial Reporting Standards (IFRS) and audited using International Standards on Auditing (ISA). The CMA guidelines encourage firms to disclose additional information on director and management remuneration (CMA, 2016). The performance of the NSE is an indication as to whether the investors have trust in the safety of their investment, trading goes down significantly with low investor's confidence.NSE is categorized into three different market segments namely the Main Investment Markets (MIMS), the Alternative Investment Markets (AIMS) and the Fixed Income Securities Market Segment (FISMS). According to CMA (2017) as at December 2017, listed companies at the NSE were 64, categorized into 11 sectors namely: Agricultural sectors, Automobiles and Accessories sector, Banking sector, Commercial and Services sector, Construction and Allied sector, Energy and Petroleum sector, Insurance sector, Investment sectors, Manufacturing and Allied sector, Telecommunication and Technology sector and Growth and Enterprise Market Segment sector Banking sector is the largest sector represented with 18% of the total firms listed at the NSE, second is commercial and Services sector and Manufacturing and Allied with 15% each, Agricultural sector which is one of the country major economic sector is represented by 11% of the total firms quoted. Telecommunication and Technology and Growth and Enterprises Market sectors were the lowest each with 2% of the total firms quoted. Through NSE, disclosures have had an impact on how investors trade, when the level of disclosure is high, investors confidence increases hence higher level of trading. The CMA guidelines encourage firms to disclose additional information on director and management remuneration (CMA, 2016). The performance of the NSE is an indication as to whether the investors have trust in the safety of their investment, trading goes down significantly with low investor's confidence.1.5 Statement of the Problem Inherent shortcomings of traditional reporting have prompted development of voluntary disclosure models. Transparency and disclosure creates and sustains confidence of investors, stakeholders and the winder society and provides opportunity for continuous improvement of business structure and processes. Corporate governance is currently an area broadly being researched on by many scholars, due to increased application of corporate governance practices all over the world after major corporate scandals due to lack or improper disclosure. This study targets one pillar of corporate governance on the cost of equity capital, which is voluntary disclosure. Disclosed information provides a signal with an aim of revealing the state of a company to the investors for consideration in investment activities. Information has important and vital role, information should be understandable, complete, accurate, timely and reliable (Fahdiansyah, 2013). Information is considered informative if it is relevant and can change stakeholder's belief and gives confidence to investors. Annual reports are important tools in communicating essential information about a company both financial and non financial information (Barako, 2007). The key drivers of corporate value in critical areas of the business are not reported under the traditional accounting model, as such theorist and researchers have begun to develop models for additional voluntary information disclosure. The concept of voluntary disclosure has been growing given the needs to keep with the clients expectations. Investors and clients have challenged companies on the need to provide more than what is required by the law and regulations. In Kenya, investors obtain essential information regarding trading activities of listed companies in NSE through their annual reports and other bulletins from CMA. Studies done in Kenya context include a study Mwangi and Mwiti (2015) investigated the impact of voluntary disclosure on stock performance, Mutiva (2015) examined the effect of voluntary disclosures on financial performance of firms quoted at NSE, Lopokoiyit (2012) investigated the effect of the corporate governance practices on share prices of companies listed at the NSE, these studies found a direct relationship between voluntary disclosure and company performance. Study by Asava (2013) investigated the effect of voluntary disclosure on stock returns of listed companies, her study reveals that there was no correlation between voluntary disclosure and stock returns. Barako (2007) in his study of determinants of voluntary disclosure in Kenyan listed company's' annual reports, observed that companies cannot link their board disclosure, foreign ownership and firm size significantly affect financial performance. Studies by Diamond and Verrecchia (1991), Botoan (1997), Hail (2002), Botosan and Plumlee (2002), Richard and welker (2001) and Lopes and Alencar (2008), shows a negative association between voluntary disclosure and the cost of equity capital using direct approach. However these studies were done in developed economies with few studies done in the context of developing nations, these studies tested the association between voluntary disclosure and several aspects such as profitability (Verracchia and Webber, 2006) stock liquidity. However most of these literatures are leaning more on factors that influence the extent of voluntary disclosure. Literatures from previous studies conducted locally have skewed more to factors that influence extent of voluntary disclosures with few on the effect of voluntary disclosure on the cost of equity capital on firms listed in NSE, the motivation of this research is developed by the fact that majority of past research have given conflicting arguments creating a dilemma that necessitates further research on the effect of voluntary disclosure on the cost of equity capital of firms in Kenya. 1.6 Objective of the study The general objective of this study is to examine the effects of voluntary disclosure on the cost of equity of capital. The following are the specific objectives.i). To examine the effect of forward-looking information voluntary disclosure on the cost of equity capital.ii). To determine the effect of financial information voluntary disclosure on the cost of equity capital.iii). To evaluate the effect of corporate social responsibility information voluntary disclosure on the cost of equity capital. iv). To establish the effect of Board information voluntary disclosure on the cost of equity capital. 1.7 Research question The study will be guided by the following research questions.i. What if the effect of forward-looking information disclosure on the cost of equity capital?ii. What is the effect of financial information disclosure on the cost of equity capital? iii. What is the effect of Corporate Social Responsibility information disclosure on the cost of equity capital? iv. What is the effect of Board Size information disclosure on the cost of equity capital? 1.8 Significance of the study Voluntary disclosures provide an extra way for investors to judge a company's performance. This study will therefore enable the investors to make better investment decisions and better capital allocations. It will also emphasize on increased transparency which reduces information asymmetry that may exist between the investors and the management team. This study will likewise extend the literature on voluntary disclosure to academicians. The study will also help listed and unlisted companies in Kenya in understanding the role of voluntary disclosure in the management of their firms with aim to reduce cost of its equity capital.CHAPTER TWO LITERATURE REVIEW2.1 IntroductionsThis chapter introduces theories that explain the subject of voluntary disclosure and past empirical studies relating to the variables under the study.2.2 Theoretical ReviewReporting and disclosure are the most important tools that companies use to communicate with interest-related parties. Several theories have been documented to relate voluntary disclosure. They are Agency theory, Capital Need theory, Signaling theory and Stakeholder theory. Literature review presents theories about the subject of voluntary disclosure. 2.2.1 Agency TheoryAgency theory was developed by Jensen and Meckling in 1976 who defined agency relationship as a contract under which one or more persons delegate decision making authority to another person to perform some services on their behalf. Agency theory explores the relationship between a principal and an agent. In the context of a company, the manager (agent) acts on behalf of the shareholder (Principal). Company owners empower managers to make decisions on their behalf. Shareholders do not actively participate in the management of their investments instead they engage managers to act on their behalf. This makes managers have information advantage hence creating incentive to maximize their own value as opposed to that of the shareholders. Scott (2012) stated that the application of agency theory is used to explain the conflict of interest between managers and investors. The agency problem arises due to conflict of interest between the investors and management because their goals are not in agreement. Agency theory is concerned with solving two problems arising in the agency relationship: an agency problem arises when there is a conflict between the goals of the principal and that of the agent making it difficult for the principal to accurately evaluate and determine the value of decision made by the agent. Secondly problem of risk sharing arising from diverse attitude of the principal and the agent towards risk, the problem is each tends to select a different action when the risk happens (Depoers, 2000). One way in which agency problem can be minimized is by means of contract, it helps in bringing shareholders interest in line with managers' interests (Healy and Palepu, 2001).These contracts require management to disclose relevant information to investors and to creditors. Consequently principal can check if the management complied with the contract agreements and evaluate if their decisions are in alliance with their interest, monitoring managers by mean of contract comes with a cost at the expense of manager's compensation and in order to reduce any potential conflict, principals incur monitoring costs while agents incur bonding costs which guarantees the interest of the principal is prioritized. Agency costs are the total of monitoring costs, bonding costs and residual loss. According to agency theory, disclosing information voluntary is viewed as a better mechanism of mitigating the agency problem between the agents and principals (Hawashe, 2014). Managers who posses private information about a firm are able to use their information they posses to make credible and reliable communication to interested parties to optimize the value of the firm (Barako, 2007), these disclosure may include investment opportunity and financing policy of a company, however managers who pursue their own interest may fail to make proper information disclosure. Managers increases the level of voluntary information which is expected to reduce the agency cost (Barako et al., 2006) and also to convince the external users that managers are acting in an optimal way (Watson et al., 2002). OCED (2004) states that a strong disclosure policy is one of the expected monitoring forms that is useful as a basis of adequate information for investment decision making by investors. 2.2.2 Capital Need TheoryThe main aim any company is to attract external finance to increase their capital either through debt or equity, however companies are disclosing more information voluntary as a measures of minimizing costs of raising its capital. The capital need theory can help to explain the reasons behind the disclosure

