The Great Gatsby Essay Example for Free

The Great Gatsby Essay If The Great Gatsby had taken place in Sri Lanka, the hype surrounding F. Scott Fitzgerald’s novel would have been non-existent. The enthralling love affairs between the characters that are the foundation of the story would have been absent from the plot because Sri Lankan culture is grounded on Buddhism. Buddhist guidelines emphasize the thought that attachment leads to suffering, a theme that appears habitually throughout the novel. Most characters in the novel face this attachment, but at such a degree that they are unable to detach themselves from the thing they desire. The collective inabilities of Wilson, Gatsby and Tom to let go of the people they love are key contributors to Gatsby’s murder. Wilson’s ineptitude to admit that Myrtle, his wife of 12 years, no longer loves him causes emotional suffering and plays a role in Gatsby’s murder. Wilson discovers that â€Å"Myrtle had some sort of life apart from him,† (111) that she shared with Tom. Wilson, in an attempt not to lose Myrtle forever, locks her in her room so that she can’t run away. His plan is to keep her closed off from the world for a few days and then â€Å"she is going whether she wants to or not† (111). Wilson plans on moving away with her so that the two can start a new life, with no one to get in between them. Although Wilson thinks that this will save his relationship, he is inept to acknowledge that he can’t do anything for them. Myrtle, trying to escape from Wilson, runs into the street and is hit by a car, Gatsby’s car. This causes Wilson to mistakenly believe that Gatsby is the one who killed Myrtle. Using an â€Å"eye for an eye† mentality Wilson wants the same consequences to be inflicted on Gatsby and seeks revenge by murdering him. Had Wilson been able to let go of Myrtle, he most likely wouldn’t have felt anger towards Gatsby. But his ineptitude to let go causes him to feel anger towards Gatsby because he has problems imagining a life without Myrtle. Wilson’s incapacity to acknowledge Myrtle’s lack of feelings for him is among components leading to Gatsby’s death. The inability of Gatsby and Daisy to let go of their past together ultimately contributes to Gatsby’s demise. The couple’s passionate history is rekindled because their houses are in close enough proximity to resume their connection. Even though Daisy has been married to Tom for the past five years, she maintains clandestine feelings for Gatsby. â€Å"Both of us loved each other all of that time,† (111) states Daisy in an emotional moment. This drawn out love holds true for Gatsby who faces difficulties letting go of Daisy. For example, right after Daisy marries Tom, Gatsby has problems accepting the realization that she is out of his reach forever. In desperation Gatsby crashes their wedding. Gatsby, a. k. a. Biloxi, ends up making an excuse to sleep at Daisy’s house for a few weeks after her marriage. Daisy is unaware that it is Gatsby, not Biloxi the box maker from Tennessee, who has been sleeping in her house all of that time. Even though Daisy is married to Tom, Gatsby has such an attachment to her that he hasn’t moved on. Gatsby’s inability to forget about Daisy leads him to persuade Nick to invite Daisy over for dinner. Gatsby plans on trying to reconnect an old fire within Daisy that used to burn for him. This attempt to reignite his love with Daisy ultimately results in his own death. Tom, Daisy’s husband, still loves her and like Wilson is distraught by the fact that another man is taking away his love. Tom wants a way to get rid of Gatsby so that Daisy will only have one man in her life. Tom sees his opportunity to rid Gatsby from Daisy’s’ â€Å"picture† by telling Wilson, who is seeking revenge for his wife’s murder, it was Gatsby’s car that killed Myrtle. In a way Gatsby contributed to his own death by not being able to put his past with Daisy behind him. This incapacity to move on is the spark that ignites people’s revenge towards him, and ultimately is the main cause of his death. Tom’s inability to admit that Daisy has become unfaithful, results in him seeking revenge on Gatsby. Tom is aware of the fact that Daisy and Gatsby have an on going clandestine affair, but still thinks that Daisy has loved him during that time. â€Å"Daisy loved me when she married me and she loves me now,† (117) yells Tom at Gatsby. This shows how Tom is incapable of admitting that Daisy has moved on from him. Even though Daisy is having an affair, Tom still thinks that the two of them share a passionate love for one another. Tom is so confident that Daisy still loves him that he states, â€Å"She’s not leaving me† (118). He falsely thinks that Daisy is as in love with him as he is with her. His inability to let go has made him think that Daisy also doesn’t want to loose him. Like all of the other characters in the book, Tom’s inability to let go of Daisy contributes to Gatsby’s murder. Tom still loves Daisy even though she has moved on from him, and will do anything to still be with her. Tom understands that the only way to be with Daisy is for Gatsby to disappear. Therefore, Tom tells Wilson that Gatsby’s car responsible for killing Myrtle, and as previously stated, allows for Wilson to get revenge on Gatsby. By refusing to admit that Daisy still doesn’t have feelings for him, Tom contributes to Gatsby death. Have you ever gone to the Metropolitan Museum of Art and seen one of those Pointillism paintings made up of small dots of paint? The murder of Gatsby is like a pointillist painting titled â€Å"Just Let Go†. Gatsby’s inability to let go of Daisy is the purple, Tom’s inability to let go of Daisy is the green, and Wilson’s inability to let go of Myrtle is the blue. The important thing is that all of these â€Å"colors† come together to form one image. Like the paintings up close, you only see the different colors and are unaware of the bigger picture being painted. When you look closely at The Great Gatsby you are also unaware how Wilson’s love for Myrtle could lead to Gatsby’s death. But when you step back it becomes apparent how each event leads to Gatsby’s unfortunate death. All of the little actions of Tom, Wilson and Gatsby are small dots in a bigger image. If these three men were able to let go of the people they loved at one time, Gatsby most likely wouldn’t have died. Like the Beatles sang, â€Å"Let if be, let it be, let it be, let it be. Speaking words of wisdom let it be. † If only the Beatles were founded 40 years earlier to pass their message onto the main characters in The Great Gatsby.

