Consideration Base

Total Page：16

File Type：pdf, Size：1020Kb

Consideration Base » Costs: A monetary value of expenditures for supplies, services, labor, products, equipment and other items purchased for use by a business or other accounting entity. Synonym: Expenses. » Gross Profit: A company’s revenue minus its cost of goods sold. Gross profit is a company’s residual profit after selling a product or service and deducting the direct costs associated with its production and sale. Synonyms: Gross Income, Gross Margin. » Net Asset Value: The value of an entity’s assets less the value of its liabilities, often in relation to open-end or mutual funds, since shares of such funds registered with the U.S. Securities and Exchange Commission are redeemed at their net asset value. Synonym: Dollar Amount of Shares. » Net Profit: Equal to the gross profit minus overhead expenses minus interest payable for a given time period. Synonym: Net Income. » Net Sales: Revenues earned by a company for selling its products or rendering its services. Also referred to as revenue, they are reported directly on the income statement as Sales or Net sales. Synonyms: Amounts Raised, FOB price, Gross Proceeds, Gross Receipts, Gross Revenue, Gross Sales, Net Billings, Net Proceeds, Net Receipts, Net Revenues, Sales Price, Sales Proceeds, Sales Revenue. Consideration Base » Operating Profit: A measure of a firm’s profit that excludes interest and income tax expenses. It is the difference between operating revenues and operating expenses. Synonyms: EBITDA, EBIT. » Principal Amount/Face Value: The amount borrowed, such as the face value of a debt security, or the part of the amount borrowed which remains unpaid, excluding interest. Synonyms: Amount of Receivables, Invoice, and Principal Balance..

Copy Link

Recommended publications

Sample Listing of Fraud Schemes
Sample listing of fraud schemes Centre for Corporate Governance Sample listing of fraud schemes The following listing of possible fraud schemes can be of the product at the time the sale is recorded. Sellers utilized by management and auditors to assist in may hold the goods in its facilities or may ship them to identifying possible fraud risks, scenarios, and schemes different locations, including third-party warehouses. when performing or evaluating management's fraud risk assessments. The listing of fraud schemes is not Altering Shipping Documentation - By creating phony intended to be a complete listing of all possible fraud shipping documentation, a company may falsely record schemes for all industries. sales transactions and improperly recognize revenue. By altering shipping documentation (commonly changing Fraudulent Financial Reporting Schemes shipment dates and/or terms), a company can increase revenue in a specific accounting period regardless of the Improper Revenue Recognition facts and circumstances that the transaction and the Side Agreements - Sales terms and conditions may be resulting revenue should have been recorded in the modified, revoked, or otherwise amended outside of the subsequent accounting period. recognized sales process or reporting channels and may impact revenue recognition. Common modifications Agreements to “Sell-Through” Product - These sales may include granting of rights of return, extended agreements include contingent terms that are based on payment terms, refund, or exchange. Sellers may the future performance of the buyer of the goods provide these terms and conditions in concealed side (commonly distributors or resellers) and impact revenue letters, e-mails, or in verbal agreements in order to recognition for the seller.
[Show full text]
Cost of Sales Accounting for Preparation
© 2008 sapficoconsultant.com All rights reserved. No part of this material should be reproduced or transmitted in any form, or by any means, electronic or mechanical including photocopying, recording or by any information storage retrieval system without permission in writing from www.sapficoconsultant.com “SAP” is a trademark of SAP AG, Neurottstrasse 16, 69190 Walldorf, Germany. SAP AG is not the publisher of this material and is not responsible for it under any aspect. Warning and Disclaimer This product is sold as is, without warranty of any kind, either express or implied. While every precaution has been taken in the preparation of this material, www.sapficoconsultant.com assumes no responsibility for errors or omissions. Neither is any liability assumed for damages resulting from the use of the information or instructions contained herein. It is further stated that the publisher is not responsible for any damage or loss to your data or your equipment that results directly or indirectly from your use of this product. Table of contents Introduction........................................................................................................................4 1. Define Functional Area............................................................................................6 2. Activate Cost of Sales Accounting for Preparation...........................................10 3. Updating Functional Areas in Master data .........................................................11 3.1 Enter Functional Area in G/L Account Master Data
[Show full text]
Preparing a Short-Term Cash Flow Forecast
Preparing a short-term What is a short-term cash How does a short-term cash flow forecast and why is it flow forecast differ from a cash flow forecast important? budget or business plan? 27 April 2020 The COVID-19 crisis has brought the importance of cash flow A short-term cash flow forecast is a forecast of the The income statement or profit and loss account forecasting and management into sharp focus for businesses. cash you have, the cash you expect to receive and in a budget or business plan includes non-cash the cash you expect to pay out of your business over accounting items such as depreciation and accruals This document explores the importance of forecasting, explains a certain period, typically 13 weeks. Fundamentally, for various expenses. The forecast cash flow how it differs from a budget or business plan and offers it’s about having good enough information to give statement contained in these plans is derived from practical tips for preparing a short-term cash flow forecast. you time and money to make the right business the forecast income statement and balance sheet decisions. on an indirect basis and shows the broad categories You can also access this information in podcast form here. of where cash is generated and where cash is spent. Forecasts are important because: They are produced on a monthly or quarterly basis. • They provide visibility of your future cash position In contrast, a short-term cash flow forecast: and highlight if and when your cash position is going to be tight.
