Stratgic Management Accounting (case study) Essay

Stratgic Management Accounting (case study) - Essay Example Management accountants provide important financial information that facilitate strategic planning, help to formulate and review budgets of the organization and identify existing discrepancies in budgets. They also remove wastages, set cost of production and prices of products produced as well as support good corporate governance. The above roles and functions of management accountants are explained below. First, management accountants facilitate strategic planning by providing information on costs and related activities in the organization. This is because they collect and analyze important information on all the activities that organizations engage in. The information may include all production, marketing and administrative costs. They also attempt to allocate costs and revenues to all activities in the organization. The management accountants record all the activities and associated cost. Therefore, they are able to develop indicators of business performance. In addition, they make comparison of various activities and develop benchmarks that form the basis of business monitoring and evaluation system for the business organization. The information they provide, help management teams to make various investment decision. Secondly, management accountants formulate and review budgets of the business organization. Budgets are important in apportioning financial resources to various activities of the company. Financial resources are scarce and require detailed analysis and planning to ensure that all departments receive adequate amount of money to conduct their daily operations. Management accountants enable the organization to allocate money and other resources to productive areas of the company based on their detailed cost analysis. This ensures that the business spends money only on what is important and that all activities are fairly considered. The budgets include capital budgets, cash budgets and production budgets. Management accountants

First Fundamental Theorem of Welfare Economics Essay

First Fundamental Theorem of Welfare Economics - Essay Example The third condition for competitive equilibrium is that the allocation maximizes the profit of each firm at the given price system. A simple proof of the theorem is shown in the following notation. Proof of the first fundamental theorem of welfare economics Let [(x0i), (y0j), (Ð ¤)] be a competitive equilibrium, and under the condition of non-satiation, for each: i, ui(x) = ui (x0i)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ eqn. 1 implies Ð ¤ (x) ? Ð ¤ (x0i). Instead, if we denote this as: ui(x) = ui (x0i), and Ð ¤ (x) ui(x)= ui (x0i), 1, 2, †¦Ã¢â‚¬ ¦ Since Ð ¤ is continuous, this condition implies that, for a big n, Ð ¤ (xn) ui (x0i), implies that Ð ¤ (xn)>Ð ¤ (x0i). Therefore, the contradiction implies that eqn. 1 is true. Using this contradiction, we can suppose that the initial allocation [(x0i), (y0j), (Ð ¤)] is not Pareto optimal, which implies that there is another allocation of resources [(x’i), (y’j)] such that ui(x’i) > ui (x0i). this condition holds for all i with strict inequality for some i. Employing the second condition in the definition of competitive equilibrium, gives that for some instances of i, ui(x’i) > ui (x0i) gives the implication that Ð ¤ (x’i)> Ð ¤ (x0i). From eqn. 1 and the linearity of Ð ¤, it can be seen that k?i, where ui(x’k) > uk (x0k), ?k Ð ¤(x’k) k Ð ¤(x0i). For l?k, where ul(x’l)> ul(x0l), ?l Ð ¤(x)> ?l Ð ¤(x0i). Finding the sum of the equations across all i; , which contradicts the third condition of competitive equilibrium. 2. The theorem proved above is mathematically true; however, some drawbacks are associated with it, for example, when public goods and externalities are introduced. This is because the theorem assumes that in the economy, there are no public goods or externalities (Jehle and Reny, 2001). This means that the theorem will not hold in an exchange economy where an individual’s utility depends on another individual’s consumption as well a s the original individual’s consumption. Also, the theorem does not hold if the production possibility set of one firm in an exchange economy depends on the production set of another firm in the same economy. The presence of externalities and public good sin the market will cause market failure iof they are not corrected, since there are no markets for these goods. 3. The above proposition can be proved by the following example, where externalities and public goods are introduced into an economy. In this case, an externality is used to mean the situation where the actions of an individual or firm affects the actions of another individual or firm other than through the effect on prices (Jehle and Reny, 2001). For example, one production firm could be increasing the costs of production for another firm by the production of smoke, which forces the other firm to increase costs. One factory could be producing electronic gadgets, a process which requires the emission of smoke. The factory could be located upwind, meaning that the smoke emitted harm another