Methods Used for Process Costing

Methods Used for Process Costing A process costing method is used for Indus trick producing chemical, petroleum, textile, and flour, pharmaceutical, shoos and coal. This type of costing is also used by firms manufacturing such things methods is the assembly type industry which manufactures such things as type writers, automobiles. Airplanes and house hold electric appliances. Finally certain service industries, such sagas, water, and heat, cost their products by using process costing methods. In fact process costing procedure are often termed continuous or mass production cost accounting procedure. http://www.principlesofaccounting.com/ART/c20art/steelprocess.JPG What is Process Costing? Process costing is a type of costing system that is used for uniform, or homogeneous, products. Process costing averages the costs over all units to come to the per unit cost. This is in contrast to other types of costing systems, such as job-order costing that is used for products that are in differentiated batches. Unlike job-order costing, process costing is tracked using a work-in-process account for each department, rather than through subsidiary ledgers] Process Costing In accounting, process costing is a method of assigning production costs to units of output. In process costing systems, production costs are not traced to individual units of output. Costs are assigned first to production departments and then to units of output as they move through the departments. The process costing method is typically used for processes that produce large quantities of homogeneous products. The process costing method is in contrast to other costing methods, such as product costing, job costing, or operation costing systems. Using the process costing method is optimal under certain conditions. If the output products are homogeneous, that is, the units of output are relatively indistinguishable from one another, it may be beneficial to use process costing. If the output products are of low value, meaning each individual unit of output is not worth much, it may be beneficial to use process costing. And if it is difficult or infeasible to trace production costs directly to individual units of output, it may be beneficial to use the process costing method. Examples of operations that are likely to use the process costing method as opposed to another costing method include a cola bottling plant, a breakfast cereal maker, a company that makes computer chips, and company that produces lumber, and a company that produces bricks. For example, for the company that bottles cola, it would not be feasible or worthwhile to separate and record the cost of each bottle of cola in the bottling process. Therefore, the company would assign costs to the bottling process as a whole for a period of time, and then divide that overall process cost by the number of bottles produced during that period of time to assign production costs to each bottle of cola. Process Costing Methods 5 Steps for Process Costing Analyze inventory flow Convert in-process inventory to equivalent units Compute all applicable costs Calculate the cost per unit of finished and in-process inventory Allocate costs to units of finished and in-process inventory First, analyze the cost-flow model of the relevant inventory account to determine how much inventory was there at the beginning of the period, how much was started during the period, how much as completed during the period, and how much is left as work-in-process at the end of the period. Second, convert the work-in-process ending inventory into a number of equivalent units produced. This means if there are 1,000 units of inventory in work-in-process, and these units are all 50% complete, then you consider this as the equivalent of 500 units produced (500 = .50 x 1,000). Third, compute the total direct and indirect costs incurred by the production process that need to be assigned to the units completed and the units still in process. This includes the costs associated with the beginning inventory and the costs incurred during the relevant period. Fourth, calculate the amount of cost to be assigned to the completed units of output and the equivalent of completed units of output still in the ending inventory. For example, if 2,000 units were completed, and 1,000 units were left half-finished, then you would divide the applicable costs by 2,500 units. Fifth, allocate the relevant costs to the units of product that were completed and to the units of product that remain in the work-in-process account. Source: Hilton, Ronald W., Michael W. Maher, Frank H. Selto. Cost Management Strategies for Business Decision, Mcgraw-Hill Irwin, New York, NY, 2008. Process Costing Procedures Process costing systems follow specific procedures, and while exact procedures may vary by company or by industry, they will generally follow these steps: While other types of costing start with a sales order, a sales order is not needed for process costing as it is a continuous process The work-in-process accounts are divided by department and are named as such for example: Work-in-process Department Name The first department in the process makes the first entry into the work-in-process account, generally for the direct raw materials As the products move from department to department, entries are made to each work-in-process department account Direct labor costs are recorded by period Actual overhead costs are recorded; no contra-account is needed because there is no over- or under-applied overhead due to the actual cost being applied Indirect costs are applied to the overhead account in actual amounts Normal spoilage is recorded as a cost to the work-in-process account; abnormal spoilage is removed from the work-in-process account and applied to a separate account so it can be addressed by management. When Is Process Costing Appropriate? Process costing is appropriate when products are homogeneous (or identical). Where job-order and other types of costing seek to find the cost per unit for batches of differentiated products, process costing seeks to find the average cost of all units over a period of time. Therefore, process costing is only appropriate when all units are the same. For example, a manufacturing company that produces only one homogeneous product may elect to use process costing. Characteristics and process of costing. The characteristics of process costing are: A cost of production report is used to collect, summarize, and compute total and unit cost. Production is accumulated and reported by departments. Costs are posted to departmental work in process accounts. Production in process at the end of a period is restated in terms of completed units. Total costs charged to a department are divided by total computed production of the department in order to determine a unit cost for a specific period. Costs of completed units of a department are transferred to the next processing department in order to arrive at the total costs of the finished products during a period. At the same time, costs are assigned to units still in process. Characteristics and procedure. Accumulate material, labor, and factory over head costs by departments. Determine a unit cost for each department. Transfer costs from one department. Assign coast to the inventory of work still in process. If accurate unit and inventory costs are to be established by process costing procedure, costs of a period must be identified with units produced in the same period. Features/Characteristics of Process Costing Process Costing Method is applicable where the output results from a sequence of continuous or repetitive operations or processes and products are identical and cannot be segregated. Process Costing enables the ascertainment of cost of the product at each process or stage of manufacture. The following features may be identified with process costing: The output consists of products which are homogenous. Production is carried on in different stages (each of which is called a process) having a continuous flow. Production takes place continuously except in cases where the plant and machinery are shut down for maintenance etc. Output is uniform and all units are identical during each process. It would not be possible to trace the identity of any particular lot of output to any lot of input. The input will pass through two or more processes before it takes the shape of the output. The output of each process becomes the input for the next process until the final product is obtained, with the last process giving the final product. The output of a process (except the last) may also be saleable in which case the process may generate some profit. The input of a process (except the first) may be capable of being acquired from the outside sources. The output of a process is transferred to the next process generally at cost to the process. It may also be transferred at market price to enable checking efficiency of operations in comparison to the