There are several differences between IFRS and GAAP in regards to revenue recognition. First, there are differences in the conditions that must exist to recognize revenue from the sale of goods. For example, under IFRS, one of the conditions is that “The entity has transferred to the buyer the significant risks and rewards of the goods.” Where as one of the GAAP conditions is simply that “Delivery has occurred.” Second, there are differences in recognizing revenue from construction contracts. For example, in GAAP, “If certain criteria are met, the percentage-of-completion method is used. If those criteria are not met, the completed contract method is used.” In IFRS, “The completed contract method is prohibited. If the percentage-of-completion method is not used because the final outcome cannot be reliably estimated, revenue is limited to the amount of recoverable costs incurred.” Third, there are differences in recognizing revenue involving contingent consideration. For example, under IFRS, if there is “the probability that economic benefits associated with the transaction will flow to the entity…revenue might be recognized prior to resolution of the contingency.” However, with GAAP, “Revenue related to contingent consideration should not be recognized until the contingency is resolved.” Lastly, in regards to customer loyalty programs, “there is not specific guidance related to accounting for customer loyalty programs. However, IFRS states that “Credits awarded to program participants must be treated as a separately identifiable component of a sales transaction.” PLEASE COMMENT ON THIS POST

What are some of the conflicts between companies’ desire to collect and use their customers’ data and the privacy rights of those customers

The Indonesian government issued a government bond in 2004, with a maturity of 20 years, the coupon rate is 13%. Currently (the year 2014), the Indonesian government issues government bonds with a maturity of 20 years with a coupon rate of 8%. Note, that the coupon rate decreases from 13% to 8%. Calculate the fair value for the first bond (issued in 2004, and will mature in 2024). The par is 1,000,000 and the yield is 13%

BUSINESS DECISION: FINANCIAL RATIOS

The years 2005 to 2009 saw a coffe company's revenues grow by more than 50%. Use the following financial data to answer the questions below.

a. Calculate the asset turnover ratio for 2008 and 2009. Round to the nearest hundredth.

2008:

2009:

b. Calculate the net profit margin for 2007, 2008, and 2009. Round to the nearest tenth.

Do not enter the percent symbol in your answer.

2007:  %

2008:  %

2009:  %

c. Calculate the return on investment for 2007, 2008, and 2009. Round to the nearest tenth.

Do not enter the percent symbol in your answer.

2007:  %

2008:  %

2009:  %

d. Prepare a trend analysis of the net revenue and total assets for 2005 through 2009.

Round to the nearest tenth. Do not enter the percent symbol in your answer.

e. Prepare a trend analysis multiple-line chart for the information in part d.

Shamsud Ltd. operates on a calendar-year basis. At the beginning of December 2016, the company had the following current liabilities on its books:

In December, the following events occurred:

1.Shamsud purchased a new computer system on account at a cost of $28,000, payable on January 15, 2017. In addition to this, $4,000 was paid in cash to have the new system installed and customized to the company's requirements.

2.The company purchased inventory for $93,000 on account and made payments of $86,000 to its suppliers.

3.The rent that was payable at the beginning of December represented the payment that should have been made in November. In December, Shamsud paid the past rent owed, as well as the rent for December and January.

4.By December 31, the company had earned $5,000 of the service revenue that was received in advance from customers.

5.Shamsud's employees are paid a total of $2,000 per day. Three work days elapsed between the last payday and the end of the fiscal year. (Ignore deductions for income tax, CPP, and EI.)

6.The company's products are sold with a two-year warranty. Shamsud estimates its warranty expense for the year (not previously recorded) as $16,000. During December, it paid $1,200 in warranty claims.

Required:

a.  

Prepare the journal entries to record the December transactions and adjustments. (Ignore the amounts that the company pays for its share of CPP and EI.)

b.  

Prepare the current liability section of Shamsud's statement of financial position on December 31, 2016.

INTERNET OF THINGS (IOT)

27. You have been invited by a reputed IT magazine to write an article that would present three key differences that distinguish fog devices from cloud servers. Describe the three differences.

It is not uncommon to see that alumni often give back to their schools. The question is, what factors influence their gratitude and goodwill and play an important role in them deciding how much to contribute? A sample of some top universities has been analyzed to determine if there is a relationship between the Alumni Giving rate (percentage of alumni who give) and factors like Graduation rate (percentage), % of class Under 20, and Student / Faculty ratio. Run a regression model to determine the relationship.  Answer the following questions based on the Excel table.    