[Show full text]
Capital, Profit, and Accumulation: the Perspectives of Karl Marx and Henry George Compared
11 Matthew Edel Capital, Profit, and Accumulation: The Perspectives of Karl Marx and Henry George Compared The centenary of Progress and Poverty follows by only a few years that of Volume I of Marx's Capital. These two great works of radical economics both appeared in a period of economic turmoil - a long-swing downturn marked by disruption of existing economic relationships, depression, and the rise of new industrial monopolies. Both books pro- posed systems for analysis of economic conditions and advocated revolu- tionary changes. Both were based on the classical writings of David Ricardo, although their systems and proposals differ in many ways. Both won adherents, and both still have them, although Marx has had more impact on policy. In the present paper, I explore some of the differences between the economic analyses of Marx and George. Centenaries are a time for ecumenical dialogue. More important, the modern world's challenges re- quire greater theoretical precision and cross-fertilization of ideas. I shall focus on the treatment of capital, profits, and accumulation in the two theories. The relationship between Marxist economics and the economics of Henry George has often been an antagonistic one, notwithstanding cer- tain common themes. Rival schools often treat each other only with studied ignorance or calumny. Mutual learning and a clarification of fun- damental axioms through confrontation are foregone. 205 206 LAND AS A TAX BASE Both Karl Marx and Henry George were capable of careful and pene- trating analyses of their predecessors in political economy. Whatever the merits of a description of either man as a "post Ricardian" (surely Samuelson's "minor" is unwarranted), both knew and could explain their differences with Ricardo (1821), Malthus (1798), Wakefield (1849), or Mill (1848).
[Show full text]
Understanding Financial Statements
Understanding Financial Statements For Your Business Disclaimer • The information provided is for informational purposes only, does not constitute legal advice or create an attorney-client relationship, and may not apply to all circumstances. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. 2 Topics • Balance Sheet • Income Statement • Cash Flow Analysis • Ratios 3 Financial statements - written records to diagnose financial strengths and weaknesses of business. Usually prepared annually - income statement developed on monthly or quarterly basis. • Balance Sheet • Income Statement • Cash Flow Statement 4 Why Needed? The business owner needs to understand financial statements to: • determine if business is making a profit or losing money; • calculate current and future financial needs; • ensure positive cash flow for short-term needs. For lending and operating purposes, statements determine: • if business can afford to pay a loan; • loan amount; • loan term (number of years); • assets to buy vs. assets to finance; • collateral available to secure a loan. 5 Balance Sheet What a business owns (assets). What it owes (liabilities). What is left over (net value or equity in business). Picture of your business, frozen for second in time. Changes when business receives money or gives credit to a customer or pays a bill. 6 Income Statement Cash Flow Statement Ratios Income Statement Business’ sales and expenses plus its profit (or loss). Cash Flow Statement Sources, uses, and balance of cash, shown by month. Ratios Numbers used from financial statements to analyze a business’ financial condition. Ratios can be compared to other businesses in same industry.