market conditions. Normal and abnormal losses may arise in the processes There are a number of industries in which process costing can be applied. Elements/Components of Cost Process, cost, accounting, recording, direct, indirect, costs For the purpose of cost accounting, the process industry is divided into separate departments with each department representing a specific process. The Direct Material and Direct Labor/Labor Costs are collected for each department separately and the overheads which are collected over all the departments/processes are apportioned over the various departments/processes on some rational basis. The following are the main elements/components of costs involved in the manufacturing process where process costing method is adopted. Direct Materials There are two types of materials that we come across in process costing. Primary Material Materials which are introduced in the initial process and passed on to the next process as a part of output after completion of processing. Secondary Material Materials which are introduced in the first or subsequent processes in addition to the main material introduced in the initial process. This gets mixed up with the main material and is passed on to the subsequent processes as a part of the output. Direct Labor/Labor The direct labour/labor cost is generally incurred in every process. Identification of direct labour cost is also relatively easy in process costing industry Direct Expenses Expenses in addition to Direct Material and Labor which can be directly attributable to a particular process. These are costs relevant to specific processes. Production Overheads The overhead expenses are generally expended over all the processes involved in production. These are to be apportioned over the various processes in an amicable manner. Methodology of Recording/Accounting Costs Financial Accounting Methodology is adopted for recording costs involved. Process Accounts A nominal account for each process is used to record all the costs relevant to a process. Each process account is Debited with The Primary Direct Material Cost Secondary Direct Material Cost Direct Labor Cost Direct Expenses and Production Overheads allocated and/or apportioned to the process. Credited with The value of output transferred to the subsequent process or finished stocks. Numbers, Alphabets or any word or phrase representing the process are used as suffixes/prefixes in the names (Process I a/c, Process A a/c, Refining Process A a/c, etc.,.) to distinctly identify the processes accounts. Process Stock Accounts Stocks relevant to a process are maintained in a separate stock account. Stock accounts for input may be maintained where all the input acquired/received for a process during a period is not used up. Stock accounts for output may be maintained where all the output produced/completed in a process during a period is not disposed off either by transfer to the next process or by sale. Where the output relevant to a process is sold apart from being transferred to the next process, it generates revenue. These revenues relevant to a process, are generally recorded using the process account or the stock account. FEATURES of Process Costing The product of one process becomes the INPUT OR RAW MATERIAL of the next process; There is a CONTINUOUS FLOW OF IDENTICAL OUTPUT; It is DIFFICULT TO IDENTIFY A COST UNIT because each cost unit is part of a process; It is difficult to cost a cost unit hence we can only find the AVERAGE COST PER UNIT over period of time; COST CENTRES are set up and costs are collected by the cost centers; It is possible that JOINT PRODUCTS may be produced in the processes; WASTE may arise during processing eg due to evaporation, etc Each process or department performs a particular operation(s). A certain stage of production is completed in each process. Each process is carried out by a certain department. A person is usually responsible for a process. An account called a PROCESS ACCOUNT is maintained for each process. This process account captures/records the following: All costs-materials, labor and overheads; Scrap Output Opening work-in-process Closing work-in-process Transfers from previous process Losses or gains Reasons for use Companies need to allocate total product costs to units of product for the following reasons: A conducts are manufactured in large quantities, but products may be sold in small quantities, sometimes one at a time (automobiles, loaves of bread), a dozen or two at a time (eggs, cookies), etc. Product costs must be transferred from Finished Goods to Cost of Goods Sold as sales are made. This requires a correct and accurate accounting of product costs per unit, to have a proper matching of product costs against related sales revenue. Managers need to maintain cost control over the manufacturing process. Process costing provides managers with feedback that can be used to compare similar product costs from one month to the next, keeping costs in line with projected manufacturing budgets. A fraction-of-a-cent cost change can represent a large dollar change in overall profitability, when selling millions of units of product a month. Managers must carefully watch per unit costs on a daily basis through the production process, while at the same time dealing with materials and output in huge quantities. Materials part way through a process (e.g. chemicals) might need to be given a value, process costing allows for this. By determining what cost the part processed material has incurred such as labor or overhead an equivalent unit relative to the value of a finished process can be calculated. Comparisons Similarities between job order and process costing include: Both systems have the same basic purpose-to calculate unit cost Both systems use the same manufacturing accounts The flow of costs through the manufacturing accounts is basically the Same. However, there are some important differences between job order and processing costing as described below. Job Order Costing Process Costing Each job is different All products are identical Costs are accumulated by job Costs are accumulated by department Costs are captured on a job cost sheet Costs are accumulated on a department production report Unit costs are computed by job Unit costs are computed by department Study the production flow and the cost flows of companies which use process costing in Exhibits 4-2, 4-3, and 4-4. Note that as units are partially completed in one department they proceed onto another department for further processing. This will require a journal entry such as: Work in Process Department B Work in Process Department A When the products are completed they are transferred from the final processing department to Finished Goods. Study the model journal entries on Pages 149-150. A complication arising in process costing is that not all units may be completed at the balance sheet date. To calculate unit costs, it will be necessary to compute equivalent units of production. Equivalent units can be defined as the product of the number of partially completed units times the percentage completion of these units. If there are 300 of partially completed units at year-end which are 40% complete, then there are 120 equivalent units. If say 5000 units were completed during the period, the managerial accountant would add 5000 and 120 to arrive at 5120 equivalent units completed during the period. Then total department costs for the period (direct material, direct labor, and overhead) would be divided by the 5120 equivalent units to arrive at cost per unit. Equivalent units can be computed in two different ways, the weighted average method and the FIFO method. We only cover the weighted average method in this course and therefore skip Appendix 4A. Companies using process costing prepare departmental production reports. Exhibit 4-9, Page 158, is a production report for Double Diamond Skis Shaping and Milling Department. Note that the production report consists of three parts as follows: A quantity schedule which shows the flow of units through the department and a  computation of equivalent units A computation of costs per equivalent unit A reconciliation of all cost flows into and out of the department Also note in Exhibit 4-9 that the equivalent unit totals are different for material costs and for conversion costs. This frequently happens as all material is input at the start of the production process but the direct labor and overhead costs are incurred sometime later. 