SAMPLE ANSWER FOR QUESTION 5 Profit-making is one of the most traditional‚ basic and major objectives of a firm. Profit-motive is the driving-force behind all business activities of a company. It is the primary measure of success or failure of a firm in the market. Profit earning capacity indicates the position‚ performance and status of a firm in the market. In spite of several changes and development of several alternative objectives‚ profit maximization has remained as one of the single most important
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Friedman’s (1970) claim that : « the only responsibility of business is to increase its profits » ? Milton Friedman was an American economist‚ statistician and writer‚ who had a massive impact on the research agenda of the economics profession. His famous words “the only responsibility of business is to increase its profits” (Friedman‚ Milton. 1970) led to many controversial debates on whether businesses should have ethics or if profit should be their main goal. Corporate social responsibility has many
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Capital Structure and Profit Capital Structure Definition A unite of a company’s long-term debt‚ specific short-term debt‚ common equity and preferred equity. The capital structure is how a firm finances its overall operations and growth by using different sources of funds. Debt comes in the form of bond issues or long-term notes payable‚ whereas equity is classified as common stock‚ preferred stock or retained earnings. Also‚ Short-term debt such as working capital requirements is considered
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To: Diane M. Comi‚ J.D.‚ LL.M. From: Sam Smith Date: September 14‚ 2014 Re: Medical Expense Deduction under IRC 213 for Swimming Pool FACTS The taxpayer‚ Susan‚ suffers from severe osteoarthritis in both knees and has a hard time living comfortably. Susan has taken many precautions to better her health including: cortisone injections‚ painkillers‚ physical therapy‚ and arthroscopic surgery. Being that this is a hereditary disease‚ the doctors predict that it’s only going to get worse. The key to
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Nonprofit versus for-profit healthcare and organizations For-profit and not-for-profit hospitals generate revenues through daily operations. For-profit hospitals are able to generate funds through issuing stocks while non-for-profit hospitals do not have this ability. Accordingly‚ non-for-profit hospitals can issue tax-exempt bonds and can accept tax-deductible contributions. Non-profits were created with the intention of servicing the needs of the poor. This subsequently led
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“Plain the role and importance of the different types of Margins imposed by the NSE in Derivatives Trading” The Trading of currency futures is subject to maintaining initial‚ extreme loss‚ and calendar spread margins and the clearing corporations of the exchanges (In the case of NSE it is NSCCL) should ensure maintenance of such margins by the participants based on the guidelines issued by SEBI from time to time. The clearing corporation acts as counterparty to all contracts traded on the
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Question 2 Cost Volume Profit Analysis 1.0 Introduction According to Jon Scheumann “a successful organizations need a culture that is attuned to cost management and pay attention to cost structure” From that statement manager must pay attention and carefully thinking when do decision making to the cost. For example when manager want to target the profit. They must take every cost that related in production such as variable cost and fix costs. Cost Volume profit analysis is used in decisions
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NOT-FOR-PROFIT ORGANISATIONS 13 2 Not-for-profit organisations Key points Many not-for-profit organisations (NFPs) feel they are poorly understood by government and the general public. Pressures to be more efficient have seen overhead spending reduced at considerable detriment to effectiveness and improved resource allocation over time (allocative efficiency). The sector is diverse‚ but NFPs display some common behavioural patterns: – Whereas the behaviour of for-profit business is driven mostly
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Unit One: Case Incident 1: How a UPS Manager Can Cut Turnover Arquella Williams Kaplan University MT302 Organizational Behavior March 9‚ 2011 Unit One: Case Incident 1: How a UPS Manager Can Cut Turnover UPS’s operations in Buffalo‚ New York faced a major dilemma; they were facing a high turnover rate. Part-time employees were leaving at a rate of 50 percent per year resulting in an increase in absenteeism‚ work related injuries‚ and inaccurate shipping deliveries. In order to resolve this
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alcohol was legalized for tax revenue. Legalizing Marijuana can help the economy by gaining revenue from tax revenue due to the increase of usage of Marijuana. It also decreases the cost of expense to reinforce the law on Marijuana. From looking at the history‚ Legalizing Marijuana will be a harmless way to boost up the economy by taxing Marijuana and decreasing expense for enforcing the law‚ just like in 1933 when alcohol was legalized. Marijuana was proven to be a very beneficial natural plant
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