This is so true! Sometimes I feel this way like I am being rejected for the things that has happened in my life. However, I look back on those things and realize that I have been re-directed to better things in life.
My middle name is May and I like it. I am not sure if I am named after anyone in my family history but I am still looking. There were many family member's who had the middle name May. This is also the month I was born in.
One of the television advertisments that I have watched was about Pamper’s diaper’s and how the shape of the diaper is made to fit any child. With room for movements and other various movements. This ad was telling the consumer that Pamper’s is the right choice from all of the other choices for diaper’s. They put little designs on the diaper’s to make them more appealing for the consumer. Back in the old days they would use cloth diaper’s for the babies and they would have to wash them out. Disposable diaper’s are a dream come true for most parents because they are quick and simple and with little or no mess. The graphics that these commercials use for the ads is wonderful because the ads portray their products on babies and how well the diaper moves as the baby is crawling around. I also think that the ad is socially responsible because it is geared toward parents and babies. To make life a little easier for busy parents and for the child as well. In this day and time I could not see using cloth diaper’s but I would if I had to. Thank goodness that part of it is over. I do not think that ads like this need any improvements.
What is an independent variable? What is a dependent? What is the relationship between independent and dependent variables? What is the purpose of differentiating these terms?
Independent variables are mathematical factor’s that will vary and can be manipulated by the researcher because they would want a certain outcome. A dependent variable is a mathematical factor that would change depending on the researcher’s independent variable. Throughout math we learn that x is the independent variable and y is the dependent variable. By differentiating these two terms can be used in order to find two different numbers within the equation. Throughout the workplace we use variables on a daily basis. For example the current place that I am working for just came out with some new entrée’s to offer to the customer’s. We could take one of the new entrée’s and use it as an example our Mixed Grill is delicious. This entrée would be considered the independent variable because this entrée would rely on the customer’s purchasing the entrée. The sales/revenue that is created from this entrée would be the dependent variable because it would change based on the performance and demand of the entrée. By putting two and two together I now get a better understanding on how important it is to research and gather as much information about the entrée and how it would affect the business. A manager must have a clear understanding of mathematical equations in order to make it through one day of being a manager. Just because there are programs that can do this type of math does not mean that you are always going to get the right answer without doing a little bit of research along with the numbers.
In management, how important is it to learn to use mathematics to solve problems? How valuable is an MBA degree without the ability to identify and calculate the cost of a company’s capital, its return on investment, gross margin percentage, break-even point, or what percent of a population would be willing to buy its product?
Within any business the management team should be able to solve mathematical problems throughout the business. In order to determine if the business has made any type of money the management team would have to calculate the net profit of the business. It is very important to be able to solve mathematical problems and by having a MBA without the mathematics would be a waste of time. Sure many programs out their will do the math for you or the business but how accurate can that be if someone miscalculates the number’s within those programs. Mathematical equations can be used in a variety of ways within the workplace or business.
It is important to be able to solve these mathematical equations so that the business heads in the right direction. Customer’s want to be able to trust the business with their money or other valuable assets. If the customer’s do not trust the business the customer’s are certainly not going to purchase any type of products from your business. Math is used in every part of the business world especially as a manager.
I have been a manager before and some of the math problems were done on a computer but most of the work was done by the manager. By getting the weekly numbers and daily numbers depending on sales. We would have to find the payroll percent and what sales were compared to last year’s numbers.
In business you have to use equations to find the numbers for the amount of sales that you have had for the day. At my current job you have many different things that require equations to find out the percent in sales, food cost, payroll, and operating supplies. For example the food cost is determined by a 24 hour period. If you pull the food that you need for the entire day from a certain period your food cost is determined by the amount of sales that you have for the day.
Say you have for day one 29.9, Day two; 31.4, day three; 35.5, day four; 38.7, day five; 28.9, day six; 27.5, and day seven; 29.9 the food cost percent would be 31.7 for a week. By adding these numbers together and dividing by seven you get the percent of your food cost. Now, your company may be different but many of them have to be under a certain number in order to receive their bonus for that week. The company that she currently works for requires that you have a food cost below 30.0.