7. Mention of sources used 1. Process Costing Systems What is it and when is it used? A process-costing system is a costing system in which the cost of a product or service is obtained by assigning costs to masses of like or similar units. Unit costs are then computed on an average basis. Process-costing systems are used in industries that produce like or similar units which are often mass produced. In these industries, products are manufactured in a very similar way. The companies usually use the same amount of direct materials, direct manufacturing labor costs and manufacturing overhead costs. Industries that use process costing systems are for example: chemical processing, oil refining, pharmaceuticals, plastics, brick and tile manufacturing, semiconductor chips, beverages and breakfast cereals. The difference between job costing and process costing is the extent of averaging used to compute unit costs of product and services. The cost object in job costing is a job that constitutes a distinctly identifiable product or service. The quantity of manufacturing resources is different in any job. It would be incorrect to cost each job at the same average manufacturing cost. So, when like or similar units are mass produced, process costing averages manufacturing costs over all units produced. The costs of a product are important for inventory calculations, pricing decisions and product profitability analysis. Its also important for measuring how well the management is done and if costs are reduced effectively. Illustrating process costing The best way to show how process costing works, is by example: Global Defense, Inc, manufactures thousands of components for missiles and military equipment. One of these is called DG-19. The product-costing system for DG-19 has a single direct-cost strategy (direct materials) and a single indirect-cost category (conversion costs). Each unit passes through two departments: the Assembly Department and the Testing Department. Every effort is made to make sure that all DG-19 products are identical. Direct materials are added at the beginning of the process in Assembly. Additional direct materials are added at the end of processing in the Testing Department. Conversion costs are added evenly during both processes. They include manufacturing labor, indirect materials, energy, plant depreciation and so on. After leaving the Testing Department, the DG-19 component is transferred to Finished Goods. 2. Three cases 2.1 Case 1: Process Costing with no beginning or ending work in process inventory During January, the first month of the period, Global Defense starts with the manufacturing process. All units will start and end in this period. Altogether, Global Defense will manufacture 400 units of DG-19 during this period. Direct materials in this period: $ 32.000 Conversion costs in this period: $ 24.000 _______ Total Assembly costs in January: $ 56.000 Global Defense records direct materials and conversion costs in the Assembly Department as these costs are incurred. By averaging, the assembly cost per unit would be $ 56.000 / 400 units = $ 140: Direct materials costs by unit ($32.000 / 400) $ 80 Conversion costs per unit ($ 24.000 / 400) $ 60 _____ Assembly Department cost per unit $ 140 Each unit is identical in this case, so we assume that all units receive the same amount of direct materials and conversion costs. The unit costs can be averaged by dividing total costs in a given accounting period by total units manufactured. This approach is for example used by banks to compute the unit costs of 100.000 similar customer deposits made in a month. It is usually used by organizations with mass production of standard units and no incomplete units after the period. 2.2 Case 2: Process costing with no beginning but an ending work in Process Inventory There is no beginning inventory in February, because all 400 units produced in January had been fully completed. Due to customer delays in placing orders, it was only possible to produce 175 units in February. The 225 partially assembled units as of February 28 were fully processed with respect to direct materials, because all direct materials in the Assembly Department are added at the beginning of the assembly process. Conversion costs are added evenly during the assembly process. Based on the work completed relative to the total work required to be done, an Assembly Department supervisor estimates that the partially assembled units were, on average, 60 % complete as to conversion costs. Total costs for February: Direct materials costs in February $ 32.000 Conversion costs February $ 18.600 _______ Total Assembly Departments costs $ 50.600 Problem: How should Global Defense calculate the cost of fully assembled units and the cost of the partially assembled units still in process? The following four steps help us to find the answer: Step 1: Summarize the flow of physical unit of output Step 2: Compute output in terms of equivalent units Step 3: Compute equivalent unit costs Step 4: Summarize total costs to account for and assign these cost to units completed and to units in ending work in process Step 1 tracks the physical unit of output. It shows, where they come from and how many units are there to account for, and where they go and how they are accounted for. Step 2 measures the output in equivalent units, not in physical units, because not all units had been completed. The 400 units are complete in terms of equivalent units of direct materials, because all direct materials are added in the Assembly Department at the initial stage of the process. So you count all 400 units in equivalent direct costs. The 175 fully assembled units are completely processed with respect to conversion costs. The partially assembled units in ending process are 60 % complete (on average). Therefore, the conversion costs in 225 partially assembled units is equivalent to conversion costs in 135 (60% of 225) fully assembled units. So, 310 equivalent units of conversion costs are assembled and transferred out and 135 equivalent units are in ending work in process inventory. In step 3, equivalent unit costs are computed by dividing direct materials and conversion costs added during February by the related quantity of equivalent units of work done in February: Direct costs Conversion costs Costs added during February: $ 32.000 $ 18.600 Divide by equivalent units work done in February: / 400 / 300 ________ _________ Cost per equivalent unit of work done in February: $ 80 $ 60 In Step 4, total costs to account for are summarized and assigned to units completed and transferred out and to units still in process at the end of February. Since the beginning balance of the work in process is zero, total costs to account for consist of the costs added during February: direct materials $ 32.000 and conversion costs $ 18.600. Direct material costs are 225 times $80 (=$18.000) + Conversion costs: 135 times $60 (=$8.100). Total costs are therefore: $18.000 + $8.100 = $26.100. 2.3 Case 3: Process costing with both beginning and ending work in process inventory In march, Global Defense has 225 partially assembled units in the Assembly Department. During march, Global Defense placed another 275 units into production. Step 1 traces the physical units of production. In march, 400 units are completed and transferred out, 100units are in ending inventory. Step 2 computes the output in terms of equivalent units: 275 equivalent units of direct materials and 315 equivalent units of conversion costs. Step 3 computes equivalent unit costs. Direct materials: $ 80; conversion materials: $ 60 Step 4 summarizes total costs to account for and assigns these costs to units completed and to units in ending work in progress. The costs that get assigned to each of these categories depend, as in all inventory accounting, on the specific assumptions regarding the flow of costs. Next are described to alternative methods, the weighted-average method and the first-in, first-out method. 3. Weighted-average method The weighted-average process-costing method assigns the average equivalent unit cost of all work done to date (regardless of when it was done) to equivalent units completed and transferred out, and to equivalent units in ending inventory. The weighted-average cost is simply the average of various equivalent unit costs entering the work in process account. 4. First-In, First-out Method The First-in, first-out (FIFO) process-costing method assigns the cost of the earliest equivalent units available (starting with the equivalent units in beginning work-in-process inventory. This method assumes that the earliest equivalent units in work in process Assembly account are completed first. 5. Transferred-in costs in process costing Transferred-in costs (or previous department costs) are costs incurred in a previous department that are carried forward as part of the products cost as it moves to a subsequent department. That means, costs move with the units when they are transferred to a new department. So, computations of Testing costs must include transferred-in costs, additional direct materials costs and conversion costs added in Testing. The four -step procedure is used to account for the costs of a subsequent department that has transferred-in costs. Units are fully completed as to transferred-in costs because these costs are just carried forward from the previous process. Direct materials costs have a zero degree of completion in both beginning and ending work-in-process inventories, because in Testing, direct materials are introduced at the end of the process. That completes steps 1 and 2. 