[Show full text]
Economic Impact Analysis Trans Canada Trail in Ontario
Economic Impact Analysis Trans Canada Trail in Ontario August 2004 The Ontario Trillium Foundation, an agency of the Ministry of Culture, receives annually $100 million of government funding generated through Ontario's charity casino initiative. PwC Tourism Advisory Services Table of Contents Page # Executive Summary.......................................................................................................i – iv 1. Introduction ...................................................................................................................1 2. Trans Canada Trail in Ontario.......................................................................................5 General Description.................................................................................................5 Geographic Segmentation........................................................................................5 Current Condition....................................................................................................6 3. Economic Impact Analysis............................................................................................7 Overview .................................................................................................................7 The Economic Model ..............................................................................................9 4. Study Methodology .....................................................................................................11 Approach ...............................................................................................................11
[Show full text]
Reading and Understanding Nonprofit Financial Statements
Reading and Understanding Nonprofit Financial Statements What does it mean to be a nonprofit? • A nonprofit is an organization that uses surplus revenues to achieve its goals rather than distributing them as profit or dividends. • The mission of the organization is the main goal, however profits are key to the growth and longevity of the organization. Your Role in Financial Oversight • Ensure that resources are used to accomplish the mission • Ensure financial health and that contributions are used in accordance with donor intent • Review financial statements • Compare financial statements to budget • Engage independent auditors Cash Basis vs. Accrual Basis • Cash Basis ▫ Revenues and expenses are not recognized until money is exchanged. • Accrual Basis ▫ Revenues and expenses are recognized when an obligation is made. Unaudited vs. Audited • Unaudited ▫ Usually Cash Basis ▫ Prepared internally or through a bookkeeper/accountant ▫ Prepared more frequently (Quarterly or Monthly) • Audited ▫ Accrual Basis ▫ Prepared by a CPA ▫ Prepared yearly ▫ Have an Auditor’s Opinion Financial Statements • Statement of Activities = Income Statement = Profit (Loss) ▫ Measures the revenues against the expenses ▫ Revenues – Expenses = Change in Net Assets = Profit (Loss) • Statement of Financial Position = Balance Sheet ▫ Measures the assets against the liabilities and net assets ▫ Assets = Liabilities + Net Assets • Statement of Cash Flows ▫ Measures the changes in cash Statement of Activities (Unaudited Cash Basis) • Revenues ▫ Service revenues ▫ Contributions
[Show full text]
Return on Investment. Not Just a For-Profit-Business Concept. Kristen Jones, Manager | Assurance
views March 2016 Return on Investment. Not Just a For-Profit-Business Concept. Kristen Jones, Manager | Assurance In the for-profit world today, executives and analysts are often discussing a company’s or project’s return on investment or ROI. Indeed, for-profit entities are often judged by their ability to create sufficient ROI for their investors. Calculating ROI for a personal investment is as simple as calculating the ratio of payoff of an investment to cash or capital invested. For example, an investor who buys $1,000 of stock and sells it two years later for $2,000 nets a profit of $1,000, resulting in an ROI of 100 percent (the kind of ROI we would all love to see on our personal investments). ROI does not have to be, nor should it be, limited to a for-profit • Financial Example - Fundraising gala with gross revenue concept. The idea of an ROI can be very valuable in project of $500,000 and expenses of $250,000 generates an ROI evaluation for not-for-profit organizations. Consideration of of 50 percent. ROI will allow a not-for-profit to assess the impact of intended outcomes as compared to the required financial investment. It • Non-Financial Example - Blood donor need and education can help an organization operate more effectively and efficiently awareness activities costing $100,000 resulting in 500 new through improved utilization of staff and volunteer hours, donors generates an ROI of 1 new donor per $200 invested. expanded investor and donor pools and, ultimately, an improved Board members who are affiliated with businesses who use ROI bottom line to allow for expanded mission projects.
[Show full text]
SPECIAL REPORT (C) Tax Analysts 2014
SPECIAL REPORT (C) Tax Analysts 2014. All rights reserved. does not claim copyright in any public domain or third party content. tax notes™ Practical Considerations for F. Boilerplate Profits Interests Provisions . 1288 Issuing Profits Interests, Part 2 IV. Practical Considerations ............. 1289 A. Tax Reporting .................. 1289 By Afshin Beyzaee B. Self-Employment Taxes ............ 1289 C. Type of Partnership Interest ......... 1290 D. Profits Interests’ Voting Rights ....... 1290 Afshin Beyzaee is a part- E. Tax Distributions .................1291 ner in the Los Angeles office F. Multiplicity of Partners ............ 1291 of Liner LLP, where he heads the firm’s tax practice. G. Drag-Along Provisions ............ 1292 The author would like to H. Tag-Along Provisions ............. 1294 thank Hatef Behnia and J. I. Valuation of Partnership and Assets ....1294 Nicholson Thomas for their J. Revaluation of Partnership Assets ..... 1295 invaluable comments and K. Top-Up Profits Interests ............ 1296 suggestions. L. Grants Not From Partnership ........ 1296 In this report, Beyzaee M. Disqualification Issues for Afshin Beyzaee discusses how profits inter- Partnership .................... 1297 ests can provide an equity incentive to people N. Proposed Carried Interest Legislation . 1297 providing services to a partnership. The tax treat- V. Probably-Not-Final Thoughts ......... 1297 ment to the recipient is favorable, and there are almost endless possibilities in terms of how they III. Structuring Profits Interests are structured. But their use raises a host of issues, in both implementation and administration, that practitioners should be attuned to. And although There are almost infinite possibilities for structur- profits interests have been sanctioned by the IRS for ing variations on the profits interests, giving prac- some time, many unanswered questions about their titioners and business owners great flexibility in treatment remain.