While researching the methods of cash basis versus accrual basis of accounting within The Michele Corporation to determine on which one would work better for the Corporation. By discussing the advantages and disadvantages of both methods will give The Michele Corporation a better understanding of which method would work the best for the business. In defining, the Constructive Receipt role within the corporation and how it pertains to The Michele Corporation. Cash basis and Accrual basis methods will both be considered for this corporation so that a decision about the corporations standing.
The cash method of the Michele Corporation happens when the sales are recorded when they are paid. About the only time, a business can record cash when passed through the hands of the business owner or it is an expense. Unlike the accrual basis in which the credits are recorded instead of when the cash was received. The debits of the business are owed instead of when they are paid by the company. By using, the cash accounting method simplifies the Michele Corporation, which allows the Michele Corporation to reduce the bookkeeping costs, and takes less time than the accrual method of accounting. The cash basis accounting allows the Michele Corporation to determine their current profitability by keeping the balance sheet so that the business owner can assess the information concerning the financial situation of the Michele Corporation. The Michele Corporation’s advantage to using the cash is that the corporation would not have to pay taxes on the monies that have not been received by the corporation. According to Jones R and Pendlebury (2000, p. 143), cash-based accounting is a major accounting method that recognizes revenues and expenses at the time physical cash received or paid out, and justified on the grounds that the government budgetary, and control process is an annual.
One of the disadvantages of the cash method is that for small businesses and individuals the cash flows could be restricted during certain times. This is something that would to be looked at during this research process. In the first place, the receipt of non-cash forms of payment creates revenue equal to the value of the payment (Jones, 2011). Many companies that deal with cash business from consumers the cash basis of accounting would be simply better and convenient along with reliability for the corporation. Unlike accrual basis, “income and expenses are recorded when they occur in a fiscal period instead of when the company receives or pays cash.” (Horngren, 2008. p. 687). The Michele Corporation would be able to track expenses and cash, which would not require a bookkeeper. Another disadvantage of the cash method is that if records are not kept the company may not make their payments in a timely fashion because they will not know what they have made if the transactions are not kept in order or written down in a journal or ledger. Because the cash method could be manipulated to defer income and accelerate deductions, the tax law limits its use by large corporations (Jones, 2011).
The accrual method within the Michele Corporation refers to the basic rules or guidelines that the business keeps their financial records. A corporation has to have pristine records so that all monies are accounted for within the corporation. The Michele Corporation has to decide which one of the methods would work for this situation. By understanding, both the cash and accrual methods of accounting will allow The Michele Corporation to see which one would work better for the business, Depending on the type of legal methods, the small business has to decide whether they will extend credit to customers or pay the tax on the cash that The Michele Corporation brings in.
According to generally accepted accounting principles (GAAP), only the accrual method of accounting correctly measures annual income (Jones, 2011). The accrual method within The Michele Corporation has some advantages. One of the advantages of the accrual method is that the financial information about the corporation can be recorded as the transactions occur not when the cash received from the consumer. The accrual basis method of accounting allows the corporation to prepare the financial statements so that they can view at any time to see where the financial standing is within the corporation. Furthermore, the accrual method does not take into consideration whether the corporation has paid the bills or not.
One of the disadvantages of the accrual method for accounting is that it is complicated and rather expensive for The Michele Corporation. The cost to implement and employ the accrual method for The Michele Corporation is expensive compared to the cash method in accounting. Another disadvantage in using the accrual basis method for The Michele Corporation would result in the corporation may owe taxes on the income before the corporation receives that income. With the “cash basis this is used for smaller companies when they record revenue after they receive the cash and pay out cash, that can be tremendously misleading for the financial statements” (Weygandt, 2008).
Constructive receipt is applied to an account when the income is credited to the taxpayer’s account. This means that when The Michele Corporation receives credited income allows the taxpayer to draw on the income during the taxable year. If the payment is received and not cashed or lost The Michele Corporation would still have to claim it as income because it would be a restriction composed on The Michele Corporation. Having a business requires understanding on how accounting works within the business. By having, a clear understanding the owners can see the financial standing of the corporation. If the corporation sees that there are items that need to be taken away or are not needed anymore, the corporation should dispose to reduce the cost of the corporation.
By keeping informed about the corporation’s net present value, will help to determine if the new retail store will make it. Depending on the information that is found within the research by determining the net present value of how the corporation’s financial standings are at the end of the fiscal year. This is information that must be made available to the corporation. On the cash basis records are not required but should be kept to account for the money that he or she has made.
