Question

In: Accounting

You are a CEO. Your company lobbies for subsidies from the government. You are about to...

You are a CEO. Your company lobbies for subsidies from the government. You are about to finalize your financial reports for the year, and still have some (discretionary) accounting choices to make. Your earnings before interest and taxes are currently (before you make those final discretionary accounting choices) at $100,000. What incentives do you have for making your final discretionary accounting choices, given your bonus plan and the fact that your company lobbies for subsidies from the government. Discuss

Solutions

Expert Solution


Related Solutions

1. a CEO of a company hear about your qualifications as a an IS consultant and...
1. a CEO of a company hear about your qualifications as a an IS consultant and approached you for consultation. she told you that currently they don't have a real information systems in their organization. The employees use Excel, Word, and other similar programs to support their organization. She told you that she was informed by a friend of hers that it is possible to lower costs , increase sales, increase efficiency, and sometimes even to gain a competitive advantage...
You are the CEO of a small company that sells transportation and logistics software. Your company...
You are the CEO of a small company that sells transportation and logistics software. Your company has not been doing well because of competition from larger rivals. You learn of a lucrative opportunity to sell licenses of your software to the Lackria Department of Transportation, a government agency of the nation of Lackria. Closing the deal could save your company from bankruptcy. In an impulsive moment, you meet with a Lackrian government minister and offer her ownership of a luxury...
You are the CEO of a privately held company. Your company has a project regarding the...
You are the CEO of a privately held company. Your company has a project regarding the development and marketing of a new product. The project requires an initial investment (at t=0) of $100m, and will generate a payoff only during the following period, t=1. The payoff at t=1 is random, and depends on your marketing strategy at that time. In particular, you will be able to follow either a conservative strategy (strategy C) or an aggressive strategy (strategy A). Payoffs...
If you were a CEO, how would you recession-proof your company?
If you were a CEO, how would you recession-proof your company?
If you were the CEO of a company, what would you do to your compensation and...
If you were the CEO of a company, what would you do to your compensation and benefits plan to make it effective in aligning employee behavior and performance with the needs of the enterprise? Additionally, please read the article in the “Readings and Resources” section above on performance evaluation and share your views – pro and con – on eliminating such reviews.
Suppose you are the CEO of a company and one of your manager confessed to kiting...
Suppose you are the CEO of a company and one of your manager confessed to kiting $1,000. What is kiting? How do your company do to prevent it? How would you respond to the confession?
Imagine you are CEO of a large company and your board has asked you to take...
Imagine you are CEO of a large company and your board has asked you to take a more sustainable approach to reporting firm performance Do you adopt Triple Bottom Line reporting or Balanced Scorecard? Why or why not? Now imagine you operate a large call centre in Bangalore, India. What social measures would you use for triple bottom line reporting?
What do you learn about your CAFR entity from the Government Wide Financial Statements? Use the...
What do you learn about your CAFR entity from the Government Wide Financial Statements? Use the name of the finanical statement as a heading and list each financial statement as presented in the index to the CAFR. Use the notes to the financial statements and the RSI to assist in your postings as you 'tell the story' of your government entity.
As the new financial manager of your company, the CEO has asked you to provide a...
As the new financial manager of your company, the CEO has asked you to provide a brief analysis of the company’s performance to present at the upcoming board of directors meeting. The CEO has asked that you assess the company’s performance against your company’s industry. Thus, to do this, you will need to use ratio analysis or other techniques to determine areas in which the company is doing well, as well as areas that management should look at. ( you...
You are in a meeting with Andrea Schwager, the new CEO of your company, discussing property,...
You are in a meeting with Andrea Schwager, the new CEO of your company, discussing property, plant, and equipment, when she asks the following: “The accountants are telling me that, if we sell a piece of equipment for an amount in excess of its carrying amount on our statement of financial position, then we record a ‘gain,' which increases net income. If it increases net income, then why don't we call it a ‘revenue'? Wouldn't this be more understandable for...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT