Australian Accounting and Contemporary Issues

Question: Discuss about the Australian Accounting and Contemporary Issues. Answer: Introduction The current study elucidates in detail the detailed objectives of the conceptual framework and the qualitative characteristics of the financial framework. The present report thereafter explicates in detail the extent to which the financial statements of the firm BHP Billiton adheres to the conceptual framework. BHP Billiton is a well-known firm in Australia that primarily deals with the effective production of the iron ore, oil and gas and uranium and many others. The corporation BHP Billiton effectually handles and controls huge mines from which the company generates revenue. The company reportedly generated revenue of approximately 61 billion during the year 2015 along with a profit amount of roughly 2 billion. The declined profit of the corporation during the period 2015 acted as an impediment in the sustainable operations of the company (Bhpbilliton.com, 2016). Objectives of the conceptual framework As rightly indicated by Apostolou et al., (2013), the objective of the conceptual framework is to deliver a strong foundation for development of a standard framework and to establish an enhanced Conceptual Framework. The revised conceptual framework is essentially grounded on basic economic principles rather than an assortment of arbitrary resolution. The conceptual framework can eventually replace the existent IASB as well as the FASB structure and sets a common basis for both of the two Boards. This in turn can eliminate the overall risk of arriving at different conclusions regarding identical and similar problems. The absence of the conceptual framework would have led to the development of accounting standards and principles in a very haphazard manner to deal with different issues that might arise. The non-existence of the conceptual framework can also lead to development of accounting standards that are inconsistent with one another as well as the legislation. Alexander (2013) op ines that following a single conceptual framework can help the preparers as well as users of financial declarations to comprehend accounting practices as well as accounting standards that are founded on a common philosophy. Again, the conceptual framework also offers guidance for different unusual business transactions that might otherwise be used for analysis. There are certain individuals who believe that following a particular conceptual framework can help in the process of improvement of the overall credibility of the entire accounting profession. Barth (2013) affirms that the conceptual framework institutes different concepts and at the same time ideas that can outline the entire process of preparation as well as presentation of the financial reports for different users of the financial information. Bonin (2013) declares that the conceptual framework addresses specific objectives of financial reporting, qualitative characteristics of different financial information and reporting entity. In addition to this, the conceptual framework also can define, identify and enumerate different components that are used for preparation of financial announcements. Moreover, the conceptual framework also helps in addressing significant concepts of both capital as well as maintenance of capital. Qualitative characteristics of the conceptual framework As rightly mentioned by Botzem (2012), the qualitative features of important financial information distinguishes between two different categories of qualitative characteristics that are necessary to deliver important financial information. The qualitative characteristics therefore can be differentiated as fundamental qualitative characteristics and the enhancing qualitative characteristics. The fundamental characteristics essentially include the relevance as well as faithful representation. On the other hand, the enhancing qualitative characteristics of the conceptual framework comprises of the comparability, timeliness, verifiability as well as comprehensibility (Brigham Ehrhardt, 2013). The fundamental characteristics of relevance refer to a fundamental qualitative characteristics that refers to the potential to make a difference in the process of arriving at decisions made by different users. Thus, in a bid to make a difference, the financial information contains a predictive, confirmatory value or else both the values. The framework essentially extends the principle of materiality as a component of relevance. Nevertheless, the boards have necessarily clarified that materiality is essentially a firm specific factor of the characteristic of relevance that is founded on the nature or else the magnitude of different items that can be related to the information. Deegan (2012) affirms that the faithful representation refers to another category of the fundamental qualitative characteristics that can replace the