[Show full text]
United Natural Foods (UNFI)
United Natural Foods Annual Report 2019 Form 10-K (NYSE:UNFI) Published: October 1st, 2019 PDF generated by stocklight.com UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended August 3, 2019 or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to _______ Commission File Number: 001-15723 UNITED NATURAL FOODS, INC. (Exact name of registrant as specified in its charter) Delaware 05-0376157 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 313 Iron Horse Way, Providence, RI 02908 (Address of principal executive offices) (Zip Code) Registrant’s telephone number, including area code: (401) 528-8634 Securities registered pursuant to Section 12(b) of the Act: Name of each exchange on which Title of each class Trading Symbol registered Common Stock, par value $0.01 per share UNFI New York Stock Exchange Securities registered pursuant to Section 12(g) of the Act: None Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ¨ No x Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ¨ No x Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
[Show full text]
Frs139-Guide.Pdf
The KPMG Guide: FRS 139, Financial Instruments: Recognition and Measurement i Contents Introduction 1 Executive summary 2 1. Scope of FRS 139 1.1 Financial instruments outside the scope of FRS 139 3 1.2 Definitions 3 2. Classifications and their accounting treatments 2.1 Designation on initial recognition and subsequently 5 2.2 Accounting treatments applicable to each class 5 2.3 Financial instruments at “fair value through profit or loss” 5 2.4 “Held to maturity” investments 6 2.5 “Loans and receivables” 7 2.6 “Available for sale” 8 3. Other recognition and measurement issues 3.1 Initial recognition 9 3.2 Fair value 9 3.3 Impairment of financial assets 10 4. Derecognition 4.1 Derecognition of financial assets 11 4.2 Transfer of a financial asset 11 4.3 Evaluation of risks and rewards 12 4.4 Derecognition of financial liabilities 13 5. Embedded derivatives 5.1 When to separate embedded derivatives from host contracts 14 5.2 Foreign currency embedded derivatives 15 5.3 Accounting for separable embedded derivatives 16 5.4 Accounting for more than one embedded derivative 16 6. Hedge accounting 17 7. Transitional provisions 19 8. Action to be taken in the first year of adoption 20 Appendices 1: Accounting treatment required for financial instruments under their required or chosen classification 21 2: Derecognition of a financial asset 24 3: Financial Reporting Standards and accounting pronouncements 25 1 The KPMG Guide: FRS 139, Financial Instruments: Recognition and Measurement Introduction This KPMG Guide introduces the requirements of the new FRS 139, Financial Instruments: Recognition and Measurement.
[Show full text]
Income Statement $
Paper F3, Financial Accounting Lecture by: Miss Atiqa Rehman INCOME STATEMENT • It tells the performance of Business for the year ended. • It records all the Incomes & Expenses. ABC Ltd Income Statement of Comprehensive Income for the year ended $ $ $ Sales xx - Sales Return (xx ) Net Sales XXX Cost of Sales XXX Opening Stock xx + Purchases (xx ) - Purchases Return xx + Carriage Inward xx - Closing Stock (xx ) Gross Profit + Other Income xx Discount received xx Commission received etc. xx - Other Expense (xx ) Carriage Outward xx Discount Allowed xx Utility Bills xx Rent etc. xx Net Profit XXXX Cost of Sale: All cost necessary to in occur to make the product available for sale. Transportation Expense: Paid by Seller Selling expense Indirect expense Include in other expense Carriage Outward Paid by Buyer Purchase Cost Direct expense Include in calculation of Cost of Sale Carriage Inward 1-Page | 15th of March 2011 Prepared by: Mani Shah CENTER FOR PROFESSIONAL EXCELLENCE, RAWALPINDI http://acca.moviezbuzz.com Paper F3, Financial Accounting Lecture by: Miss Atiqa Rehman Equations: 1. Net Sales = Total Sale - Sales Return 2. Net Purchases = Total Purchases - Purchases return 3. Cost of Sales = Opening Stock + Purchases – Purchases Return + Carriage Inward – Closing Stock 4. Gross Profit = Net sales - Cost of Sales 5. Net Profit = Gross Profit + Other Income – Other Expense Example: A Business made Sales of $300,000 during the year, Purchases of $150,000; Business has stock of $30,000 on 1 st Jan 2010 & $50,000 on 31 st Dec 2010. Business
[Show full text]