Brave new world

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In his book Brave New World, Aldous Huxley subtly expresses his opinion on the thought of a Utopian world and the imperfection of humanity that would make such a paradise impossible to create. Through the characters of the novel Huxley explores this flawed utopia noting the cracks in the structure of the 'World State' when something if out of order, or not acting as it should be. This is a world who's overall stability depends on it's billion strong population to be blissful in their ignorance and emotional suppression. Therefore, if an individual chooses to seek the truth of the world, to seek love, to search for knowledge then the system begins to crumble.

In the world of Huxley mankind as it is today is completely gone. No longer are babies born, now they are created in laboratories. First their job along with their life is planned depending on what class they are to be. The Alpha and Beta classes are the genetic peak of this hierarchy followed by the Gamma's all the way to the peasant class of Epsilon, the semi-moronic class that is designed for all the mediocre tasks. The way that the classes are separated from one another is the amount of alcohol that each group is dosed in as a fertilized egg. In this way the intelligence of each baby is altered. The abilities, and the potential of these individuals have now been utterly crushed leaving them with nothing other then to do what they are made too. No longer is there free will to enter into a learning field of their own choice, they must now perform whatever tasks it was that they were created for. This is a serious problem, fore should the need for a new type of occupation arise, there are now no people who are able to fill it, even the Alpha-Plus class is somewhat restrained in their knowledge and ability to learn.

During human production is the stage, Embryo Storage, where the embryo is altered and slightly conditioned to fit their station, or job in life. As previously mentioned this severely limits any advancement in any other field then the one chosen by the scientists. During the Embryo storage phase many eggs are sterilized so even if the inhabitants of this Brave New World weren't conditioned to retch at the thought of childbirth they would be unable to should they choose to have a baby. The downside of this is the destruction of individuality, as no longer will a child inherit qualities from parents, they will all share the same qualities depending on what type off egg they were fertilized from.

Once 'born' the sleep therapy and physical conditioning begins. Each individual is conditioned for one job and one job only. This is how the Brave New World works and it will be this, which will eventually bring it to its knees.

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Bernard Marx and Helmholtz Waston are two men who, for completely different reasons have rejected the system of this 'utopian paradise' and have instead chosen to exile themselves from their world's way of life. Bernard is a hypnopaedia specialist. It is he and others like him who 'sleep teach' the children after they are born. Bernard resents the fact that he is different, that he does not gain the respect his Alpha-Plus class requires from the lower levels. It is this difference, this resentment that drives Bernard to find the truth of the world, to finally see the cracks and deficiencies in the World State.

Helmholtz on the other hand has completely different reasons, he is the model Alpha-Plus, strong good looking, and witty are just some of his personal qualities. He works as an emotional Engineer, regularly writing for the Hourly Radio. He feels there is something more to his life, that he hasn't reached his full potential yet.

'A mental excess had produced in Helmholtz Watson effects very similarto those which, in Bernard Marx, were the result of a physical defection.'

The World State has many thins wrong with it that cause problems within. The first of which is the suppression of emotion. Love, hate, envy, all has been replaced with an innocent lust for pleasure and indulgence. The free will to do and say whatever you want has been replaced with the semi-free will to say and do whatever is allowed or required with no thought of what else could be said or done.

'Did you ever feel, as though you had something inside you that was only waiting for you to give it a chance to come out? Some sort of extra power that you aren't using you know, like all the water that goes down the falls instead of through the turbines?' (Helmholtz pg 6)

With a world that depends on ignorance Helmholtz and Bernard are threats to society and the overall stability of the world state.

With the introduction of John the Savage this threat develops even more as the young man begins to realize and rebel against the ideas of the utopia. First is the lack of emotion, His feelings for Lenina are made known through his use of Shakespearian poetry. The world State is ill equipped to deal with John as the sights and the soulnessness of the new world begin to grow clear to him. The differences between the New World and that of John are so utterly complete he begins to grow resentful and bitter. He sees the creation of babies as sacrilege and the use of soma holidays as horrendous.

The more he learns of the New World the more he despairs as there is no hope left in the world, no thoughts of love, only pleasure. He becomes violent and lashes out at the ignorance of others and their infantile natures, Finally with nothing left to live for after his last shred of hope has been snuffed out, he commits suicide, for a life without the ability to share joy and love, to create, to be loved, and to excel is not worth holding on to.