School   State     Graduation Rate   % of Classes Under 20   Student / Faculty Ratio   Alumni Giving Rate
Boston College   MA   85   39   13   25%
Brandeis University    MA   79   68   8   33%
Brown University   RI   93   60   8   40%
California Institute of Technology   CA   85   65   3   46%
Carnegie Mellon University   PA   75   67   10   28%
Case Western Reserve University   OH   72   52   8   31%
College of William and Mary   VA   89   45   12   27%
Columbia University   NY   90   69   7   31%
Cornell University   NY   91   72   13   35%
Dartmouth College   NH   94   61   10   53%
Duke University   NC   92   68   8   45%
Emory University   GA   84   65   7   37%
Georgetown University   DC   91   54   10   29%
Harvard University   MA   97   73   8   46%
John Hopkins University   MD   89   64   9   27%
Lehigh University   PA   81   55   11   40%
Massachusetts Inst. of Technology   MA   92   65   6   44%
New York University   NY   72   63   13   13%
Northwestern University   IL   90   66   8   30%
Pennsylvania State University   PA   80   32   19   21%
Princeton University   NJ   95   68   5   67%
Rice University   TX   92   62   8   40%
Stanford University   CA   92   69   7   34%
Tufts University   MA   87   67   9   29%
Tulane University   LA   72   56   12   17%
U. of California-Berleley   CA   83   58   17   18%
U. of California-Davis   CA   74   32   19   7%
U. of California-Irvine   CA   74   42   20   9%
U. of California-Los Angeles   CA   78   41   18   13%
U. of California-San Diego   CA   80   48   19   8%
U. of California-Santa Barbara   CA   70   45   20   12%
U. of Chicago   IL   84   65   4   36%
U. of Florida   FL   67   31   23   19%
U. of Illinois-Urbana Champaign   IL   77   29   15   23%
U. of Michigan-Ann Arbor   MI   83   51   15   13%
U. of North Carolina-Chapel Hill   NC   82   40   16   26%
U. of Notre Dame   IN   94   53   13   49%
U. of Pennsylvania   PA   90   65   7   41%
U. of Rochester   NY   76   63   10   23%
U. of Southern California   CA   70   53   13   22%
U. of Texas-Austin   TX   66   39   21   13%
U. of Virginia   VA   92   44   13   28%
U. of Washington   WA   70   37   12   12%
U. of Wisconsin-Madison   WI   73   37   13   13%
Vanderbuilt University   TN   82   68   9   31%
Wake Forest University   NC   82   59   11   38%
Washington University - St. Louis   MO   86   73   7   33%
Yale University   CT   94   77   7   50%
1.  Do you think this model is good?  That is, do you see an evidence of relationship? Pick the right option.  
2. What proportion of the variation in Alumni giving is explained by the three variables?
3. Suggest 2 variables (reasons) not in the table that can also be affecting the alumni giving rate.   
3. The coefficient for student / faculty ratio is negative in Excel output.  Give a reason as to why this is the case.  
5.  Find the alumni giving rate for Carnegie-Mellon from the table.  Compare this to your results in Q4.  What is the residual (error)?  

A researcher is interested in heart rates of university students. The researcher randomly selects 52 students from a class they are teaching and measures the students’ heart rates. The data obtained is in the file “Heart Rates.csv”.

1. What is the target population? What is the study population? What is an individual?

2. Is this an observational study or an experiment?

3. The tools you have learned for doing statistical inference require that certain assumptions be met. Check whether these assumptions are satisfied for this dataset.

4. A heart rate of 70 beats per minute (bpm) is considered typical. What type of statistical test is appropriate for this setting? Test the hypothesis that the average heart rate of students in this class is typical. Be sure to include all three steps.

5. Give a 95% confidence interval for the average heart rate of students in the class.

6. Imagine that we know the population standard deviation of heart rates in the class. What type of inference procedure would you use if you had this extra information? How would you expect the margin of error to change?

7. In part 4, you found a statistically significant difference between the mean heart rate of students in the class and a typical heat rate of 70 beats per minute. Based on your answer to part 5, does this difference appear to be practically significant?

Heart Rate Data

A random sample is drawn from a population with mean μ = 74 and standard deviation σ = 6.2. [You may find it useful to reference the z table.]

a. Is the sampling distribution of the sample mean with n = 18 and n = 47 normally distributed?

Yes, both the sample means will have a normal distribution.

No, both the sample means will not have a normal distribution.

No, only the sample mean with n = 18 will have a normal distribution.

No, only the sample mean with n = 47 will have a normal distribution.

b. Calculate the probability that the sample mean falls between 74 and 77 for n = 47. (Round intermediate calculations to at least 4 decimal places, “z” value to 2 decimal places, and final answer to 4 decimal places.)