Overview of Accounting Essay Example for Free

Overview of Accounting Essay The audiences of financial statements and managerial reports include the shareholders, employees, prospective employees, customers, suppliers, the government, the stock exchanges, investors, lenders and the public at large. What is important is that each audience has a different perspective in reading the financial statements and managerial reports. For example, a lender would like to know the leverage of the company, if it has the capacity to service debt and if the loans to the company would be well secured. There are several purposes served in preparing financial statements and managerial reports. The financial statements are designed to show its audience, the companies finances, that is how the company got its finances, what it was used for and where is it being currently used (Luecke, R. 2002). For this purpose there are four main financial statements that is the income statement, the cash flow statement, the balance sheet and the statement of shareholders equity. In general an income statement has the purpose of showing how much revenue a company earned in a period of time, the balance sheet shows the company’s assets, liabilities and shareholders equity, the cash flow statement shows the inflow and outflow of cash and the purpose of the statement of shareholders equity is to show changes in the ownership of company’s shareholders over a period of time. The nature of the income statement is in the form of a report that shows the costs and expenses that the businesses incurs in order to earn its revenue. It gives the net earnings of the company. The nature of balance is such that it provides point wise information about the assets, liabilities and shareholders equity. The nature of a businesses balance sheet is such that it is set up like the basic accounting equation. Usually on the left hand side the companies list the assets and on the right hand side they list their liabilities with the shareholders’ interest at the bottom. This arrangement differs from country to country. For instance, in some countries the assets are listed on the right hand side. However, the basic nature of the balance sheet remains the same. The nature of the cash flow statement is such that it can inform its audience if the business generated cash or not. The cash flow statement is a report that shows cash changes over time instead of exact currency amounts at a point in time. It simply uses and rearranges information from the balance sheet and income statement of the business. The most important report that is issued by the management of a company is the annual report (Stittle, J. 2003). The nature of this report is such that it has detailed financial and business information required by law of the country in which the company is registered, modern annual reports have impressive pictures and stories that eulogize the company’s performance in the past year. The information contained in this report can help the audience make informed and ethical decisions. In the USA the SEC requires that the audited annual report be sent to every shareholder at the end of the year. In this the management comments about the future. Form 10-K required to be filled in the USA ha more detailed financial information. The company’s financial performance is described in a section of the quarterly or annual report that is called â€Å"Management’s Discussion and Analysis of Financial Condition and Results of Operation,† In this section of the Annual Report the management describes its own understanding of the financial condition of the company. The management in this section of the annual or quarterly report describes what it understands of the current financial condition of the business. It also gives its view of the relevant trends and challenges that the business faces. This allows the audience to see the financial condition of the business from the perspective of management and allows the audience to make informed and ethical decisions. In other words it provides the audiences the background that is required to study and understand the financial statements. Financial accounting information can be used in making informed and ethical business decisions. How? The income statement shows the earning per share, a calculation that tells you how much you as a shareholder would receive if the company distributed all its earnings. This allows you to make an invest/ non invest decision. Giving more information about the financial health of the company is the cash flow statement. It divides cash flow into flows from operating activities, investing activities and financing activities. This informs not only the investors but also the management, employees, suppliers and customers about the source of cash for the company and allows them to make better decisions. The footnotes of the reports give important information that helps make efficient and ethical decisions. The footnotes refer to stock options, pension plans, income taxes and important accounting policies and practices. For example, a company may be showing an inflated profit figure because its accounting practices have changed but reading the footnotes helps the audiences make better decisions and ethical decisions with regards to the company. To make ethical and informed decisions it is important to read between the lines of these reports. How is this accomplished? By doing ratio analysis! Commonly the ratios that are examined are debt-to-equity ratio, inventory turnover ratio, operating margin ratio, P/E ratio and working capital. Consider this, well before the Enron scam exploded; several investors were able to smell by examining the ratios that something was wrong with the company. They decided to sell off their stocks and avoided losses. To sum, the intention of the financial statements and management report is to inform the different stakeholders of a business. If these statements are carefully analyzed and understood they help these stakeholders make an informed and ethical decisions.