Helmholtz and Bernard also discover this but thanks to their conditioning do not take it to the extent that John does. They leave for an island that is full of others like them, others who have become discontent with the loss of individuality for the sake of stability.

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Accounting Treatments for Identifiable Intangible Assets

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Currently in Australia, there is no single accounting standard specifically handling the issue of accounting for identifiable intangible assets other than research and development costs. In 18, the Australian Accounting Research Foundation (AARF) issued an exposure draft ED 4 Accounting for Identifiable Intangible Asset, covering a vast range of identifiable intangibles, which included, but was not restricted to, brand names, franchises, licence agreements, copyrights, intellectual property, mastheads, trademarks and patents. However, it was withdrawn in 1 due to a lack of consensus (Belkaoui & Jones, 16, p.484). Because of the absence of special standards, accounting treatments for these identifiable intangible assets could be selective and thus creative. It may be necessary to take further action to develop an accounting standard on this issue in Australia.

Although intangible assets are often referred to in the literature and in the financial reports of many entities, there seems to be not a unanimous definition for such assets. According to Henderson & Peirson, intangible assets can be defined as rights rather than objects (00, p.70). However, International Accounting Standard (IAS) defines an intangible asset as an identifiable non-monetary asset without physical substance (IASB, 00, online). The elusive definitions of identifiable intangible assets contribute to the inconsistency of accounting treatments for such assets. This essay sets out to discuss some arguments about the accounting treatments for identifiable intangible assets based on the analyses of three Australian publicly listed company cases, and analyse some possible recommendations for the new standard.

Case studies of three Australian publicly listed companies

As per IAS 8 Intangible Assets, examples of possible intangible assets include

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computer software

patents

copyrights

motion picture films

customer lists

mortgage servicing rights

licences

import quotas

franchises

customer and supplier relationships

marketing rights (IASB, 00, online).

As there is no separate standard for identifiable intangible assets apart from research and development costs, the accounting treatments for such assets should be subject to other related standards including AASB 1010 Recoverable Amount of Non-current Assets, AASB 1015 Acquisitions of Assets, AASB 101 Depreciation and AASB 1041 Revaluation of Non-current Assets. AASB 1010 states that a non-current asset measured on cost basis should be written down to its recoverable amount which is less than its carrying amount (Knapp & Kemp, 00, p.7). AASB 1015 requires assets be recorded at the cost of acquisition (Knapp & Kemp, 00, p.05). As per AASB 101, non-current assets with limited useful lives should be depreciated over those useful lives (Knapp & Kemp, 00, p.507). In AASB 1041, non-current assets are required to be measured at either cost or fair value (Knapp & Kemp, 00, p.6).

The cases to be analysed below are Telstra Corporation Limited (TLS), Lend Lease Corporation (LLC) and Amalgamated Holdings Ltd (AHD), all of which are Australian publicly listed companies. For the purposes of this essay, the accounting treatments for identifiable intangible assets should involve the amortisation method, the useful lives of the assets and the treatment for their recoverable amounts. The following paragraphs will describe their accounting treatments for identifiable intangible assets, discuss the possible reasons for the treatments adopted by each of them and identify similarities and differences in the treatments across the three companies.

First of all, it can be seen from the financial report of Telstra that the dollar value of intangible assets was A$,01 million at 0 June 001. Excluding the goodwill of A$1,548 million, the identifiable intangible assets were A$1,464 million, which included patents, trademarks, licences, brand names, and customer bases (Appendix 1). According to note 1.0(b) to the financial statements, the costs of such assets were amortised using the straight-line method over their useful lives, which averaged 1 years for financial year 001. The recoverable amounts were reviewed annually and the carrying amount was adjusted down and charged to the statement of financial performance when necessary. However, the research and development costs and the software assets developed for internal use were put under the item of other assets instead of intangible assets (note 1.1). On the other hand, note 1.1 states that its financial report was prepared in costs.