Literacy narative Essay Example | Topics and Well Written Essays - 500 words

Literacy narative - Essay Example WhÐ µn I was a littlÐ µ girl, my parÐ µnts would always rÐ µad to mÐ µ, and I lovÐ µd books. I was vÐ µry involvÐ µd in thÐ µ storiÐ µs, and I would rÐ µad along with my mothÐ µr and fathÐ µr, and also link all of thÐ µ picturÐ µs with thÐ µ tÐ µxt. It was a comforting fÐ µÃ µling. As I got oldÐ µr and thÐ µrÐ µ bÐ µcamÐ µ morÐ µ rulÐ µs, I slowly driftÐ µd from rÐ µading and writing, and bÐ µcamÐ µ morÐ µ intÐ µrÐ µstÐ µd in subjÐ µcts such as sciÐ µncÐ µ, math, and history. So, I fÐ µÃ µl likÐ µ I havÐ µ littlÐ µ Ð µxpÐ µriÐ µncÐ µ in writing, bÐ µcausÐ µ I havÐ µ lost intÐ µrÐ µst in it. All through high school, I had a prÐ µtty good idÐ µa of what I wantÐ µd to do in my futurÐ µ; which consists of many math and sciÐ µncÐ µ coursÐ µs. I want to gÐ µt a nursing dÐ µgrÐ µÃ µ, and thÐ µn gÐ µt into thÐ µ Physician’s Assistant Program. So, along my acadÐ µmic path, that is what I havÐ µ focusÐ µd on and Ð µxcà  µllÐ µd at, rathÐ µr than writing. BÐ µing a frÐ µshmÐ µn studÐ µnt at thÐ µ UnivÐ µrsity of Utah, I havÐ µ rÐ µalizÐ µd that writing is going to bÐ µ an immÐ µnsÐ µ part of collÐ µgÐ µ, and that communicating through writing will hÐ µlp mÐ µ to accomplish my goals. Writing skills will bÐ µ rÐ µquirÐ µd in probably two-thirds of thÐ µ classÐ µs I Ð µnroll in. To bÐ µ honÐ µst, I don't dÐ µspisÐ µ writing, and I think that I could lÐ µarn to lovÐ µ it, if I could bÐ µcomÐ µ a good writÐ µr.

Need for Organizational Change Management at Kmart Assignment

Need for Organizational Change Management at Kmart - Assignment Example The annual sales thus achieved were in excess of $10 million. Even during periods of financial depressions and wars, this chain of retail stores stood out as a successful player by virtue of its ability to offer products at affordable prices. What is more, unlike other organizations it helped people sustain their families by offering them jobs. Despite the fact that prices have undergone numerous changes with the passing years, Kmart’s business philosophy remained the same – the company strongly believed that the best way to retain customers is by offering them â€Å"products they need at prices they can afford† (Sears Holdings Corporation-a, 2010). Over the decades Kmart has earned endless accolades that have augmented its position in the global retail sector, and during 1976 it created history â€Å"by opening 271 Kmart stores in one year, becoming the first-ever retailer to launch 17 million square feet of sales space in a single year† (Sears Holdings C orporation-a, 2010). However, the picture at Kmart has not been rosy all through. At the beginning of 2002, â€Å"the company filed for bankruptcy after its debt spiralled to more than $10 billion† (Kelly, 2004), and it has been reported that in the next two years the company had closed nearly 600 stores and laid off nearly 59000 employees. This incident helped Kmart make history yet again because the company had almost â€Å"$17.0 billion in assets at the time of their filing, making it the largest retailer the United States had ever seen declare bankruptcy† (Cole, 2002, p.2). In order to survive the financial plights, Kmart merged with Sears Roebuck in November 2004 following a deal worth $11 billion. Although the company is performing well and trying its best to â€Å"create long-term value in a deliberate and logical fashion, while remaining cognizant of the risks and challenges† (Sears Holdings Corporation-b, 2010), problems that still exist are pushing Kma rt to the back foot.  Ã‚  

Multinational Corporation Subsidiaries Essay Example | Topics and Well Written Essays - 2250 words

Multinational Corporation Subsidiaries - Essay Example The paper tells that the critical role that culture takes in global organizations need to be closely examined especially in American firms where globalization proliferates. The growing importance of national and world trade creates the need to understand the cultural diversities in different regions and countries. The saying that organizations need to plan globally, think rationally, and act locally is very apropos in many ways and more so in relation to cultural differences. One of the most famous MNCs globally is Coca-Cola, operating for already 125 years. According to its official website, there are approximately 139,600 worldwide employees of Coca-Cola that operates in more than 200 countries around the world. The operating groups of the Coca-Cola are indicated as Eurasia & Africa Group, Europe Group, Latin America Group, North America Group, Pacific Group, Bottling Investments Group, McDonald's Division. For the chosen potential countries to transfer, Coca-Cola has likewise been identified to operate both in India and in the Philippines, with additional details in the paper. When selecting career opportunities, usually the official website would forward search opportunities to the Pacific region where there are currently 297 job openings announced. Under the Pacific group, the site explicitly states that â€Å"The Coca-Cola Pacific Group includes a diverse group of rapidly developing markets such as China, the Philippines, Thailand, Indonesia, Vietnam and other Southeast Asian nations†. In terms of political and economic conditions in India, the EDC provided the following general outlook. The present political scene in India is quite exceptional due to the relatively strong position of the ruling Congress-led UPA coalition; the governing coalition continues to maintain its majority in parliament. At the same time, the government’s standing among voters has been somewhat tarnished due to some very high profile corruption cases. The Government is likely to refrain from pursuing unpopular reforms throughout much of 2011 due to upcoming state assembly elections. The security environment is dominated by the threats posed by the Islamic militants and Naxalite insurgent activities. Market Spotlight: GDP growth remained slowed to 8.2% y/y in Q4, largely as a result of the slowdown in government spending and private investment. The pace of import growth has slowed markedly in recent months, in line with weaker industrial activity.