previously used term reliability. The board has presently determined that there remains inadequacy of common understanding regarding reliability. However the fina ncial information that faithfully reflects economic occurrences generally have three different features as well as characteristics. The financial information that faithfully replicates fact are essentially complete, neutral as well as free from errors (Deegan, 2013). In addition to this, the purpose and intention of the enhancing qualitative characteristics are to augment both the relevance as well as faithful representation of particular financial information. Therefore, this features need to be optimized both individually as well as in amalgamation (Zhou et al., 2016). The characteristics and features of comparability can help in identification of similarities as well as dissimilarities among different items, diverse period of time within a specific set of financial declarations and across different reporting entities. Verifiability refers to the new principle that enables knowledgeable as well as independent observers to attain a consensus regarding a specific depiction of a particular event or else transactions (Linsmeier, 2016). The timeliness refers to a particular feature under the conceptual framework that emphasizes on the maintenance of balance between timely reporting as well as dependable information. Again, the understand ability has also been carried forward from the present framework and this requires clear as well as concise presentation that is essentially understandable by others (Macve, 2015). Analysis of the conceptual framework from the financial reports BHP Billiton In accordance to the compliance announcements of the company BHP Billiton, it can thus be inferred that the general purpose financial reports of the firm is in compliance with the Corporation Act of the year 2001. Moreover, the general purpose financial reports (GPFR) of the corporation BHP Billiton has also been arranged, prepared as well as presented after taking account diverse accounting rules, regulations, principles as conditioned under the Australian Accounting standards Board. This compliance with the accounting standards, regulations, directives as well as notions can help in assuring the fact that the financial announcement so the firm are developed as per the regulations of the International Financial Reporting Standards (IFRS). However, the analysis of the GPFR also helps in understanding the fact that the basis of preparation that is primarily used for the preparation of the reports for this company essentially adheres with the conceptual structure of accounting (Zhang Andrew, 2014). Thus, it can be said that the financial dimensions as well as measurements are necessarily founded on the historical cost barring certain assets as well as liabilities. Moreover, the conceptual framework also presents different criteria for recognition. The critical evaluation of the financial report reveals the fact the company recognizes the revenue at the fair value under different conditions. Again, the contracts of leases are essentially posted in financial accounts by following a straight line basis over a particular duration of time. Moreover, the company recognizes the borrowings at fair value and account payables are necessarily recognized at the amortised cost. In addition to this, there are different items that can be enumerated according to the recognition criteria as stated in the accounting regulations. The BHP Billiton also conforms to the regulations stated under Corporation Act 2001 as well as UK Companies Act along with the Australian Accounting Stan dards Board (Bhpbilliton.com, 2016). Evaluation of the financial declaration of the corporation BHP Billiton The report on expenditure of BHP Billiton during the year 2015 can be analysed effectively by using the figure 1 above. Furthermore, the figure also portrays the inclusive process of valuation of alteration in the expenditure of the corporation during the duration 2014 and 2015. The change in the figure on expenses primarily refers to the entire changes in the strategies of the corporation (Bhpbilliton.com, 2016). In particular, during the year 2015, the corporation chiefly declared profits of around $2878 as compared to the previous years figure recorded to be $15224. Again, the quick decrease in the overall profits mainly refers to the overall loss in companys revenue as well as group earnings of the company BHP Billiton. The analysis of the reports also reveal the fact that the overall expenditure of the corporation has increased during the year 2015 irrespective of the decrease in the earnings. Again, during the period 2015, a supplementary impairment of particularly the plant and property also increased from $336 recorded during the period 2014 to $3448 during the year 2015 (Bhpbilliton.com, 2016). However, the soaring expenses of the company led to