Brave New World and Gattaca :: Brave New World

Brave New World and Gattaca Huxley   Living in a genetically perfect world is not necessarily a great achievement to mankind.   It makes one think, "where do you draw the line in the advancement of eugenics?"   Both worlds, the Brave New one and Gattaca, are alternative futures (clearly dystopic), written and shown in a believable way (not as much in BNW, though) through the use of satire.   Also, for GATTACA, the director incorporates the traditional elements of movie - a murder-mystery tied in with a love story PLUS a science fiction touch - very effectively.   Satire in Huxley's novel is glaringly obvious (mockery of the education system and the morals of today along with many more topics), as he writes with the purpose of teaching and humoring at the same time.   However, with GATTACA, the satirical messages are not immediately perceivable - even after having seen the movie three times.   Ã‚  Ã‚  Ã‚   It is apparent that within the GATTACA institution, there is a definite discrimination against the genetic underclass; that naturally born.   Director Niccol is mocking the present-day view of prejudice and racism.   In the future of GATTACA, this prejudice is referred to as genoism - genetic discrimination.   Racism is a less specific form of genoism, and although such discrimination is outlawed, the laws are unenforceable because in this dystopian society, as it is in BNW, one's "genetic quotient" is known from birth.   The underclass people of this world are limited but aware of their social status and they are not particularly happy with it.   With the BNW, the lower castes seem to be (they are made to believe so) aware but they are conditioned to like their "light,...childishly simple" work. (p.204 BNW)   Ã‚  Ã‚  Ã‚   Another satirical message explored in both works in that of publicity.   Our society is becoming increasingly accessible, yet controlled, through the use of surveillance of ID.   Huxley and Niccol are merely pointing out that it is incredibly disconcerting to think that one day, our identities will be verified through daily blood and urine samples.   On this topic, the one difference between the BNW and GATTACA is the in BNW, the Director or Controller is aware of the "individuals'" level of promiscuity or behaviour through the word of mouth.   There is also one major similarity; in both worlds, the Director is quite conscious of the existence of the Alphas and in the case of GATTACA, the elites.