In conclusion, the cash and accrual methods both have some advantages and disadvantages concerning business. The Michele Corporation needs to decide which methods would work better for the business. Funnell W and Cooper K (1998 pg 129), the difference between accrual basis accounting and cash basis accounting revenues and expenses are recorded. In my opinion, I would have to say that the recommendation would have to be the cash basis method because the
Jones, S. M., & Rhoades-Catanach, S. C. (2011). Principles of taxation for business and investment planning: 2011 edition (14th ed.). New York, NY: McGraw-Hill/Irwin.
Harrington, S. E., Niehaus, G.R. (2004). Risk and Its Management The McGraw-Hill Companies, Inc.
Jones R and Pendlebury (2000) Public sector accounting 5th edition, Pearson Education, Essex, chapter 8.
Funnell W and Cooper K (1998) Public sector accounting and accountability in Australia UNSW Press, Sydney, pp. 117-149.
Horngren, C. T. (2008). Introduction to Management Accounting (14 ed.). Upper Saddle River, NJ: Prentice Hall.
Weygandt, Jerry J., Kimmel, Paul D., & Kieso, Donald E. (2008). “Financial Accounting” (6th ed.). Hoboken, NJ: Wiley. Retrieved June 20, 2011 from eBook of University of Phoenix.
Choosing a type of entity on how this business endeavor will operate will involve deep consideration with how the business is taxed along with the liability that comes with operating a business. During this research project will consist of control, management, authority, the number of owners, length of existence, owners, and profits. To make a decision on which entity this business endeavor will fall in the business owner must look at all pros and cons associated with each of these entities: sole proprietorship, Limited Liability Corporation, subchapter S corporation, and C Corporation.
A sole proprietor owns the business assets in his or her own name and is personally liable for the business debts (Jonas, 2011). Sole Proprietorship consists of one owner this type of entity has some good advantages and some bad advantages when it concerns business. The owner themselves is responsible for all liabilities and taxes that the owner will incur during the length of their business. One of the first things that the business owner would need to accomplish would be to file a fictitious name for the business. Sole proprietorships are the most common form of business entity in the United States (Jonas, 2011). One of the advantages of a business owner is that it will entitle the business owner to invest in capital, to limit the personal liability, and will limit the risk to investors within the business. Another advantage that a sole proprietor has over a corporation is that the sole proprietor is the owner accountant cashier controls the inventory and runs the business their selves. Unlike the corporations, these types of businesses have to pay for these types of services just to make it through the day.
One of the disadvantages of a sole proprietorship would include the unlimited liability that comes with owning businesses. Whereas, many business owners will take out loans to obtain things as a sole proprietors use their own money to make things happen within their business. Another downfall for a sole proprietor is that if the funding is not available to them the business owner will have to pay-out-of pocket for the tools necessary to make the business grow. Using the money made from the business, and putting it back into the business allows a little more freedom for the business owner to expand the business further. When a business factors in the gear insurance, and vehicle maintenance for the business will add up over time. However, if the business owner factors in taking out loans there would be quite a bit of things at stake for the business owner because then the creditors will be able to take the business any cash and anything else, that was put up for collateral for the business loan. Therefore, would leave the business owner at the mercy of the creditor until the loan is paid off.
The Limited Liability Corporation has some disadvantages when it concerns business. One of these factors would include double taxation because the business is liable for taxes as well as the owners within the business. Developing, a limited liability company the owner is requires sharing their information with the internal revenue service. When the second tax hits the pockets of the LLC members but on the other hand, the LLC can elect taxation as a sole proprietor, which would make the business pass-through entities. Instead of having to file on the business level with the internal revenue service, the owner of the business would be liable for the taxes on their personal income tax. The major disadvantage of the partnership form is the unlimited personal liability of the general partners for business debt (Jonas, 2011). Another disadvantage of the Limited Liability Company is that if a member passes away or decides to sell his or her portion of the company. The LLC will have to terminate the member’s affairs within the company, and file the dissolution documents required with the LLC state of formation. One major unresolved issue is the extent to which members are subject to self-employment tax on their LLC income (Jonas, 2011).