the diminished ability of the firm to uphold the cash balance. Botzem (2012) mentions that material misstatements take place at the time when the auditors use the directives as well as regulations of AASB for auditing and can detect irregulari ties in the financial records of the firm. Botzem (2012) affirms that the regulations as well as directives conditioned under particularly the Corporation Act as well as regulations for material misstatements stipulated by the Australian Accounting Standard Board (AASB) (Aasb.gov.au, 2016). Thus, the enforcement of the rules as well as regulations can help in lessening the material misstatements recorded in the financial declarations of the company. Alexander (2013) points out the fact that external audit declarations can also help in identifying the authenticity of the financial announcements of the corporation. However, on the other hand, Barth (2013) asserts that the recognized loopholes as well as disreputable measures utilized by external assessors can lead to overall inflation of figures in statements of the profit and loss as well as balance sheet statement and consequently attract investors. The critical evaluation of the annual report reveals the fact that the administration of the company BHP develops the entire consolidated statement as per the International Financial Reporting Standards as declared by International Accounting Standards Board as outlined under the section 41 that presents essentially the basis of preparation as well as measurement in the financial statements (Bhpbilliton.com, 2016). Moreover, the management also utilizes different non-IFRS measures that facilitate the procedure of investigation of the financial performance. Critical analysis of the Directors Report of the company BHP Billiton The critical analysis of the report presented by the director in the annual report of the company during the period 2015 reflects the fact that this report mainly discusses about the viability as well as authenticity of the financial declarations. Furthermore, the report of the director also mentions that the financial announcements for the company BHP Billiton has been presented as per the regulations stipulated under the Corporation Act 2001 of Australia and the Companies Act UK (Bhpbilliton.com, 2016). Again, detailed evaluation of the directors report also replicates the fact that the management of the corporation do not conform to the regulations conditioned under the New York Stock Exchange (NYSE). In addition to this, the present report also clearly mentions that the financial report of the corporation conform to the International Financial Reporting Standards as presented under Note 41 that reflects essentially the Basis of Preparation and Measurement. Besides, the current re port also warrants the fact that the financial report of the company BHP presents a true as well as fair view of the overall development, performance as well as financial health of the firm. However, the report of the director does not comply with the obligatory requirements of the 303 A section that is essential for firms listed under the NYSE (Bhpbilliton.com, 2016). As such, the detailed analysis of the directors report divulges the fact that all other factors of this report effectually conforms with the regulations as well as the directives laid down by the AASB, Corporation Act as well as Australian government. In accordance with the regulations of AASB APES 110 (code of ethics) declared by the International Accounting Standards, corporations need to take into consideration different ethical considerations. AASB can also implement penalties for violation of the ethical code of conduct (Aasb.gov.au, 2016). Analysis of the remuneration report of the firm BHP Billiton As per the annual announcements of the corporation BHP Billiton, it can be hereby inferred that the remuneration report is directly linked to the financial performance of the company. Nevertheless, the remuneration report of the firm is necessarily assessed by diverse legislations in the country UK as well as Australia. The critical evaluation also complies with the UK Companies Act 2006 together with the Medium Sized firms and groups for the development and preparation of the remuneration report of the firm in UK. Nonetheless, the remuneration report of the company also follows the obligatory requirements of the Australian Corporation Act 2001, AASB as well as the IFRS in Australia (Bhpbilliton.com, 2016). According to the remuneration declaration, the elements of the remuneration comprises of necessarily the base salary, diverse benefits (cash and non- cash), short term and at the same time long time incentives as well as pension. Again, the entire remuneration of the chief executi ve officer is recorded to be $4582 (000) during the period 2015. Nevertheless, the remuneration report of the CEO recorded during the year 2014 was essentially $7988 (000) (Bhpbilliton.com, 