The Automotive Industry in the 21st Century Essay

The Automotive Industry in the 21st Century - Essay Example This industry is of great economic meaning to various countries that have exploited it largely for trade and employment creation. It is also evident that the industry has largely experienced change and improvement in technology, though to a limited extent. The case note from European Case Clearing House (ECCH) on the automobile industry covers the social and political significance of the automobile industry within the first ten years of the 21st century. It gives information on the challenges faced by the industry in the constant profit making process at each stage. It also gives details on the value chain involved in the industry. Challenges in the introduction and effects of new technology are also given a wide view, including the rigidity in the application and use of particular raw materials. The competition in the industry has been on with different innovations emerging, as a result. More improvements have been seen, which has brought a variety of commodities for consumers to choose from. The major players in the field include the general motors’ company of the United States, Toyota Motor Corporation of Japan, Hyundai motors of South Korea, Renault of France among others. Background Background The development automobile traces its origin late in the twentieth century. Entrepreneurs and engineers dealing in machinery in Europe and the US geared its progress. The countries included Germany producing their first car, France, United States and Japan, which also made their first cars between 1890 and 1914. 1) Scale and economic importance of the industry The industry scale is one that can be termed as large in a general view. This is because it ranges from large-scale manufacture of cars and car parts widely spread in renowned nations such as China, Japan, USA, Germany, UK, among others. It is global since the trade barriers reduction has encouraged wide investments in the emerging markets (Mitchell, Borroni-Bird & Burns, 2007). Most manufacturers export their automobile products and some kept for their domestic markets. There is various economic importance of the industry being exhibited worldwide. To begin with, it provides market for fuel producing industries. Al l automobiles require fuel or energy to propel them. Petroleum is the most widely used fuel by most automobiles. Petroleum refining industries, therefore, market their products to the automobile users. Refined steel has been used constantly used in the bodybuilding, as explained by Constable and Procter (2007). Another sector that has developed is employment creation. For instance, in Germany, the sector provides for not less than 14 percent of people employed in the manufacturing. The world has, to a significant extent, experienced unemployment problems in the 21st century; motor vehicle industry has helped curb the problem through employing engineers, entrepreneurs, and managers, sales personnel among other professionals on permanent and casual basis. The industry is a major source of income. Innovation in the automobile industry has led to an increase in flexibility and mobility of cash inflow to the various countries that deal in the industry. Marketing of the products and their spare parts locally and abroad generates cash. It can be noted that the industry is a major global driver of growth. 2) The static technology of the industry and factors that make it difficult for the industry to change to technology Technological innovations in the automobile sector has been rather static due to various factors including safety, risk of job loss, and

Debut albums, Life Essay Example for Free

Debut albums, Life Essay This is a phrase, a philosophy phrase that is about living, daily living. But what do you think it really means or should we say what is the hidden meaning about it? Why just living is not enough? Living is not enough because we need to experience all the things we can. Simple as to explore the world or the things that was given to us by our beloved GOD. We need to experience all good, better and best, bad, worse and worst. From worst to best to know what the word LIFE truly means. It also doesnt mean we need to do crimes in order to experience bad things, its just like problems, wounds and etc. We and I consider it as bad things because I dont like any of that happen to me. Just living is not enough†¦. We need to explore and find the true meaning of life. He who hesitates is probably right. This is a philosophy that we can use daily, why? Because this is about decision making. And we always make decision in every aspect of our life. As a student I can relate in this because of our recitations in school. We always hesitate before we raise our hands to answer. We will suddenly know that our or my answer is right because someone answers it. And its too late to get the credit. The philosophy above is trying to teach or to tell us that if we have ideas, share it, tell it, explain it because we will never know if our ideas is right if we dont try it. Not only for students but all individuals around the globe. Human life is purely a matter of deciding whats important to you. This Philosophy is saying human life always choose whats important to you. But why? All individuals are different from each other, different tastes, likes, dislikes and many more. But we all have similarities, we always choose whats important to us in every problem that comes in our life. For some instances, family problems like marriage and your family doesn’t want your fiance or fiancee, you will decide whats MORE important to you your family or your love one? If you choose your family, then go and its also the same if you choose your love one. I understand in this philosophy that this our instict that we always choose whats important to us but it never assures us that what is important will be the best for us. Only friends can answer your calls everytime of day that matter. This is a simple philosophy that is about friendship. If we first read it, we will quickly understand what it means. But what do we understand? We all know we have many friends in our life, friends in school, friends in the neighborhood and many more. We also know not all friends are real, just like this saying says Some friends are gold and some friends are silver. The philosophy above is trying to tell us that only TRUE and REAL friends can answer your calls no matter what your problem is. The friends that are there for you no matter what. No matter what time of day it is, you could call them and theyd be there for you. And its true, they are the ones that matter. The people who you can really rely on to be there for you are the ones that should matter in your life.