objectivity exists when financial information is free from “personal opinion and bias”, it can be validated by an independent investigator and it is considered to be useful and reasonable to accountants. However, this concept fails to recognize the extent of professional judgement required across various elements of the accounting process. Perceptual Perception Concept: Wagner (1965) believes that professional judgement is one of the most important assets of the accounting profession and thus it cannot
would ultimately create a monopoly. (c) Other external factors • The emergence of a great oversupply in telecommunications capacity in the 1990s led to an economic problem. The industry rushed to build fiber optic networks and other infrastructure based on overly optimistic projections of internet growth. WorldCom along with other firms in the industry faced reduced demand and the economy entered into a recession. 2. Internal Factors/Nature of the Entity (a) Business Operations • Ownership
performance of an individual. To explain the reason on how different factors relate to the resulting performance of the students, the IPO or Input-process-output concept will be used. IPO model is generally an approach in system analysis where the relation of inputs and outputs are being analyzed. As explained by Janilo Sarmiento (2012), a researcher from Bohol Island State University, the inputs are the variables from the external environment or are outside that are put into the cycle to be processed
development in certain areas of financial accounting, if not all. The idea of financial accounting as a whole has the responsibility to identify the parties in business transactions and provide them with the information they need to do business in a fair and objective manner. In the same vain, the content of such information should be useful to present and potential investors and creditors, not excluding other external users in making rational decisions. The accounting practice requires that financial statements
Traditional accounting fails to allocate nonmanufacturing costs that also are associated with the production of an item, such as administrative expenses or determine which overhead costs actually affect specific products, hence not so accurate. More accurate because it takes important factors into account before assigning a cost to a product. It is more thorough and considers nonmanufacturing expenses as well, such as administrative and managerial costs. Traditional accounting in external financial
disagreement between production team and R&D team) as well as external problems (such as consequence of 911 attacking that spread through global economic) are only resolved by the O/u themselves, without the direct involvement of the Bombardier’s Metasystem. Coordination (System 2: S2) Unfortunately, the problem that found in the department is somewhat bias or tends to rely on Commercial Aircraft department’s interest and information, they might think that they already discovered the problem but
How does managerial accounting differ from financial accounting? Managerial accounting is providing information to internal users, for example manager, employee. Moreover, it is a report help manager to plan, control, and make better decisions in order to achieve organization’s goal. The main goal is to improve the efficiency and effectiveness of existing operations. However, financial accounting is oriented in producing financial statements and other financial reports to external users such as investors
analysis is to diagnose the information contained in it is to judge the profitability and financial status of the various financial factors in business as disclosed by a single set of statement, and a study of the trend of these factors as shown in a series of statements. Financial performance analysis is a comprehensive analysis of all their financial statement: Balance sheet, income statement, and cash flow statement. A financial statement provides useful information.
Comparing the accounts of various years helps in getting good pieces of information. ii. Management: The management of the business is greatly interested in knowing the position of the firm. The accounts are the basis, the management can study the merits and demerits of the business activity. Thus, the management is interested in financial accounting to find whether the business carried on is profitable or not. The financial accounting is the “eyes and ears of management and facilitates in drawing future
literature will feature the articles found in relation with the study. It will also serve as a support for the information presented in this paper. This will include stress, its definition, factors and possible causes, and the coping mechanisms that is usually used by common individuals. Gathered information like surveys and studies from the professional workplace which will also be used to support the research will also be presented in this review. Stress is prevalent in college. The transition