According to AASB 101, the depreciation or amortisation method should be able to reflect the pattern where the entity consumes the future economic benefits of its assets (Knapp & Kemp, 00, p.50). It may be because of the difficulty of estimating the pattern of consumption of economic benefits from aforenamed assets, which includes patents, trademarks, licences, brand names, customer bases, research and development costs and software, that they were amortised using the straight-line method in Telstra's practice. Furthermore, the useful life of an asset should be estimated considering the factors of expected physical wear, obsolescence and legal or other limits on the use of the asset (Knapp & Kemp, 00, p.50). Though the useful lives of some intangibles were not given individually, it can be believed that they were estimated on consideration of the legal limits of intangible assets. Besides, as required by AASB 1010, the intangible assets of Telstra are reviewed annually and reduced their values where applicable.

Second, according to its financial report, Land Lease had intangibles of $.6 million other than goodwill on 0 June 001, which consisted of a patent $ 4. million that was being amortised over years. The basis of amortisation was the straight-line method. Moreover, the costs of IT systems and mortgage servicing rights were put under the name of other assets instead of recording in intangible assets. The notes also states that the financial statements had been prepared on historical cost and did not take into account fair values of non-current assets.

Land Lease is a real estate investment manager company. Due to its range of services, it may be believed that its intangible assets were recorded on cost basis because it was assumed to be more reliable. The use of a straight-line basis may attribute to the difficulty of estimating the pattern of consumption of economic benefits from its intangible assets. The various useful lives, however, could be determined relying on the length for which Land Lease was going to use them.

The third company to be analysed is Amalgamated Holdings Ltd (AHD). The financial statements show that it possessed $11,47 thousand intangible assets, the identifiable intangible asset among which is a liquor licence of $8 thousand at 0 June 001. It can be seen from note 17 that the liquor licence was not amortised during the financial year 001. Research and development expenditure was expensed as incurred and thus not included in intangible assets. The financial statements had been prepared on the historical costs basis, not concerning the fair values. The carrying amount of identifiable intangibles was reviewed at balance date, the excess amount of which over the recoverable amount, if any, would be written off as an expense.

As described above, Amalgamated Holdings recorded its intangible assets at costs instead of fair values probably due to the belief that the former may be more reliable. The treatment of carrying amount is subject to the requirements of AASB 1010. However, the possible reason for not amortising the liquor licence could be the belief that it has an indefinite useful life.

In summary, comparing and contrasting these treatments adopted by the three companies above, there are both similarities and differences in the treatments. On the one hand, they all prepared their financial reports on a historical costs basis, and reviewed the carrying amounts of their identifiable intangible assets and write them down when they were greater than the recoverable amounts. Moreover, any of the three companies did not recognise the research and development costs as identifiable intangibles. On the other hand, both of Telstra and Land Lease amortised their identifiable intangible assets on a straight-line basis over their useful lives, while Amalgamated Holdings did not perform this amortisation for financial year 001. Also, there is a slight difference between the useful lives determined by Telstra and Land Lease. The former amortised its intangible assets over the period of expected benefit based mainly on their legal lives, while the latter amortised its patent over years, which was much shorter than its legal life.

Arguments about these accounting treatments in companies' reports

In the next part, both positive and negative sides of the arguments with respect to the recognition and subsequent amortisation of identifiable intangible assets in these three companies' annual reports are to be discussed. Analyses would be undertaken regarding to two sections recognition and amortisation of identifiable intangible assets.

Firstly, an asset is recognised in the statement of financial position when and only when it meets the recognition criteria (Greaves et al. 00, p.-7). As per ED 4, an identifiable intangible asset is to be brought to account where (a) the future benefits of the identifiable intangible asset are probably to eventuate, and (b) it possesses a cost or other value that can be measured reliably (Alfredson, 001, p.1). By and large, existing financial statements often recognise only those assets that are acquired externally. Arguments encompass the extent of the recognition and the value recognised of identifiable intangible assets.

To some extent, internally developed intangible assets will often not be easy to measure reliably because they may not be able to associate directly with transactions of the entity (Alfredson, 001, p.1). IAS 8 issued by the International Accounting Standards Committee (IASC) puts some restrictions on the recognition of internally generated intangible assets. Paragraph 45 states that internally generated brands, mastheads, publishing titles, customer lists and items similar in substance should not be recognised as intangible assets (Leo, 1, p.0). However, opponents of IAS 8 argue that these rules for recognition are inconsistent because identifiable intangible assets are treated differently from other non-monetary assets (the Group of 100, 000, online). For instance, internally generated intangibles such as brands, mastheads and publishing titles may satisfy the definition of an asset but are not permitted to be recognised as separate assets according to IAS 8. In the case of Telstra, assets like brand names and customer bases were recorded as intangibles although they have been developed internally by the company.