2016). Conclusion The above mentioned helps in gaining a detailed overview of the objectives of the conceptual framework and different qualitative characteristics. The current report also helps in gaining deep insight regarding the appraisal of the financial report of BHP Billiton during 2015 and helps in examining the extent to which the company has failed to meet the conceptual framework. The above study analyses the financial reports of the firm, remuneration reports, and directors report declared in the annual report to analyse the fulfilment of the conceptual framework in detail. References Aasb.gov.au. (2016). Australian Accounting Standards Board AASB - Home. [online] Available at: https://www.aasb.gov.au [Accessed 9 Dec. 2016]. Alexander, D., (2013). Financial reporting: the theoretical and regulatory framework. Springer. Apostolou, B., Dorminey, J. W., Hassell, J. M., Watson, S. F. (2013). Accounting education literature review (20102012). Journal of Accounting Education, 31(2), 107-161. Barth, M.E., (2013). Measurement in financial reporting: The need for concepts. Accounting Horizons, 28(2), pp.331-352. Bhpbilliton.com. (2016). BHP Billiton | A leading global resources company. [online] Available at: https://www.bhpbilliton.com [Accessed 9 Dec. 2016]. Bonin, H., (2013). Generational accounting: theory and application. Springer Science Business Media. Botzem, S., (2012). The politics of accounting regulation: Organizing transnational standard setting in financial reporting. Edward Elgar Publishing. Brigham, E.F. Ehrhardt, M.C., (2013). Financial management: Theory practice. Cengage Learning. Cajaiba-Santana, G. (2014). Social innovation: Moving the field forward. A conceptual framework. Technological Forecasting and Social Change, 82, 42-51. Deegan, C., (2012). Australian financial accounting. McGraw-Hill Education Australia. Deegan, C., (2013). Financial accounting theory. McGraw-Hill Education Australia. Donelson, D. C., McInnis, J. M., Mergenthaler, R. D. (2012). Rules-based accounting standards and litigation. The Accounting Review, 87(4), 1247-1279. Linsmeier, T. J. (2016). Revised model for presentation in statement (s) of financial performance: Potential implications for measurement in the conceptual framework. Accounting Horizons, 30(4), 485-498. Macve, R., 2015. A Conceptual Framework for Financial Accounting and Reporting: Vision, Tool, Or Threat?. Routledge. Zhang, Y., Andrew, J. (2014). Financialisation and the conceptual framework. Critical perspectives on accounting, 25(1), 17-26. Zhou, Z., Ou, J., Li, S. (2016). Ecological Accounting: A Research Review and Conceptual Framework. Journal of Environmental Protection, 7(05), 643.

Social Normalities and Voicing of Opposition free essay sample

Brian Crane Throughout history, social norms have dictated the opinions of all members of society to a certain extent. Expressing disapproval of these social norms is a difficult and ambitious task, seeing as one challenging a social norm is essentially disputing, in addition to often disproving, the reasoning and opinions of the majority of any given culture. Take, for example, the ending of ones own life under the circumstances of terminal illness. Now, our basic and most common cultural view on the subject is that suicide is not a natural death and therefore a violation of nature regardless of nes physical condition. However, it is nature itself that has given us as humans the intellect to contemplate such a decision. If nature has enabled us to develop the intellectual ability to contemplate suicide, then one could argue that choosing to end ones life is in fact a natural death simply because nature has allowed us to examine the pros and cons of life or death. We will write a custom essay sample on Social Normalities and Voicing of Opposition or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page However, this is not to say that suicide based on emotional imbalance is in any way Just or morally acceptable. Mental illnesses, which often bring about suicidal deation, can be treated, therefore ridding one of all motivation to end their own life. Generally, those who suffer from mental illnesses cannot be held accountable for their own life because the affective disorder inhibits them from perceiving reality the way they once did. So, the argument that the time of our death should not be a decision we as humans can morally make is somewhat valid although very misguided. It is wrong to look down upon terminally ill people who choose suicide as their cause of death. The many different circumstances leading up to ones death akes this topic too complex for one to claim that choosing life over death is morally applicable and correct in every situation that involves the contemplation of suicide. John West discusses his fathers decision to end his life before enduring the pain, suffering, and eventual death caused by cancer in an excerpt from