Langston Hughes

He wrote poetry and short fiction for the Belfry Owl, the school's literary gagging, and edited the school yearbook. It was the summer of 1919 when he visited his father in Mexico for the first time. That visit proved to almost be his moral demise b cause his father was materialistic and, ironically was prejudiced against blacks, Mexicans, and Indians. He thought of them as lazy and ignorant. This changed Hughes perception of hi myself and other minorities.When Hughes graduated from high school in 1 920, he returned to Mexico, where he taught English for a year and wrote poems and literature pieces for publication in the Crisis, the magazine of the National Association for the Advancement of Colored people In the early sass, Hughes worked as a dishwasher boy in Paris. One year late r, he enrolled at the Columbia University in New York. His freshman year, he droop deed out of college and worked a series of odd jobs to support his mother. In 1 923 Hughes Signs d on as a cabin boy on a merchant freighter en route to West Africa.In 1 925 he resettled with his mother and half brother in D. C. While continuing his writing and poetry. In 1 925 in May and Au just, Hughes verses garnered him literary prizes from both Opportunity magazine and the Crisis. Four months later, Hughes worked as a busboy at a Washington D. C. Hotel, and attracted t he attention of the poet, Vacate Lindsay, by placing three of his poems on his dinner table. Later on that evening, Lindsay read his poems to an audience and announced his discovery of a † En grog busboy poet†. Photographers and reports were eagerly wanting to meet him the next day.His friends, family, and other writers inspired Hughes to write. His style of Poe try, is free verse. One of my favorite poems by Hughes is called Dreams. Some other one s that he wrote that people best know him for are â€Å"The Negro Speaks of Rivers†, and â€Å"l too Sing A America†. In 1930, Hughes got a Harmon Gold Medal for Literature. In 1948 he got Honorary Doc tort of Letters, Lincoln University, and also got his PHD. Longboats Hughes died on May 22, 1 967, in New York. He has inspired a great deal of us, including Alice Walker who wrote an illustrated book about him. Langston Hughes He wrote poetry and short fiction for the Belfry Owl, the school's literary gagging, and edited the school yearbook. It was the summer of 1919 when he visited his father in Mexico for the first time. That visit proved to almost be his moral demise b cause his father was materialistic and, ironically was prejudiced against blacks, Mexicans, and Indians. He thought of them as lazy and ignorant. This changed Hughes perception of hi myself and other minorities.When Hughes graduated from high school in 1 920, he returned to Mexico, where he taught English for a year and wrote poems and literature pieces for publication in the Crisis, the magazine of the National Association for the Advancement of Colored people In the early sass, Hughes worked as a dishwasher boy in Paris. One year late r, he enrolled at the Columbia University in New York. His freshman year, he droop deed out of college and worked a series of odd jobs to support his mother. In 1 923 Hughes Signs d on as a cabin boy on a merchant freighter en route to West Africa.In 1 925 he resettled with his mother and half brother in D. C. While continuing his writing and poetry. In 1 925 in May and Au just, Hughes verses garnered him literary prizes from both Opportunity magazine and the Crisis. Four months later, Hughes worked as a busboy at a Washington D. C. Hotel, and attracted t he attention of the poet, Vacate Lindsay, by placing three of his poems on his dinner table. Later on that evening, Lindsay read his poems to an audience and announced his discovery of a † En grog busboy poet†. Photographers and reports were eagerly wanting to meet him the next day.His friends, family, and other writers inspired Hughes to write. His style of Poe try, is free verse. One of my favorite poems by Hughes is called Dreams. Some other one s that he wrote that people best know him for are â€Å"The Negro Speaks of Rivers†, and â€Å"l too Sing A America†. In 1930, Hughes got a Harmon Gold Medal for Literature. In 1948 he got Honorary Doc tort of Letters, Lincoln University, and also got his PHD. Longboats Hughes died on May 22, 1 967, in New York. He has inspired a great deal of us, including Alice Walker who wrote an illustrated book about him. Langston Hughes