As for the measurement of intangible assets, paragraph of IAS 8 requires an intangible asset be measured initially at cost (IASB, 00, online). In Australia, the principles for accounting for acquired assets, including intangibles, are stated in AASB 1015 that acquired assets should be recorded at the cost of acquisition (Knapp & Kemp, 00, p.05). Arguments against this rule suggest that the initial recognition rule should be at cost or value (Leo, 1, p.1). In Australian practice, however, intangible assets are generally measured at cost concerning the requirements of the accounting standard. Examples are given as the adoption of above three companies.

Secondly, there are also pro and con arguments with respect to the necessity of amortising intangible assets. On one hand, amortisation is generally mandatory according to accounting standards. Intangible assets are required in paragraph 7 of IAS 8 to be amortised over the best estimate of its useful life (IASB, 00, online). The halted ED 4 proposed that identifiable intangible assets with finite lives should consequently be amortised over the period of time during which benefits from the assets are expected to arise (Alfredson, 001, p.1). As given above, amortisation is adopted by Telstra and Land Lease following the rules in AASB 101.

On the other hand, however, some commentators argue that the amortisation requirement should not be compulsory. The Group of 100 believes that identifiable intangible assets that have indefinite lives should not be subject to mandatory amortisation, but that an annual impairment test should be applied to ensure the carrying amount of the asset is recoverable (000, online). In practices, according to a survey of Australian company reporting involving the top 150 Australian holding companies reporting over the years 1 to 16 by Tibbits, a number of companies stated their intentions not to amortise their intangible assets (Leo. 1, pp.675-677). In the case of Amalgamated Holdings, no amortisation was provided on the liquor licence possessed by the company.

Recommendations to the new standards

The current absence of single accounting standard that specially deals with the issue of accounting for identifiable intangible assets leads to the somewhat flexible accounting practices in Australia in a certain extent. For instance, the results of a company or an economic entity could be reported more favorably merely by classifying a greater portion of the cost of identifiable intangible assets with an assumed indefinite life because intangible assets with indefinite lives are believed acceptably not to require amortisation. The release of IAS 8 indicates the international tendency of reducing such flexibility by revising accounting standards for treating intangible assets. However, the need has existed in Australia for a new standard regarding to the topic of accounting for identifiable intangible assets.

First of all, considering the difficulty of recognizing identifiable intangible assets without a satisfactory definition, a standard relating to the definition and essential characteristics of an "identifiable intangible" asset should be proposed. The Intangibles Research Center at New York University offers a possible definition

Narrow Definition¯ Intangibles are nonphysical sources of probable future economic benefits to an entity that have been acquired in an exchange or developed internally from identifiable costs, have a finite life, have market value apart from the entity, and are owned or controlled by the entity (Upton, 001, p.57).

As per SAC 4, identifiable intangible assets should be recognised when they meet the recognition criteria as well as the definition. In order to establish an acceptable and reasonable practicing system for treating identifiable intangible assets, it could be essential to consummate the accounting theory.

Furthermore, identifiable intangible assets should be measured at either cost or allowed alternative values. The Group of 100 recommends recognising identifiable intangible assets at cost of acquisition or at valuation (000, online). However, in the CPA Australia monograph, identifiable intangible assets are suggested to measure at cost or at discounted recoverable amount (Parker & Soukseun, 18, online). Choice of measurement basis can be made depending on the source and nature of the assets.

In addition, the term "Amortisation" should be replaced with the term "depreciation" and all assets which have determinable useful lives should be depreciated in accordance with AASB 101 "Depreciation" (Parker & Soukseun, 18, online). The term "amortisation" is described in AASB 101 paragraph 5.5.1 as having "the same meaning" as "depreciation" but is used in relation to non-current assets which do not have physical substance (Knapp & Kemp, 00, p.50). Moreover, as indicated in APB Opinion 17, there should be no sensible distinction that can be made between assets on the ground of physical substance (cited in Leo, Hoggett & Radford, 15, p.0). Therefore the two different terms should be unified in all accounting standards.