The Last Goodnights: Assisting My Parents with Their Suicides. Judging from this excerpt, West and his father seem to be very well rounded, cultured individuals in addition to being extremely open minded and emotionally balanced. Wests father was a very mportant fgure in the world of psychiatry. His knowledge on the topic of suicide is obviously very extensive. Their opinions and examinations of this topic are indeed equally as rational as they themselves are as people. Dealing with the death of a parent is hard enough emotionally as it is, but the fact that West is grounded enough to grapple with the complexity and sorrow of assisted suicide is a testament to his extreme emotional maturity. He sheds light on a crucial point in support of his fathers decision as he asks the reader, Should Jolly [my father] have been forced to endure a few more days or eeks of agony Just to satisfy some peoples notions that death should be natural? (33 West) If one were to explore the possible answers to the question West asks above, without an impartial view based on societal influences, it is undeniable that one would agree with the opinion that such a great deal of suffering is not necessary to tultill the requirements ot a morally sound death In tact, it is arguable that Wests decision to assist his father with his suicide and in-turn spare him from such a great deal of pain is actually a more compassionate choice in comparison to xposing him to months of unimaginable pain by denying his fathers request. Again, West implies that suicide is not a natural death. A supplemental argument to his case is missing. If one were to argue that suicide and natural death cannot possibly go hand in hand, then why has nature allowed our intellect to excel to a point at which suicide is even a possible conception for the human race? Later on in the excerpt, West reflects on his memory of when his father asked him to commit assisted suicide. He recalls: I sat up in my chair. I suddenly felt hot and cold at the same time, as I realized hat he meant. But as powerfully as his words registered, the idea behind them didnt seem strange at all. It made sense. He was about to die anyway, so why linger in pain? I knew Id want to do the same thing if I were in his position. (34 West) Jollys contemplation of suicide is undoubtedly a common one of people with analogous situations to his own. Most would find it hard to believe that this wouldnt cross the mind of a person with a terminal illness that would soon lead to unimaginable pain and suffering, followed by death. If exploration of suicide is in act a common happening, why is it that the practice of suicide to avoid agony followed by death is not more common as well? It seems as though the answer to this question is quite simple; It is socially unacceptable to commit such an act solely because it is abnormal. Because abnormality is not a sensible or rational reason not to do something, making the argument that suicide is not a morally righteous death is in-turn irrational and insensible as well. Another challenger of social norms is Catherine Newman, author of I Do. Not. : Why I Wont Marry. Although Newman discusses a very different topic than West does in his short story, the two subjects are very closely related. Newman is a successful writer with a little too much insight on the role of women in society, and the flaws of this role, to happily accept monogamy and more importantly marriage. She breaks down the history of marriage and its original role in society. Marriage represents a very evil concept that very few are even aware of. Newman describes it is as such: marriage is about handing the woman off, like a baton, from her father to her husband. Also known as traffic in women, this is how men have historically solidified their economic connections to other men and guaranteed the continuation of their Seed. (Newman 61) Women were more like bargaining chips for men than soulmates. Marriage is the legal bonding of two families, which doesnt sound very romantic as marriage is made out to be. Although women are no longer owned by their husbands, this ritual is still quite demeaning. Many women experience some feelings of inferiority and in-turn feelings of resentment towards men due to the heavy influence of the media and its bjectification of women. Newman seems to be a prime example of this. Her additional education on the history of the subject has given her an even greater grasp of the hardships of women in our contemporary society which are overlooked more often than not by the general population. Voicing out against the social norm of marriage is extremely commendable and in addition, a betterment of the mentality ot those who are exposed to the underlying implications ot such an act through ner courageous writing. It seems as though many social norms have become so routine to follow and abide y that we rarely ponder the ideas behind them.