5.1 Transferred-in Costs and the weigthed-average method In step 3, the equivalent unit costs are computed. In step 4, the total costs to account for are summarized, that is the total debits to Work in Process under the weighted-average method. After that, these costs are assigned to units completed and to units in ending work-in-process inventory. Beginning work in process and work done in the current period are totaled and merged together for purposes of computing weighted-average costs. A company may split the Work in Process account into Work in Process Testing, Transferred-in Costs, Work in Process Testing, Direct Materials and Work in Process Testing, Conversion costs. The journal entries would contain this detail, though the underlying reasoning and techniques would be unaffected. 5.2 Transferred-in Costs and the FIFO-Method The costs transferred-in from the Assembly Department are different when the weighted-average rather than the FIFO method is used in step 3. In step 4, the total costs to account for are summarized, consisting of the beginning inventory plus costs added during the current period, under the FIFO-method. These costs differ from the total debits to Work on Process under the weighted-average method, because of the different costs of completed units transferred-in from the Assembly Department under the weighted-average and FIFO methods. When assigning costs, the FIFO method keeps the beginning inventory separate and distinct from the work done during the current period. Each department in interdepartmental transfers is regarded as being separate and distinct for accounting purposes. All costs transferred in during a given accounting period are carried at one unit cost figure, regardless of whether previous departments used the weighted-average or the FIFO method. 6. Common Mistakes with Transferred-in Costs Here are some common pitfalls to avoid when accounting for transferred-in costs: Remember to include transferred-in costs from previous departments in your calculations. Such costs should be treated as if they were another kind of direct material added at the beginning of the process. In other words, when successive departments are involved, transferred units from one department become all or a part of the direct materials of the next department; however, they are called transferred-in costs, not direct materials costs. In calculating costs to be transferred on a FIFO basis, do not overlook the costs assigned at the beginning of the period to units that were in process but are now included in the units transferred. Unit costs may fluctuate between periods. Therefore, transferred units may contain batches accumulated at different unit costs. Units may be measured in different terms in different departments. Consider each department separately. Unit costs could be based on kilograms in the first department and liters in the second , so as units are received by the second department, their measure

Travis Barker is an Admirable Person :: essays research papers

Why Travis Barker is an Admirable Person   Ã‚  Ã‚  Ã‚  Ã‚  One of the people that I admire is Travis Barker. Travis Barker is a drummer in the band blink-182. Although he may be famous, he acts like a normal guy you see every day. Most people think of someone who is famous as being egotistical, stuck up and think they are better than everyone else in the world. Travis basically proves all of those opinions wrong and makes you realize that although some famous people may be that way, not everyone is.   Ã‚  Ã‚  Ã‚  Ã‚  Travis is a very talented drummer and takes his work seriously. Travis wasn’t the original drummer for blink-182. The original drummer wasn’t able to make it to a concert because of family reasons and the other two members asked their best friend, Travis, to fill in even though he didn’t know how to play any of their songs. Even though it was only an hour before the show when they asked him to fill in, Travis didn’t want to let them down so he said he would learn every song and perform with them. They didn’t want the audience to hear Travis learning how to play the songs so they found two sticks and that was what he used to practice with. An hour later, Travis went on stage and performed with the other two guys in blink-182 and amazed the crowd as well as his two best friends. When the original drummer said he wanted to go to school and was leaving the band, they asked Travis to take over since he had amazed the crowd with his awesome ability to play the drums.   Ã‚  Ã‚  Ã‚  Ã‚  Travis doesn’t only play the drums, he also teaches drum lessons. Travis visits his home in San Diego, CA often and while he is there he gives young children who don’t have much money, if any, drum lessons. He says he loves working with young kids especially since he knows they don’t have a lot of money. He says this is his way of giving something back to his hometown. Travis also likes to think that even though these kids families may not ever have much money, they may be able to become a drummer one day and earn some money.   Ã‚  Ã‚  Ã‚  Ã‚  Even though Travis is well-known, he hasn’t let this affect his life. When people stop him to say â€Å"You’re Travis Barker from blink-182†, he acts like you see someone from blink-182

Mexico - A Special Place Essay -- essays research papers

Mexico - A Special Place It seemed at first like any other family trip with mom all excited and planning, my step dad telling everyone not to pack to much, getting on another plane, and then we land. First thing that I noticed was the heat, it made my knees buckle. Then looking around and seeing all the men with guns, everyone seems so serious going through the lines that have green and red light that either say that you can go or you have to be stopped and searched. It was scary seeing all of this right before my eyes. Everyone was speaking a language that I wasn’t understanding. All sorts of people running out to us trying to give us rides or selling stuff, I don’t really know because I don’t know what they were saying. Once we found the bus that my mom had reserved it was a long, hot, bumpy ride through poverty and dirtiness. What seemed like a ride that wouldn’t stop and seeing accidents and almost being in one myself, we finally reached a green, tropical area along the beach, where our condo was. The moment we got into the condo we all got our bathing suits on and ran to the beach. The first thing that I noticed was how hot the sand was. The sand wasn’t think the sand that was have in Washington, it was soft and clean and dry that was without rocks and sticks in it. We found a place to lay and put our stuff under one of the large umbrellas. When we went to go into the water I noticed something that I will never forget. The Mexicans where roped off from our area and all lined up wanting to sell us jewelry, shirts, hats, and pottery. My brother said that they tried to sell him some marijuana, but no one tried to sell me any of that stuff. Which is a good thing because I am only nine. I didn’t go to the ocean as fast as my brother and younger sister did. Or I didn’t do what my older sister did, which is flirt with the pool boys and try to get her tan started. I stayed with the people selling stuff. I kept thinking that I could swim any time but I could never talk and bargain and try to learn there language. I got so lost and I think that sometimes they had me say the wrong things because they laughed after having me say some phrase of theirs. I liked being the center of attention. I have learned so much about Mexico by just trying to talk to the venders. I even made friends that I think I will always remember and try to keep in touch with.   Ã‚  &nb... ...as the first trip. Being here at home and surrounded by our life with money, cars, school, and friends, I forget about the different life that others had in Mexico. I feel the excitement coming back to me every time mom wants to take a trip there. My first trip changed my whole perspective for other cultures and relly got me thinking about it would be like if I lived in Mexico or if I had to go through all of the poverty. It make me think how different my life would be if I lived there and thankful that I live where I do, but yet so excited to go down and meet all of the friendly people that can even remember me and my name when I see them. Mexico made me notice that with all of the friendly people down in Mexico and their not so great life style, that I now have a better understanding for everything that I have. Even though my life, my family life is different because it is just my mom and I now, when we go to Mexico I still feel the same way about Mexico as when I had my big fa mily. So I think that the place impacts me now with the same feelings no matter who I go with, it is just a special place. No matter how many times that I go to Mexico it is like the first time every time.