project scope essays

project scope essays PROJECT SCOPE - CDL Entertainment, Inc. is a worldwide company with offices in the United States, Europe, Japan, and South America. The company engages in the development of audio and video special effects for the entertainment and advertising industry. Although the company is a rather large company consisting of approximately 1,000 employees, the offices are not networked causing a need to improve communication with one another. In todays technology world, this has become a major downfall for CDL to sustain a competitive edge in a very ruthless industry. The management at CDL needed to determine if networking all of their offices was a viable solution to the problem or if there were other alternatives to the problem. The problem CDL Entertainment faced was the company was incurring excess costs associated with the current computer systems located at each location and the current business processes used at each office. As the project team reviewed the current situation, it was determined each office had a loss of nearly 20% of its projected annual revenue due to poor turnaround time and missed client deadlines (this is discussed in more detail in the Current System Costs section beginning on page 14). As an example of this, one of CDLs customers, JPR Incorporated, decided to discontinue doing business with the company after more than a ten-year relationship. The reason for this was due to another missed deadline on January 13, 2002. This was the eighth deadline missed, after missing seven previous deadlines. The consequences of CDL Entertainment missing this deadline caused JPR Incorporated to lose a major contract with Time Warner. The problem occurred when CDL Enterprises was to provide necessa ry audio and visual equipment to JPR Incorporated to complete a major production shoot of an upcoming movie in production negotiations with Time Warner. CDL did not meet this deadline due to the equipment being held up in the shi...