Information Essay Outline Sample

Information Essay Outline SampleAn informative essay outline sample can be very helpful for anyone who is working on preparing an academic paper. It gives a place to start writing your essay and gives a central place to group ideas into one straightforward, well-defined pattern that you can build on as you go. If you have already gone through the easy way, you will know that it can be very difficult to write an essay without this sample.An informative essay outline sample can be invaluable to anyone, however. You can find a lot of free informative essays on the internet which are designed specifically to help you create a structured essay outline. Many websites that provide essays on the internet have started providing these samples for a fee. The advantage to taking advantage of these services is that you can see how it is done and you will learn a lot about the ins and outs of writing an essay before you pay.It is important to understand that, an informative essay outline sample is not the only thing that will be required to write a good academic paper. Writing an essay is a skill, and you will need to learn to work with a plan of how to get from point A to point B and it is also important to know where to start with a project that has a single idea. An academic essay is different from just any other writing that you might do and it is important to learn the best ways to make the process easier.Writing an essay is only one part of a student's goal to obtain a B or better grade. This is a skill that needs to be learned. The most important skills to writing an academic paper are studying and reading the required materials and utilizing the various sources of information you have.Be sure to make notes on each concept and take advantage of the space provided. You will find it useful to think about your topics as a whole before you begin to write and when you have finished, you will be able to make more useful notes on the topic.An informative essay outline sample is one of the things that makes the process easy and helps you organize ideas into a cohesive structure. It is essential to structure your paper before you begin to write it. To learn how to write an essay outline, you will need to find out how it is done. For the most part, an educational essay outline is based on four basic concepts that are easily found in almost every classroom.You will be able to find free informative essays on the internet that can be used as an informative essay outline sample. These samples will give you a chance to see the process without having to pay for them.

Shaving by Leslie Norris free essay sample

The short story â€Å"Shaving† is a coming-of-age piece that stresses the need for a family to have a strong and responsible leader. In the short story Barry, the main character, is in a position where his father is dying and he has the responsibility of taking care of him. One day after school Barry comes home to shave his father because he is too sick to do it himself. Through this the reader is able to comprehend the idea that Barry is ready to take over his fathers spot in the family. Leslie Norris illustrates that Barry is ready to become patriarch of the family through direct characterization, contrast with weather and symbolism. In â€Å"Shaving† Leslie Norris portrays that Barry is ready to become the leader of the family through direct characterization. Barry is mature and strong, yet his father is weak and now has to rely on Barry for everything. We will write a custom essay sample on Shaving by Leslie Norris or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Norris begins implementing this message by describing Barry as how â€Å"He walked solidly now and often alone. He was tall, strongly made; his hands and feet were adult and heavy. The room in which all his life he’d grown had become to small for him† (Norris 1). This promotes the idea that Barry is not just mentally but physically ready to become patriarch of the family. He has grown up and is able to function without depending on someone such as his father. As the story progresses the reader then gets characteristics of â€Å"His father’s face was fine-skin and pallid carried a dark stubble of beard† (Norris 2) that needed to be shaved. The reader can infer that Barry’s father is weak and he is ready to let Barry take over his position in the family. This is justified when Barry’s father lets him shave his face. His father is letting go of himself and is relying on Barry to pick up where he is leaving off. Leslie Norris uses contrast with weather to portray that Barry is ready to become the head of the family. Norris begins indicating this message when the end of the story approaches with â€Å"An overnight frost had still been thick on the roads, but the brisk April sun had soon dispersed it and now he could feel the spring warmth on his back through the thick tweed of his coat† (Norris 1). This demonstrates a change in season but also has the more  profound meaning of a change from boy to man. Manhood is approaching quickly and is hanging over Barry, as it will soon engulf him once his father passes away. As the story reaches its conclusion Barry’s by the window in his parents bathroom when â€Å"The window was full in the beam of dying sunlight and Barry stood there illuminated in its golden warmth for a whole minute, knowing it would soon be gone† (Norris 1). The idea of golden warmth helps emphasize that his dad is present and Barry’s standing looking out knowing that the end will soon come for his father’s life. This exhibits that Barry is mentally mature enough for his dad to soon pass away. Leslie Norris uses symbolism often throughout the short story â€Å"Shaving†, to represent that Barry is ready to become the patriarch of the family. She uses symbolism to bring out important ideas and points throughout the text. When Barry is in his parent’s bathroom preparing a tray of tools to help him shave his father, there is a cup sitting there that he notices. Since â€Å"The cup was much older than Barry. A pattern of fine translucent cracks fine as a web had work itself haphazardly, invisible almost through the white glaze† (Norris 2). This cup represents Barry’s father and how old and decrepit he is becoming. The cracks symbolize the weakness and defeat that his father is feeling and experiencing as he deteriorates himself. As Barry continues to assemble the tray â€Å"His father’s razor was in a blue leather case, hinged at the broad edge was one hinge broken† (Norris 2). The blue leather case symbolizes Barry’s father being sick. The broken hinge also represents the same meaning. This supports the idea that Barry’s father is breaking down and dwindling. He continues to get worse as time goes on and needs Barry to help put back together the pieces. Through direct characterization, contrast with weather and symbolism Leslie Norris illustrates that Barry is ready to become the patriarch of the family. Barry isn’t just mentally but physically ready to take over his father’s position. His father is weak and is ready to let Barry occupy his spot in the family. Norris portrays this through direct characterization of Barry and his father. The use of contrasting with weather also amplifies the idea that his father is willing to relinquish his position in the family to Barry. He is mentally able to conquer the tasks that his father’s position entails. Finally Norris uses symbolism to express the idea that Barry’s father is deteriorating and Barry’s job is to pick up where his father is leaving off. It’s a parent’s job to look after their child but in some cases it’s the child’s job to look after the parent.