Dramatica Theory and James Washington Square :: James Washington Square

Dramatica Theory and James' Washington Square In this essay I will review a critique of James' Washington Square. I found the critique to be dry and rather clinical in its approach to this fine work by Henry James. From the beginning the article presents a cold psychological approach to the characters that James' has made live for me in the short novel. The article covers the character's name, gender, a short description of him or her, the role that character plays in the piece and then goes on to list the basic characteristics of him or her. Motivation, methodology, evaluation and purpose are the four characteristics that are used to describe a character. The analysis does refer to the original work in many places. I found this to be helpful. For example when it describes Catherine Sloper it takes a quote from the novel to list her as, "a dull, plain girl she was called by rigorous critics" (James 11). This did help redeem the article somewhat. But the basic problem I found with the analysis kept leaping up. It's too scientific an approach for any literary work. The main problem with "Dramatica," for me, seems to be in that the theory looks at a story in relation to, "the mind's problem solving process" ("What is Dramatica?"). This area of the website goes on to explain that an author must examine all possible solutions to an issue in the story. In an effort to prove that the author's solutions are the best. The Dramatica theory of critique states that if, "you have covered every angle in your argument, you've mapped all the ways an audience might look at the problem and, therefore, all the ways anyone might look at that problem" ("What is Dramatica?"). This mapping turns any piece into a psychological pseudo study and relieves it of any beauty that it may contain.

Analysis of Video “The World is Flat” Essay

Key issues or Problems in the video: The title â€Å"The World is Flat† was taken from a statement by Nandan Nilekani, the former Infosys (an Indian IT company) CEO. It seems like if hadn’t met Nandan then he wouldn’t have even written this book. He talks about Americans and the developing world but says almost nothing about Africa, Europe & Australia. The World is flat applies better to people with similar kind of economic conditions. In developing world, a big portion of population is poor or much below poverty line as per American standard. Their first challenge is access to food and Education. How could they be part of level playing field and make this world flat. Friedman says first that Nineteenth century belonged to English, Twentieth Century to USA and Twenty first Century to China. Friedman argues that latest age of globalization will be spearheaded by Individuals. He just made this assumption after meeting the cab driver in Budapest & Peruvian Dishware seller who have their own websites. T he percentage of people doing their own business like this is still extremely low to claim that the era belongs to them. It feels like an exaggeration. Its conflicting that on one hand, he says 21st century belongs to China and on the other hand, he says latest age of globalization (which is now) will be spearheaded by Individuals. I can’t accept his methods and question his research and interview process. Friedman is stating something without actually based on real documented facts, but on talks with friends and CEOs he visits. By what it leaves out, it does nothing more than misinform the people around the World. In the end, he talks about Green New Clean energy which kind of feel out of context from the main topic. Critique of video, Supporting arguments, rebuttals of ideas: I think there is a lot to criticize about the Video â€Å"The World is Flat†. Friedman’s view of the globalized world is often obsessed with the successful multinational corporations of India. In the video he talks about individuals or â€Å"free agents†, but being a free agent is riskier. Free agents will not have fixed salary and health care benefits (Source: Brown, C.V.). If there is a free agent in India, he can’t work for American company without Social Security Number for Tax purposes. 90% of the world’s telephone calls, Internet traffic, and investments are local, suggesting that this Video has overstated the trends. His talk of a new flat world  where information, money, ideas, and people can move worldwide faster than before is unreal, we just see a fraction of what he describes globalization (Refer Source:wiki). Globalization causes unemployment here in America. It is shipping jobs outside America where its easy to find cheap labor. The winners will be capitalists worldwide causing income inequality everywhere. This would imply that Globalization will make the world NON-Flat instead. He talks about mashing the two specializations together which doesn’t always give the better result. Actions I would take next and why or personal experience dealing with the issues: The video presents more of an American perspective. Friedman’s work history has been mostly with The NY Times, and has definitely affected the way due to which he thinks this way. I would have liked his ideas in a more â€Å"inclusive voice† to show the whole World’s perspective. I would encourage fair trade instead of free trade. If we put his claims to test against documented facts. It will not pass. I would have liked more research and references. World will be actually a level playing field when everybody will have a fair opportunity to Education & Resource of Technology. If I make a website and start selling say â€Å"Baseball bats†. First of all, there will be a Brand position issue that is why would people come to me instead of going to Store like â€Å"Sports Authority† or so where they can try and test things before buying. Secondly, In real world, its hard to be an Individual and manage the whole thing like getting the stuff made in foreign countries, handle the custom portion, get it shipped etc. on your own. Sources: (2014, May 9). The World is Flat. Retrieved Jun 7, 2011 from Wiki: http://en.wikipedia.org/wiki/The_World_Is_Flat Brown, C.V., Dehayes, D.W., Hoffer, J.A., Martin, E.W., & Perkins, W.C. (2012). Managing information technology (7th ed.): Managing IT in a digital world. Upper Saddle River, NJ: Prentice Hall.