Conclusion

In conclusion, the importance of intangible assets is the distinguishing feature of the new economy. Given the analyses of the three Australian publicly listed companies here, accounting treatments that have been adopted for the identifiable intangible assets are various. Controversial arguments about this issue are also continuous during the recent decade. It is necessary for AASB to speed up the process of developing an accounting standard on this issue.

However, establishing a standard on accounting for identifiable intangibles is never going to be an easy task for Australian standard-setters. Flexible practices have become well established and any proposed restrictions to those practices were inevitably going to give rise to controversy. Alternatively, the AASB could seek to convince the IASB and other national standard-setters that a less restrictive approach is preferable. Meanwhile, academics could well play a role by conducting relevant empirical studies. But, above all, the AASB must have the resolve to finalize the task.

Alfredson, K. 001, "Accounting for identifiable intangibles An unfinished standard-setting task", Australian Accounting Review, vol. 11, no. , Reading 7- in ACCT00 Accounting Theory Resource Materials, 00, Central Queensland University, Rockhampton.

Belkaoui, A. R. & Jones, S. 16, Accounting Theory, 1st Australian edn, Harcourt Brace & Company, Australia, Marrickville.

Greaves, M., Whitwell, R., Baxter, P. & Harreveld, D. 00, ACCT00 Accounting Theory Study Guide, Central Queensland University, Rockhampton.

The Group of 100, 000, Accounting for Identifiable Intangible Assets, [online]. Available at URL http//www.group100.com.au/submissions/sub_000055_aasb_iia-ias8.htm (Accessed at May 00).

Henderson, S. & Peirson, G. 00, Issues in Financial Accounting, 10th edn, Pearson Education Australia, NSW.

International Accounting Standards Board (IASB) 00, Summary of IAS 8, [online]. Available at URL http//www.iasplus.com/standard/ias8.htm (Accessed at 4 May 00).

Knapp, J. & Kemp, S. (eds.) 00, Accounting Handbook 00, Pearson Education Australia, Sydney.

Leo, K. 1, "Intangible assets and goodwill", in Financial Accounting Issues, eds K. Leo et al., John Wiley and Sons, Brisbane, Reading 7-1 in ACCT00 Accounting Theory Resource Materials, 00, Central Queensland University, Rockhampton.

Leo, K. 1, "Intangible assets Seeking consistency", Australian CPA, vol. 6, no. 10, Reading 7- in ACCT00 Accounting Theory Resource Materials, 00, Central Queensland University, Rockhampton.

Leo, K. J., Hoggett, J. R. & Radford, J. 15, Accounting for Identifiable Intangibles and Goodwill, Australian Society of Certified Practising Accountants, Melbourne.

Parker, C. & Soukseun, D. 18, IAS 8 how tangible is the Intangible Standard?, [online]. Available at URL http//www.cpaonline.com.au/Archive/81/pg_aa81_ias8.html (Accessed at May 00).

Upton, W. S. 001, "Special Report Business and Financial Reporting, Challenges from the New Economy", Financial Accounting Series, April, no. 1-A.

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Every Man For Himself

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Every Man For Himself

by

B. Brainbridge

The commonly known tale of Titanic who collided with a ten-story iceberg and foundered on her maiden voyage, is often times looked callously by the common person. We never can fully comprehend that over 1500 lives were lost due to careless errors by the crew as well as fame for the White Star Line. We fail to see the hopes for the immigrants journeying to America in search of a better life or the aristocrats on the upper decks who were awaiting the telegram from the state of the art telegraph which could relay messages to their family members on shore. Beryl Bainbridge portrays this type of reality that leads the reader into the personal lives of the passengers and crew of the largest ship of her time. The insights to these specific people is rather dazzling whereas it makes the reading on a more personal. For historical context purposes, it is also beneficial due to the fact the Bainbridge, as it is stated on the inside cover, spent time researching the story of Titanic to make it historically accurate. Only being able to fully comprehend about four or five characters personalities, she points out that each of the over 1500 people were just as these characters that the reader begins adore. By reading this novel, the reader can begin to understand the meaning and value of human life.