What Is a P-Value

What Is a P-Value Hypothesis tests or test of significance involve the calculation of a number known as a p-value. This number is very important to the conclusion of our test. P-values are related to the test statistic and give us a measurement of evidence against the null hypothesis. Null and Alternative Hypotheses Tests of statistical significance all begin with a null and an alternative hypothesis. The null hypothesis is the statement of no effect or a statement of commonly accepted state of affairs. The alternative hypothesis is what we are attempting to prove. The working assumption in a hypothesis test is that the null hypothesis is true. Test Statistic We will assume that the conditions are met for the particular test that we are working with. A simple random sample gives us sample data. From this data we can calculate a test statistic. Test statistics vary greatly depending upon what parameters our hypothesis test concerns. Some common test statistics include: z - statistic for hypothesis tests concerning the population mean, when we know the population standard deviation. t - statistic for hypothesis tests concerning the population mean, when we do not know the population standard deviation. t - statistic for hypothesis tests concerning the difference of two independent population mean, when we do not know the standard deviation of either of the two populations. z - statistic for hypothesis tests concerning a population proportion. Chi-square - statistic for hypothesis tests concerning the difference between an expected and actual count for categorical data. Calculation of P-Values Test statistics are helpful, but it can be more helpful to assign a p-value to these statistics. A p-value is the probability that, if the null hypothesis were true, we would observe a statistic at least as extreme as the one observed. To calculate a p-value we use the appropriate software or statistical table that corresponds with our test statistic. For example, we would use a standard normal distribution when calculating a z test statistic. Values of z with large absolute values (such as those over 2.5) are not very common and would give a small p-value. Values of z that are closer to zero are more common, and would give much larger p-values. Interpretation of the P-Value As we have noted, a p-value is a probability. This means that it is a real number from 0 and 1. While a test statistic is one way to measure how extreme a statistic is for a particular sample, p-values are another way of measuring this. When we obtain a statistical given sample, the question that we should always is, â€Å"Is this sample the way it is by chance alone with a true null hypothesis, or is the null hypothesis false?† If our p-value is small, then this could mean one of two things: The null hypothesis is true, but we were just very lucky in obtaining our observed sample.Our sample is the way it is due to the fact that the null hypothesis is false. In general, the smaller the p-value, the more evidence that we have against our null hypothesis. How Small Is Small Enough? How small of a p-value do we need in order to reject the null hypothesis? The answer to this is, â€Å"It depends.† A common rule of thumb is that the p-value must be less than or equal to 0.05, but there is nothing universal about this value. Typically, before we conduct a hypothesis test, we choose a threshold value. If we have any p-value that is less than or equal to this threshold, then we reject the null hypothesis. Otherwise we fail to reject the null hypothesis. This threshold is called the level of significance of our hypothesis test, and is denoted by the Greek letter alpha. There is no value of alpha that always defines statistical significance.