Non Financial Factors

TABLE OF CONTENT INTRODUCTION1 TESCO’S RATIO ANALYSIS2 SUMMARY TESCO’S RATIO13 COMPARATIVE ANALYSE – Tesco’s Vs Marks and Spencer’s________________ _______14 CRITICAL ANALYSIS OF TESCO PLC__________________________________________ 21 CONCLUSION? BIBLIOGRAPHY? APPENDIX 1 –TESCO’S PLC APPENDIX 2- MARKS AND SPENCER’S- CONSOLIDATED STATEMENTS I-Introduction This report will evaluate the financial performance of Tesco’s and comparing it to Marks and Spencer’s has the purpose of evaluating the company's worthiness as investment.As a well knowing company around the world and having an important background in the retail environment Tesco’s is one of the largest supermarkets in the world. Present in 14 countries around Europe, Asia and North America. Tesco’s is always dealing in the financial world, providing also bank and insurance services. ‘Tesco was founded in 1919 by Jack Cohen from a market stall i n London’s East End. Over the years our business has grown and we now operate in 14 countries around the world, employ over 500,000 people and serve tens of millions of customers every week.We have always been committed to providing the best shopping experience. Today we continue to focus on doing the right thing for our customers, colleagues and the communities we serve. ’ (Tesco 2012). The first section of this report, which is the main body, will use financial statements from 2010, 2011 and 2012, along with standard financial ratio analysis to develop a clear picture of Tesco’s financial performance comparing to the competitor. The second section includes a comparative analysis of the competitor strategy and also a conclusion on the performance and health of Tesco PLC based on the years 2010, 2011 and 2012.The third section, presents a critical analysis containing the non-financial factors and risks impacting on the future of Tesco PLC. II-Tesco’s rati o analysis: Ratio Analysis simplifies the financial statement and helps in future planning. It also helps us to inform the entire story of changes and current performance of the company. Ratios highlight all the different factors linked with successful and unsuccessful business. It is a powerful tool of financial analysis in the company. By using Ratio analysis it is easy to evaluate and understand financial health and trend of the business and possible future forecast of the company.Currency = ? (000) The return on capital employed is an important measure of a company's profitability. If ROCE is higher than the company is sound healthy. In 2010 Tesco had 11. 52% ROCE which increase steadily in 2011 and 2012 respectively 12. 93 and 12. 64. So there is a possible reason for this change is that profit increase. It determines management's ability to generate earnings from a company's total pool of capital. Company’s gross profit margin ratio shows that there is slightly differen ce between 2010 and 2012 which shows there was no any major change in their prices.In 2011 the company recorded a gross profit margin ratio of 8. 30%. The positive trend in this margin shows that the company is on profitability trend and therefore is a good investment option. So there is a possible reason for this change the higher cost of production. Operating Margin often refer to simply as a company's profit margin, there is no major change during the period from 2010 to 2012. Activity ratio: 1. Assets Turnover: Asset Turnover= Sales revenue/Capital employed During the last three years Tesco has improved gradually returning continuously in 2011 and 2012 turnover was respectively 2. 4 and 2. 06 . For most companies, their investment in net assets represents the largest component of their total assets. There are no significant changes in asset turnover. Liquidity ratio: Liquidity is a very important ratio for money lenders, suppliers and potential investors to access. According to the Tesco annual statement the result from 2010 to 2012 shows that the current ratio was less than 1 which has a problem to meet their liability in short term. Tesco’s assets are less and its liabilities are quite high which indicates company’s weak current ratio and liquidity problem.Quick ratio is a more conservative (safer) measure of liquidity. A higher quick ratio implies greater safety. According to the acid test ratio Tesco’s acid test ratio was not good because it is below the standard. The liabilities have increased because of increased loan 2010, 2011 and 2012 respectively. In the year 2010 Receivable days was 12. 10 days but after that in 2011 and 2012 fiscal year respectively it was increased to 13. 86 days and 15. 02 days, which is showing their position is not good to collect receivable earlier.It could affect business as well because customers always prefer a long time to pay back whatever they have taken on credit. 2012 = 3598/59278*365 = 22. 15 days It takes Tesco’s approximately 19 to 22 days taken to sell its product from the time it acquire it. Inventory days increased continuously since 2010 to 2012. The possible reasons could be the company’s sales are not good. Capital Gearing: The term â€Å"capital gearing† or â€Å"leverage† normally refers to the proportion of relationship between equity share capital including reserves and surpluses to preference share capital and other fixed interest bearing funds or loans.As the higher a company's degree of leverage as the more the company is considered risky. In, Tesco’s gearing scenario gearing was decreased in 2010 and 2011 separately from 0. 51 to 0. 43, and it was standstill 0. 43 in 2012, which indicates the company improving financially. So there are possible reasons for this change, long term is decreasing in comparison with capital employed. Return on assets: . The profitability ratio here measures the relationship between net profit and assets. Return on assets= Net profit before interest and tax / Total asset*100Return on asset (ROA) indicator of how profitable a company is relation to its total asset . ROA gives us an idea of Tesco how efficient management is sat using its asset to generate earning. In 2010 return on asset was 7. 51% after that there was a decrease till 2012 to 5. 54 %. Tesco PLC has recorded in decreasing sharply value of P/E with values of 14. 12, 12. 12, and 8. 74, being recorded for 2010, 2011, and 2012 respectively (Yahoo Finance 1st Nov 2010,2011,2012). A number of factors could be possible vary due to decreasing in P/E including increased competitiveness for capital in market. Yahoo Finance 2012) 2. Earnings per share: The Earning per Share (EPS) considers the profits that could be paid to each ordinary shareholder. The increase in profit resulted in the increase in EPS. Earnings per share: Earnings o holders / No of o shares in issue 2010 = 29. 33p 2011 = 34. 43p 2012 = 36. 75p The c ompany recorded EPS increased in 2010, 2011 and2012 respectively. There could be number of reason for increasing earnings per share. Possible reason could be the increase in profit, increasing in loan. But it would not be the long term sustainability. 3.Dividend: Dividend per share (DPS) is the sum of declared dividends for every ordinary share issued. DPS is the total dividends paid out over an entire year divided by the number of outstanding ordinary shares issued. Tesco financial statements indicate that dividend yield for the company has been rising in the last five years. The company recorded dividend yields of 3. 15%, 3. 56 %p and 4. 