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The novel is characterized into the whole voyage, day by day, up until the rescuing ship Carpathia arrives on the scene. Every Man For Himself, the title, comes from the quote from Captain Smith made toward the end of life of the ship. This shows the reader, prior to reading the novel, that each person struggles with a personal conflict that is unique to that specific person. The onset of the novel introduces the main character of the plot, James Morgan. Being the nephew of the co-owner of the White Star Line, he is treated with the utmost respect by the crew and most of the passengers. Although he is humble to this sort of treatment, he does not enjoy particularly being favored on every occasion by his fellow passengers and especially the brown-nosing crew. The novel shows how Morgan makes a few good acquaintances on the journey that are around his own age (twenty-two) and how they begin to realize the nonsense chatter and gossip that the other passengers engage in. Being a first-class passenger, he has access to all of the amenities that were considered luxuries for North Atlantic sea travel at the given period such as the salt water bathes (swimming pool), squash court (similar to a tennis court), and the Turkish Baths (steam baths). He explains these things certain indulgences with the utmost preciseness, but then again does not over work his description by making them too wordy.

The reader can clearly see Morgans fears of death in the last thirty pages or so when he, and the other passengers, realize that the unsinkable ship is really to founder. Madness soon sets in and Morgan desperately tries to find a way to escape his death. His emotions can be captured by his thoughts as he races to find a lifeboat that will allow men to enter. Near the ending of Titanics life, he finds Lifeboat No. 5 that is willing to accept men because there are no women or children apparent at the specific time. Even then he asks the other men to wait for a few moments for any women/children to come by, thus risking his own life, since their lifeboat is only a quarter to capacity. This marks the beginning of Morgans senseless guilt as he feels that women or children could have been saved if the lifeboat had waited. This shows how deep his character goes as well as his kindness and compassion for human life. There are previous instances were this sort of character is shown, but this it the most significant.

As mentioned before, Morgan shows great clemency for all human life regardless of social/economic class, race, or religion. This is demonstrated to him at the uppity private cocktail reception that is held after dinner. The Astors, equivalent to the modern day Bill Gates, were there among the Guggenheims and the Strauses. When they begin to think lowly of the third class, or steerage, passengers he speaks out against it. Many of their other guests are shocked that one of their aristocratic associates does not have the same ideals as they do. Nevertheless, despite their reneging , he takes a firm stand for what he thinks is right. This example ties into the one previously stated when he speaks out about leaving at the last moment in hopes that more passengers lives can be saved. Bainbridge portrays Morgan as the rebel in his upper-class society, similar to that of Rose in the Paramount picture Titanic. Morgan is, therefore, the protagonist fighting society which is the antagonist.

The symbolism in this book is sparse but very obvious for the novice reader, such as the author of this paper. The thought of human life is stressed as a major component in the novel as by the testimonials given by Morgan as well as what is emphasized by Bainbridge. This novel would give their reader a good feel for what life aboard Titanic would be like, since it is so historically accurate. This also will let the reader see what and how class distinctions were in 11 and still, not nearly as much tough, continue today. Character development in Every Man For Himself comes mostly from, of course, Morgan who goes into the novel a pompous man and surprisingly fast (around page forty) becomes more kindhearted and compassionate. This novel can be read on any number of different levels from on the surface to way beneath the surface, similar to Animal Farm. In conclusion, a great work by the distinctive British author Beryl Bainbridge Every Man For Himself illustrates not only human compassion but is a great historical book for the typical history buff type of person.

Every Man for Himself

by Beryl Bainbridge

Please note that this sample paper on Every Man For Himself is for your review only. In order to eliminate any of the plagiarism issues, it is highly recommended that you do not use it for you own writing purposes. In case you experience difficulties with writing a well structured and accurately composed paper on Every Man For Himself, we are here to assist you. Your cheap research papers on Every Man For Himself will be written from scratch, so you do not have to worry about its originality.

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Short Debt

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Accounting for Short Term Debt Obligations

Page 541

General

1. Liabilities that are short term in nature are not discounted.

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They are shown at face value.

. Examples

i) Accounts Payable

ii) Notes Payable

iii) Miscellaneous Taxes

iv) Property taxes

v) Payroll taxes

vi) Sales Taxes

Short Term Operating Liabilities

. Most goods are purchased on Credit

4. Accounts Payable is reserved for purchase of materials in a manufacturing company, and merchandise in a retailing company.