GULF AIR Essay Example | Topics and Well Written Essays - 4000 words

GULF AIR - Essay Example Finance was never a problem-getting aircraft delivered was a much bigger problem. There were basically two countries manufacturing passenger aircraft-the U.S.A. and the U.K. Britain was anxious to sell as many aircraft as they could while they still had a say in international matters. But there was an internal clamour to set up their own airline first, for British. The Americans had no problems of that sort. It was just that they were overbooked. The primary aim was to get an airline going while competing with Saudi Arabia and Egypt, mainly for Arab traffic. Primary strategy was to make use of our Eastern location to fly Eastwards-India, Singapore, Australia. Operating an airline is all about making money-whether for the company or the country. â€Å"We had to stay focussed on international operations and administrative manpower also increased. Growth is reflected in more aircraft and crew, more routes, more alliances and exchanges and so on. We have grown considerably, if I may say so†, he adds. On speaking about the importance and role of internationalisation in their company’s strategy he finds the question, odd. â€Å"Because right from the outset, we were an international carrier, with services to nearly 40 countries worldwide, as a legacy from BOAC†, he explains. This has to be balanced with the fact that they were pan-Arab too, with a predilection towards looking inwards. â€Å"We are a very small country and one jump takes you overseas. First, we had to shake off our Arab insular thought processes. Our clientele is more than 85% foreigners. Our Cockpit Crew is also crowded with foreigners, who are paid a handsome amount. We get to project our country,

Management accounting case study Example | Topics and Well Written Essays - 1250 words

Management accounting - Case Study Example The table in Exhibit 1.5 provides this information. Exhibit 1.5 Calculation of the Profitability of Each Cost Object Description Cost Objects Accounting Economics Law Revenue 450,000 320,000 525,000 Expenses 205,132 149,704 192,164 Profit 244,868 170,296 332,836 Percentage 54.42% 53.22% 63.40% Exhibit 1.5 indicates that Law is the most profitable course with a percentage profit of 63.4% followed by Accounting with 54.42% and Economics the least profitable with 53.22%. The difference is profitability among the three courses can be attributed to the differences in the fees charged per EFTSL and the amount of government grant received per EFTSL. The student fee per EFTSL is highest for the Law course and lowest for the economics course. In fact, the student fee for the Law course is $6,000 or 67% more than the economics course and $5,000 or 50% more than the Accounting course. The government grant per EFTSL for the Economics course is $1,000 or 40% higher than the Accounting course and $1,000 or 17% more than the Law course. In total the Revenue per EFTSL for the Law course is $6,000 or 40% more than that for Accounting and 31% more than that for Economics. ... It is described as a complex and comprehensive process which requires careful and systematic analysis to determine different cost pools and activities that relate to them. This makes the implementation of an ABC system a very costly and time consuming exercise (Estrin at al 1994). According to Horngren et al (2011) ABC is one of the best tools available for improving a costing system. Some of the reasons given include the following. i. ABC emphasises individual activities as main cost objects – each activity having a specific purpose while traditional costing systems do not (Horngren et al 2011) ii. ABC calculates the cost relating to each activity and assigns costs on the basis of the activity which led to the production of the service or product and this leads to higher levels of accuracy when compared to traditional methods like absorption costing (Horngren et al 2011) iii. ABC systems facilitate more favourable pricing and product-mix decisions (Horngren et al 2011) iv. AB C enables decisions relating to cost control by providing information that facilitates process improvement and product design (Horngren et al 2011) v. Studies have found that some level of success is achieved when ABC is implemented which leads to improvements in both manufacturing and business performance (Fei and Isa 2011) vi. ABC provides results that are very different from those generated from less costly methods. However, the information provided can lead to major decisions that impact profitability and other important aspects of the business on which it depends (Estrin et al 1994). Motivations for disagreement The motivations that the Accounting Professor has