Accounting Essays

1. Introduction Kia motors is one of top 10 carmakers in the world. As this Korean automobil company is showing an impressive performance in such a highly competitive global market, even by newly included into the Best Global Brands 2012 Top 100, valuating this company will be an interesting subject. …

A sin tax is a kind of sumptuary tax: a tax specifically levied on certain generally socially proscribed goods and services, for example alcohol, tobacco and gambling. Sumptuary taxes are ostensibly used for reducing transactions involving something that society considers undesirable, and is thus a kind of sumptuary law. Sin …

a. (i.) According to FASB Statement of Concepts No. 6, paragraph 25, assets are probable future economic benefits obtained or controlled by a particular entity as a result of past transactions or events. They represent probable future economic benefits controlled by the enterprise. According to FASB Statement of Concepts No …

            Using the internet has become a popular way for many people to shop and one of the main reasons that it remains popular is because customers don’t have to worry about paying taxes on the items they buy. By taxing internet purchases, many people will refrain from this type …

Sin Tax is a tax levied on products or activities, which are considered sinful or harmful and considered as objects of social disapproval, such as liquor and tobacco. Sin tax or sometimes called sumptuary tax is meant to reduce the consumption of those products or services by taxing them, aside …

Required: a. Define the term temporary difference. b. List the examples of temporary differences contained in SFAS No. 109. c. Defend inter-period income tax allocation. a. Temporary Difference – Definition An assumption inherent in an enterprise’s statement of financial position prepared in accordance with generally accepted accounting principles is that …

Diamond Chemicals is a leading producer of polypropylene, the polymer used in a variety of products (ranging from medical products to packaging film, carpet fibers and automotive components) and is known for its strength and elasticity. Diamond Chemicals is producing polypropylene at Merseyside (England) and in Rotterdam (Netherlands). Both factories …

Accounting information helps users to make better financial decisions. Users of financial information may be both internal and external to the organization. Internal Users of accounting information are those individuals directly involved in managing and operating an organization and users within the company. They include managers, internal auditors, sales staff, …

The maximum amount of credit an employer can claim against the FUTA tax is 5.4 percent. What are the requirements that must be met? The FUTA tax rate is 6.2%. However, employers can claim up to a 5.4% credit against but there are certain requirements that should be fulfilled by …

How will a buyback of shares provide a “quick fix” for EPS (earning per share)? A buyback allows companies to invest in themselves. By reducing the number of shares outstanding on the market, buybacks increase the proportion of shares a company owns. Buybacks can be carried out in two ways: …