5. Other short term liabilities are stated separately.

6. If discounts are expected to be taken then the liability should be reported net of the expected discount.

Short Term Debt

7. Promissory Note formal written promise to pay a sum of money in the future. Usually reflected on the Debtors Books as Notes Payable

8. Two Types of Promissory Notes

i) Trade Notes Payable note issued to trade creditors for purchase of goods and services

ii) Non Trade Notes Payable loans for the purchase of non current operating assets.

Short Term Obligations Expected to be Refinanced.

. short term debt that is expected to be refinanced on a long term basis should not be reported as a current asset.

10. FASB Statement # 6 Provides Authoritative Guidelines.

i) Management must intend to refinance obligation on a long term basis

ii) Management must demonstrate an ability to refinance

a) actually refinancing between balance sheet date and the issue date of the statements

b) reaching a firm agreement that clearly provides for refinancing on a long term basis

11. other items

i) The terms of the refinancing arrangement should be non-cancelable

ii) The refinancing agreement should be clearly long term in nature.

iii) Company should not be in violation of the agreement as of the date of the financial statements or on the date of issuance.

iv) Both lender and company should have the financial capability.

v) The portion that is excluded from current liabilities cannot be greater than the proceeds from the refinancing.

1. Timing of the Refinancing A special problem occurs when the debt matures between the balance sheet date, and the date that the financial statements are issued.

Example

ABC Co. has $ 800,000 Note Payable as a current liability at December 15, 001. The note payable is due Jan 15, 00. Management intends to refinance the note with a bond issue. The requirements to have the note reclassified as long term are satisfied. The Financial Statements will be issued Feb 8, 00

Case I. Bonds are issued before December 1, 001

The company does not have a current liability at year end , and this discussion does not apply.

Case II. The Bonds are issued on January 15, 001

The Note Payable will be reclassified as long term.

Case III The Bonds are issued on January 8, 001.

The Note Payable cannot be classified as long term. It must be included in current liabilities.

V. Line of Credit -

1. Definition Line of Credit is a negotiated arrangement with a lender in which the terms are agreed to prior t the need for borrowing. Access to funds will be provided immediately when needed instead of having to go through the loan approval process.

. Disclosure of a Line of Credit arrangement is required in the Notes to the Financial Statements.

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"Failure Leads to Success"

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I personally wouldnt know much about success, Im still making mistakes, still learning and bound to face new challenges. Success though brings to mind a motivational speaker that does know something about, How to be a successful person. He said, You are who you are and where you are by choice. No matter what your education is the job you hold or the family youre from, you are the key to your own success. His name is Dr.Soules. He is a motivational speaker for schools and prisons an entrepreneur, counselor, playwright and author. He talks with people that have lost everything in life and reminds them of great people like Thomas Edison. When Edison lost all he possessed in a fire, he remarked, This is an opportunity to start over again and be better. Edison believed the best was yet to come.

Recently I watched a film called October Sky where it told the life and story of Homer Hickam and his friends. These young boys were confused about what they wanted to do in life and figured that their life was a dead end leading to a dangerous coal mining job. Homer later discovered a passion to building rockets. He gathered every information of rocketry and did what it took to build a rocket. After numerous amounts of trial and error Hickam and his friends finally build a rocket that launched and flew successfully. Unfortunately a downfall came to his success, during one of his rockets tests, Hickam faced jail time being accused of starting a fire caused by one of his rockets. He felt his dream was blowing up in his face. Hickam quit school and began work as a coal miner just like his father. Then he reached a turning point while lying down in bed when he just suddenly realizes that, this isnt for me. He studied trigonometry and calculated mathematically that he didnt start the fire which he was accused for. Hickam got the fire charges dropped and went on to finish school with the advice of a teacher. He entered the science fair along with his friends (the Rocket boys). Hickam went on to the National Science Fair and won. The Rocket Boys didnt end up in the coal mining job. Instead they all achieved into something bigger then they thought they cold be. Hickams dream came true and now he works for NASA. Homer Hickam story, along with other great stories of great people stand before us to simply remind us that anything is possible. Refuse to give in to failure and instead use failure as stepping stones to success. Hickams rocket failures thought him patience, perseverance, commitment and it allowed him time to learn more about the science of rocketry, which led to his success.

Success is not bestowed. Success is earned. It is only in fairy tales where success happens over night. Sure you could win the lottery but what are the chances of that ever happening. Success is earned.