59% for 2010, 2011 and 2012 respectively (Yahoo Finance 1st Nov 2010, 2011, 2012). This is an indication that investor willing to invest in the company have a chance of receiving better dividend in the future. Yahoo Finance 2012) In 2011 company’s debt/equity ratio was higher to1. 04, which is not very good indication for the company. Becau se it heavily depends on loan is not a good policy for any business. But it was reduced the following years in 2011 and 2012 respectively 0. 77 and 0. 77. Debt to Equity: Debt to equity = Non-current interest bearing debt: Equity It is used to determine how easily a company can pay interest expenses on outstanding debt. In 2010 company’s interest coverage was 5. 99 times which increased in 2011 to 10. 47 times but in 2012 decreased slightly to 9. 5. The company’s profit has increased to pay their interest easily. Interpretation and ratio analysis conclusion: In the year 2012 Tesco‘s activity, profitability, liquidity ratio, financial gearing, and investment ratio was comparing with the previous year ratio. In the activity ratio net assets turn increased. Liquidity ratio was quite reasonable due to the economic condition and creditor days decreased which was not good for the company. Financial gearing was not satisfactory and finally, investment ratio increased ma rgin which indicates revenue.The organization managed to increase its return on capital and assets turn over remarkably. Tesco has slightly increased its receivable and payable credit payment period currently showing its financial position. On the other side, it can also be an opportunity for the customers to attract more customers as they always prefer to hold back as much as possible. There is no major difference in the net profit and gross profit margin that means Tesco did not bring any change in its prices and there was not any external pressure from government or competitors.Liquidity of Tesco shows not a major decline over the past 3 years even though it is below 1 which is quite risky condition because current ratio below 1 means liabilities are more and assets are very less. If there will be major decline in the business, the company will not be able to pay their short term liabilities. The Interim report shows that they are reducing the gearing but we Tesco improved its sh ares value by having an increase in the dividends per share and share price. Investors will be attracted by this but this will not stay for long. Yahoo Finance, 2012) III-Comparative Analyse – Tesco’s Vs Marks and Spencer’s We can use Ratio Analysis to do a comparative analysis and seeing our performance with respect to our competitors. For this I have taken Marks and Spencer Group PLC and compared it with Tesco PLC to see the Standing of my company with another company. This helps us to know our strengths and weaknesses in all the areas of the business. Summary of Comparative Results between M & S and Tesco (2010-2012) Revenue and Operating Profits:The revenues earned by the company and the level of operating profit does tell us the size , capacity and type of player the company is in market. The Tesco’s Operating profit s increase over the years but if we see the table below M & S, they reduced the operating cost, but the revenue increased constantly as well. Chart : Tesco & M and S Revenue Comparison The Comparison of Tesco and Marks & Spencer tells us that Tesco is a much bigger company and has a much higher turnover. But through its policies we see that the level of Operating profit of Tesco is higher because of its strong Optimization policies and procedures.Ratio’s comparison between M& S and Tesco: Tesco’s and M & S ratio analysis: Ratio Analysis helps us to inform the entire story of changes and current performance of the company. = 12. 93% 2012 = 3985/ (13731+17801) *100 = 12. 64 % The return on capital employed is an important measure of a company's profitability. If ROCE is higher than it the company is sound healthy. If we see the chart we can M is in stronger condition. 2011= 9740. 30/ (2677. 40+2456. 50) =2. 46 2012= 9934. 30/ (2778. 80+2489. 10) = 2. 49 = 0. 43 2012 = (1460. 10-681. 90) /2005. 40 0. 38 Earnings per share: Earnings o holders / No of o shares in issue 2010 = 29. 33p 2011 = 34. 43p 2012 = 36. 75p M & S 2010 = 33. 50 p 2011 = 38. 80 p 2012 = 32. 50 p The increase in earnings per which is attractive point for investors. Tesco Earning per share increased on 2012 while M Earning per share decreased. 2012 = 2489. 10/2778. 80 = 0. 89% Tesco debt/equity ratio was higher to 1. 04 %, which reduced the following years in 2011 and 2012 respectively 0. 77% and 0. 77%. While M & S was 1. 40 % on 2010 & it’s got bit better on following years.IV-Critical Analysis of the non- financial factors and risks for Tesco PLC In today's worldwide competitive environment organisations have to compete with others regarding a wide range of fields like product quality, delivery, reliability, after-sales services, brand, customer care and feedbacks†¦ (Chairman, FTSE 100 Company, 2003) The financial ratio analysis done above, is very useful as it summarises all the necessary information in order to understand the health of a company, covering profit, liquidity, growth and risk of a com pany.But it is also essential to look at the non financial factors that can have a huge impact on a company’s future potential. V-Conclusion Taking into consideration the ratio analysis applied to Tesco’s between 2010 and 2012 what can be noticed is that the company had some variation. According to level of risk, Tesco’s is less risky than M&S in terms of investment considering that in 2010, 2011 and 2012 had as gearing ratios: 1. 04 %, 0. 77% and 0. 77% respectively and M & S for the same period 1. 40 %, 0. 92% and 0. 89%. As much higher is the gearing ratio more vulnerable is the company to downturns.With an improvement of its shares value by having an increase in the dividends per share and share price, Investors will be attracted by this but this will not stay for long. Moreover considering how much cash flow is available for each pound invested, which is demonstrated by the dividend yield, Tesco’s in 2010 had a variation from 3. 15% to 4. 59% in 2012 which is positive for the business. On the other hand, Tesco’s reacted negatively into the full analysis of profitability, efficiency and effectiveness, liquidity and investor ratios.As an example, the investment per share had a decrease of 5. 38 from 2010 to 2012 and also receivable days had a considerable increase which is a negative impact. Despite of having lower prices than M&S with strong position in UK and also in other continents, Tesco’s might be a good investment in the future, depends on its performance and long-term investment for the follow years. However currently it is not an investment to be considered. Bibliography London Stock Exchange (2012). Tesco PLC ORD SP. London Stock Exchange (2012). Marks and Spencer Group PLC ORD 25P.Available at:http://www. londonstockexchange. com/exchange/prices/stocks/summary/fundamentals. html? fourWayKey=GB0031274896GBGBXSET1 Mark and Spencer (2010)-Annual Report and Financial Statements. Available at http://corporate. marksandspencer. com/documents/publications/2010/annual_report_2010 http://corporate. marksandspencer. com/documents/publications/2011/annual_report_2011 http://corporate. marksandspencer. com/documents/publications/2012/annual_report_2012 (Yahoo Finance, 2012) http://www. bizmove. com/finance/m3b3. htm APPENDIX 1 APPENDIX 2 APPENDIX 1 APPENDIX 2