One of the advantages of having a limited liability corporation is that the members of the company are those that decide which member wants to control all aspects of the business or just a few on a day-to-day basis. Furthermore, the members may decide to appoint non-members outside of the company to the positions to maintain the daily affairs of the company. Another advantage of operating an LLC is that it provides personal asset protection without the formalities of a corporation (Jonas, 2011). LLCs are a newly developed organization form that raises various tax questions concerning the operations of the LLCs and have not been resolved. Business owners must consider this and consult with the other members of the company to make sure that all boundaries are in place to organize the LLC.
A subchapter S corporation is a corporation organized under state law, which becomes a subchapter S by the unanimous election of its shareholders. One of the pre-dominant characteristics of this type of corporation is the limited liability of the shareholders within the corporation. Furthermore, taxes are based on the earnings of the stockholder, and his or her ownership of the corporation. If the corporation were to have financial problems and could not pay the debts, the corporate creditors would not have any claim to the personal assets of the shareholders within the corporation. The shareholder’s risk within the corporation would be the investment that they have made for the corporation. The income that the S corporation has accrued will be listed on the form 1120S (U.S. Income Tax Return for a S Corporation) by the shareholders. The corporations’ income or loss allocated among the shareholders within the corporation and based on the percentage of ownership within this corporations outstanding stock. Another advantage to an S corporation is that there are no statutory limits on the invested capital, number of employees, or the volume of sales. One of the disadvantages of having an S corporation is that the corporation itself cannot have more than 100 stockholders and can have one class of stock within the corporation. A family may elect for all family members to be treated as one shareholder (Jonas, 2011). S Corporations have to follow the same guidelines as regular corporations and some fringe benefits are not available. Another disadvantage to an S corporation would include that the shareholders have to contribute property, money, or loan the money to the corporation, and is not a guaranteed debt.
All C corporations have the power to attract the top-notch employees. Limited liability is an advantage to having a C corporation many businesses prefer to incorporate because of the limited liability for such an entity. Raising capital can be easier for a corporation than for a partner or sole proprietorship because the corporation will sell the stocks that they have invested. This means that more investors can be lured in with the right amount of sales. Investors want to be sure that they will be making a profit off the investments that they make with corporations. Corporations have fringe benefits like group term life insurance, health, and disability insurance, death payments up to $5, 000, and medical expenses not paid by the insurance, which can be deducted as a business expense.
Some of the disadvantages of C corporations consist of double taxation, which means that after the corporation has to pay taxes on the profits earned at the corporate level. All corporations have to abide by the intricate corporate laws, which are put in place by the state and federal government. Some of the costs that is generated by this disadvantage is the lawyers, and tax preparers will need to be hired. Meeting with the board of director’s will have to be held which will be documented and timed. All members of the corporation must approve all actions within the corporation.
In conclusion, as a business owner the entity that would be chosen for this endeavor would have to be the LLC for the simple fact that the business would be a family business and would allow the members to pay the taxes based on the earnings within that fiscal year. With any type of business endeavor there will be advantages and disadvantages to any one of the entities. It depends on what type of risk the business owner is willing to take to achieve the goals set forth by the business owner.
Jones, S. M., & Rhoades-Catanach, S. C. (2011). Principles of taxation for business and investment planning: 2011 edition (14th ed.). New York, NY: McGraw-Hill/Irwin.
3) What might be the special problems of small businesses entering foreign markets? Discuss at least two problems that might be encountered. How might these problems be approached to create a successful marketing campaign? When might it be best to market a product or service only locally?
There are two significant problems that either a large or small business can run into when entering the foreign market place. Failing to adapt a product and to make it market appropriate can cause marketing issues for the business. Going through the wrong distribution channels will cause a desired product to never reach the destination that is intended. Many restaurants have different types of products on their menu’s depending on what type of customer’s they have coming into their establishment. Not every McDonald’s is going to have the same menu items that we have here in my home town. Every culture and every business has their own taste’s and marketing techniques. It is up to the business to know how to market to the right types of consumer’s in order to make the product a success. All business’s have different items for different types of customer’s. Waffle House serves eggs and different types of items to their customer’s while Cracker Barrel offer’s more with the dinner’s they serve. The whole idea behind being in business is attracting different types of people to your establishment and by offering items or products that will entice the consumer to come in. It will also give the word of mouth marketing that every company seeks to find from the customer’s. Finding that niche within the market will also help in getting the product or service to be a success.