Case 8 RE: Melvin Corporation and Vivian Company Nonmonetary Transaction Facts: Melvin Corporation and Vivian Company entered into an agreement on January 1‚ Year 1‚ to unconditionally exchange assets. Melvin agreed to transfer‚ on January 1 of Year 2‚ a building that cost $100‚000‚ but had an appraised value of $300‚000‚ while Vivian agreed to transfer a boat that had originally cost $250‚000. As of December 31‚ Year 2‚ Melvin had received title to the boat but had not transferred title to
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process of choosing one option‚ item‚ good‚ or service over another‚ opportunity cost is the value of what is foregone in order to have the alternative option. More simply‚ the opportunity cost of an item is the benefits you could have received by taking an alternative action. Every decision that involves a choice between two or more options has an opportunity cost. Opportunity costs are not limited to fiscal or monetary costs‚ the value or opportunity not chosen can take many forms including lost time
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Cost reduction Generally defined as the act of cutting costs to improve profitability. Cost reduction‚ should therefore‚ not be confused with cost saving and cost control. Cost saving could be a temporary affair and may be at the cost of quality. Cost reduction implies the retention of essential characteristics and quality of the product and thus it must be confined to permanent and genuine savings in the costs of manufacture‚ administration‚ distribution and selling‚ brought about by elimination
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About Transaction Processing System According Dan Matthews and Rick Veague that databases are the integration point where applications that are connected can communicate with each other. Now‚ Companies are investing for a new technology that eliminates or lessen errors and to gain advantage. This is the integration point that is necessary in building competence in management by investing in database technology to achieve lessen cost. ( Matthews D.& Veague R. (2007). Why Database-agnostic
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Strategic Cost Management ACCT90009 Seminar 1 Seminar 1 Subject Administration Introduction to SCM oduc o o SC Administration • Subject Coordinator Dr. David Huelsbeck Email: david.huelsbeck@unimelb.edu.au Room: 08.028‚ The Spot Phone: +61 3 9035 6256 Consultation Hours: Monday 4:15pm – 6:15pm • Seminars: Tuesday: 2.15 pm – 5.15 pm‚ FBE ‐ Theatre 211 (Theatre 2) Thursday: 6.15 pm – 9.15 pm‚ Alan Gilbert ‐ Theatre 2 Teaching Format and Resources • Seminar Format 3 hour seminar
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Eun & Resnick 4e CHAPTER 8 Management of Transaction Exposure Three Types of Exposure Forward Market Hedge Money Market Hedge Options Market Hedge Hedging Foreign Currency Payables Forward Contracts Money Market Instruments Currency Options Contracts Cross-Hedging Minor Currency Exposure Hedging Contingent Exposure Hedging Recurrent Exposure with Swap Contracts Hedging through Invoice Currency Hedging via Lead and Lag Exposure Netting International Finance in Practice:
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market‚ and the shares of Asia are increasing‚ which means Asia should be an important strategic objective for GM. So hedging could help GM reduce the risk. Moreover‚ it can reduce cash flow and earnings volatility‚ minimise the management time and costs dedicated to global FX management and align FX management in a manner consistent with how GM operates its automotive business. For the different exposures‚ GM implements different ways to hedge. Commercial (operating) exposure‚ GM would calculate
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I - A. " Representational faithfulness is accomplished when transactions and events affecting the entity are presented in financial statements in a manner that is in agreement with the actual underlying transactions and events" (CICA‚ Financial statement Concepts 1000.21 (a)‚ 2003). It means that all of information in the financial statement such as numbers and descriptions must be factual. The independent auditors checked the computer ID tags on each piece of equipment to confirm the actual numbers
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CHAPTER 6 PRODUCTION EXERCISES 4. A political campaign manager must decide whether to emphasize television advertisements or letters to potential voters in a reelection campaign. Describe the production function for campaign votes. How might information about this function (such as the shape of the isoquants) help the campaign manager to plan strategy? The output of concern to the campaign manager is the number of votes. The production function has two inputs‚ television advertising and
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| Motivation Concepts KEY: pg 29 2. The generation of the 21st century may become known as generation E because they are becoming the most entrepreneurial generation since the Industrial Revolution. ANS: T PTS: 1 NAT: AACSB Reflective Thinking | Motivation Concepts KEY: pg 29 3. Determining a person’s “entrepreneurial perspective” is an exact science. ANS: F PTS: 1 NAT: AACSB Reflective Thinking | Motivation Concepts KEY: pg 29 4. Entrepreneurs
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