Erik Erikson s Theory Of The Psychosocial Development

Ashley is six year old and she is in first grade. Base on Erikson’s theory, she is in stage 4 : Industry vs. Inferiority. Industry versus inferiority is the fourth stage of Erik Erikson’s theory of the psychosocial development. The stage occurs during childhood between the ages of six and eleven. Children at this stage, are learning to read and write, to do sums, to do things on their own. Teachers and coaches begin to take an important role in the child’s life as they teach the child specific skills. Ashley told Billy that she loves her first grade class. She explained to Billy that she learned to count by 5 and 10. Also she is able to read books to herself. She cannot wait to read the princess book series that Billy bought for her. School and social interaction play an important role during this time of a child’s life. Through social interactions, children begin to develop a sense of pride in their accomplishments and abilities. During the earlier stages, a child’s interactions centered primarily on caregivers, family members and others in their immediate household. As the school years begin, the realm of social influence increases dramatically. Friends and classmates play a role in how children progress through the industry versus inferiority stage. Billy need to know that, at this stage, the child’s peer group will gain greater significance and will become a major source of the child’s self-esteem. The child now feels the need to win approval by dem onstratingShow MoreRelatedErik Erikson s Theory Of Psychosocial Development884 Words   |  4 PagesErik Erikson Erik Erikson was born June 15, 1902. Erikson is best-known for his famous theory of psychosocial development and the concept of the identity crisis. His theories marked an important shift in thinking on personality; instead of focusing simply on early childhood event, his psychosocial theory looked at how social influences contribute to personality throughout the entire lifespan. Erik Erikson died May 12, 1994 due to prostate cancer. (Erik Erikson, 2015). Stages of Psychosocial DevelopmentRead MoreErik Erikson s Theory Of Psychosocial Development Essay1177 Words   |  5 Pages Erik Erikson was born in Greman in 1902-1994, American psychoanalyst; known for psychosocial theory of emotional development of human beings. His theory looks at the impact of parents and society on personality development from childhood to adulthood. Erikson believes, each person has to pass through a series of eight stages over there entire life cycle. I will look at the first 3 stages that cover the childhood years. There are set of conflict at each stage, which allows individual to developRead MoreErik Erikson s Psychosocial Development Theory1518 Words   |  7 PagesABSTRACT This research paper will show a thorough review of Erik Erikson s Psychosocial Development Theory, specifically the transition from adolescence to adulthood. Psychosocial Development, according to Erik Erikson, is a continuity of crisis throughout our lifespan; these challenges will shape our personality and the way we perceive our surroundings. In addition to this, the different stages mentioned in this Theory complement each other and help us to develop the tools to achieve a sense ofRead MoreErik Erikson s Theory Of Psychosocial Development Essay1366 Words   |  6 PagesAbstract Erik Erikson (1902-1994) provided a new perspective of psychosocial behavior and development while expanding on the works of other theorists. Erikson believed there to be eight stages of psychosocial development which a person transitions through. These stages start at birth and end with old age/death. Erikson’s work is used throughout many outlets of social work. Social workers use this information to help them figure out what is going on with clients and how best to help them. Erikson providesRead MoreErik Erikson s Theory Of Psychosocial Development1445 Words   |  6 PagesErik Erikson was an ego psychologists who developed one of the utmost popular and prominent theories of development. While Erikson’s theory was influenced by psychoanalyst Sigmund Freud s work, Erikson s theory centered on psychosocial development rather than psychosexual development. Erik Erikson s theory of psychosocial development is one of the best-known theories of personality in psychology. Much like Sigmund Freud, Erikson believed that personality develops in a series of stages. UnlikeRead MoreErik Erikson s Theory Of Psychosocial Development1818 Words   |  8 Pagesinfluential theories in developmental psychology, which is Erik Erikson’s theory of psychosocial development. It is a very interesting theory, and although it was influenced by Sigmund Freud, it centers more on the social component rather than the psychosexual stand of Freud. According to Erikson, our personal development occurs as we interact daily with others and have new experiences that shape us throughout our lives. This paper will review the eight stages of the psychosocial theory: 1. TrustRead MoreErik Erikson s Theory Of Psychosocial Development Essay1775 Words   |  8 Pages Erik Erikson’s theory of psychosocial development is one of the most influential theories of human development. While highly influenced by the works of Sigmund Freud, Ericson’s theory incorporates the impact of society and conflicts of the ego, and expands it across the entire life-span of human existence. His theory breaks a life into eight stages of Psychosocial Development. In each stage a person will undergo a psychosocial crisis, which he defines as â€Å"†¦not a threat of catastrophe, but a turningRead MoreErik Erikson s Psychosocial Theory On Child Development1388 Words   |  6 PagesErik Erikson’s Psychosocial Theory on Child Development Erik Erikson, a well known developmental theorist, developed his theory about stages of human development from birth to death by using Freud s work as a starting point. According to Erikson, personality develops in a series of stages. Erikson found out that children experience conflicts which affect their development. He described the internal conflict which children go through in developmental stages using the term ‘crisis’ and are based onRead MoreErik Erikson s Theory Of Psychosocial Development1359 Words   |  6 Pages Erik Erikson â€Å"There is in every child at every stage a new miracle of vigorous unfolding.† And no matter who you are and what you do, I believe that everyone will go through stages in their life. Erik Erikson was a famous psychologist in the twentieth – century, where he developed â€Å"Psychosocial stages†. Erikson’s theories centered on issues that were met on specific ages in someone’s life. Love, care, and tender is critical and many parents do not realize how much nurturing and caring for a childRead MoreErik Erikson s Theory Of Psychosocial Development1007 Words   |  5 PagesErik Erikson was a German born, American developmental psychologist. He is known best for his theory of psychosocial development, and creating the phrase â€Å"identity crisis†. He practiced after Freud, adopting some and disagreeing with some of his theories. Erikson continued the theory of the id, ego, and superego. However, unlike Freud, Erikson believed that personality development cannot be explained or identified solely based on sexuality. He believed that society and culture also influence