Architecture and Commerce-Free-Samples for Students-Myassignment

Carson Pirie Scott Department Store was the first building in the nineteenth century that incorporated the word skyscrapers in the city of Chicago 1 . The fruits of a new prosperity are enjoyed when the dawns of enlightened views break through the dark problems that surround us thereby creating a new freedom for the human kind Carson Pirie Scott Department Store breaks the monotony of crowds of the tall building along State and Madison Streets of Chicago. The structure is constructed of bronze on the ground floor with the facades finished on broad white. The building serves to illustrate the relationship between architecture and commerce. Being an architect of the neoclassical times, Sullivan maintained his phrase of form follows function in his design work. He thus resorted to coming up with a building that reflects the social functions that are to be served by the space 2 .   This was after he analyzed the challenges of high-rise commercial architecture. He illustrates his philosophy through describing an ideal tripartite skyscraper in which the first level which is the base level is the ground floor that houses business activities. The ease of public access, open space and light dominate. The second level is accessed by the public through the 3 staircase. The next level encompasses offices which have the same design because they serve the same function. As was argued by some of the modernist architects of the time, Sullivan based his design achieving more of functionality than beauty. It is possible to build a beautiful structure but at that time Sullivan went for a structure that is ugly but functional as opposed to just erecting just faà §ade architecture. Sullivan illustrates his philosophy in the design of Carson Pirie Scott Department Store in which he gives emphasis to the lower street level and entrance that attract shoppers into the store. He achieves that by using very large windows on the ground floor used in displaying products, placing the three doors that serve as the entrance within a rounded bay at a corner of the site 4 . The placement of the doors makes them visible from any direction when one is approaching the building. Giedion, Sigfried. Space, Time and Architecture: The Growth of a New Tradition. New York: Harvard University Press, 2013. Siry, Joseph. Carson Pirie Scott: Louis Sullivan and the Chicago Department Store. Chicago: University of Chicago Press, 2015.

The Legacy of Keynes Essay Example | Topics and Well Written Essays - 2750 words

The Legacy of Keynes - Essay Example The influence of J.M. Keynes work is immense in the field of economics as he revolutionised economics with his classic book written in 1936, The General Theory of Employment, Interest and Money and changed the way we perceive the role of economy and governments in social life. With the introduction of the theory of income expenditure multiplier in 1931 by Richard Kahn, Keynes worked on the basis of his work which was to bring about revolutionary ideas to the field of economy giving rise to a new branch of economics known as the 'macroeconomics' (Keynes, 1936/1974). In a two volume Treatise on Money published in 1930 Keynes established the Wicksellian theory of the credit cycle in which the initial ideas of the liquidity preference theory of interest are suggested. This has been considered as one of the most important of Keynes contributions along with his ideas on marginal efficiency of investment. The impact of his 1936 book The General Theory of Employment, Interest and Money has been unprecedented not only because of the timing of its publications but also due to its unique approach that brought in a new brand of Keynesian economics (Coddington 1976; 1260; Trevithick 1992). This book was released during the period of the Great Depression and had major political, social and economic impact. Within the general theory, Keynes sought to develop a theory that can explain the formation of aggregate output and employment considering aggregate demand as the determining factor. He introduced certain revolutionary concepts in economics such as the co ncept of demand-determined equilibrium. He also suggested that price flexibility is generally ineffective as a cure to unemployment. Keynes also gave a unique theory of money based on "liquidity preference", and highlighted the role of radical expectations (Trevitihick 1992; Keynes 1936/1974). He worked on the marginal efficiency of investment schedule and taking a detour from Say's Law reversed the savings-investment causation relationship, and also suggested the possibility of government fiscal and monetary policy that can be used to counter the problems of recessions and control economic booms for a balanced and predictable economy.The Keynesian ideas were controversial as they were revolutionary and although Keynes had support of progressive economists he faced severe opposition from traditional ones. The "IS-LM" representation of Keynes's theory initiated the "Neoclassical-Keynesian Synthesis" and became the most popular and dominant form of macroeconomics by the 1960s (Chrysta l et al, 1994; Snowdown et al.1994). The Keynesian synthesis however went through changes in the Post Keynesian era although Keynes' theories were retained in the original forms. Keynes influence was pronounced due to the combined factors of the Depression, post war economy and Keynes revolutionary ideas that changed the way economists perceived or interpreted the role of government and concepts of economic theories (Snowdown et al, 1994). The inflationary gap of the post war era as identified by Keynes led to his emphasis on compulsory savings and setting up of an international commodity reserve. In a later