Great people can relate to the quote, I have climbed to the top of a greasy pole, Alexander the Great says, Onward to victory!, Churchill said it Never Give Up, Emily Dickinson said Success is counted sweetest by those who neer succeed... All of them could tell you that success is attainable, so have a purpose, a goal, a dream and live to pursue it. Anyone who had the desire to make a difference and did so have the right to call themselves succesful. To have difficulties, mistakes, failure in life is beneficial to someone who will become a successful person.

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Fluctuation in Pip

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The Fascinating Fluctuation in Pip

In Great Expectations, by Charles Dickens, a young man by the name of Pip experiences "great opportunities" provided by a secret benefactor. Being an orphan since infancy, his driving ambition is to better his station in life; unfortunately, Pip rejects his closest friends in order to achieve his social goals, and it is only after much heartbreak and disappointment that he realizes that good friends are far more valuable than wealth. Through his "great expectations", Pip evolves from a frightful innocence, to the snobbery of being a gentleman, and finally to a good, solid man.

The book starts out with Pip living as a regular, common boy. Raised by his sister "by hand" and he now lives with her and her husband. As of now, Pip is not a known boy throughout the area, or a strong, strict object of power, but a mere surviving existence. Therefore, he has a soft, regulating personality, unlike a confident, bold personality of a businessman, or gentleman. In other words, his personality is able to be affected easily, as it is not solid. One Christmas Eve, Pip is confronted by a frightening man, large and mud-smeared, with prison irons attached to his leg. The fearsome man questions Pip exclusively terrifying the boy extremely, "Keep still, you little devil, or I'll cut your throat!" (). Pip responds, "Oh! Don't cut my throat, sir, pray don't do it sir." () The man demands that Pip bring him a file and some food by the next day, and that if he doesn't, his liver and heart will be torn out by his companion. Young Pips willingness to provide information about his family and to deliver help, albeit out of fear, reflects his natural giving personality, almost rendering him weak. After meeting this man, Pips world is turned upside down. Then again, he won't be underestimated by

Interestingly, the turning upside down of Pip by the stranger becomes a symbolic moment in the boys life. It sets him up for the future events of the novel, as his personality has been molded and harassed. Later on in the novel, a lawyer by the name of Mr. Jaggers says "...that it is the desire of the present possessor of that property that he be immediately removed from his present sphere of life and from this place, and be brought up as a gentleman in a word, as a young fellow of great expectations." (1). In other words, an anonymous patron wants to bestow his huge property on Pip; as a result, Pip will be trained to become a gentleman. Upon hearing the shocking news, Pip adopts a snobbish attitude and thinks himself too good for his surroundings. Because of his snobbish attitude, "I caught one of them looking at me, though never so pleasantly (and they often looked at me particularly Biddy), I felt offended; as of they were expressing some mistrust of me."(15) Pip feels offended because he thinks he is higher than anyone else and that he should be treated with respect, and that the littlest harm to his "gentleman" status is a threat.

As Pip learns how to be a gentleman, he is proud of his new clothes and his generous allowance and is full of grand thoughts about his life as a gentleman in the big city of London. Even though his sudden transition from a common man to a rich gentleman is huge, Pip, with his "changeable" personality is able to adapt, greedy for money. He also enjoys that the attitudes of people toward him begin to change once they learn of his grand inheritance. Even Mr. Pumblechook, who has always commented on Pip as a burden, waxes eloquent on his good fortune and prime position in life. When Pip meets one day with Estella, a beautiful and yet, bitter young lady, she says that "… what was fit company for you once would be quite unfit company for you now."(1) She is saying that Pip cannot have company from the past with him again, explicitly Joe. Because of this warning, Pip thinks, "In my conscience, I doubt very much whether I had any lingering intention left of going to see Joe…" (1) As Pip's wealth has brought him this far, he has completely forgot about Joe and Biddy, part of his past, and is dealing instead with his present, as a "gentleman".

Seeing that he has broken many hearts through his benefits, Pip begins to obscurely understand that good friends are more valuable than wealth. Towards the end of the novel, while talking with Miss Havisham, he thinks of Herbert and secures Miss Havishams help in maintaining Herberts business in the firm. Pip explains he can no longer support his friend financially, since he will not accept Magwitchs, his secret benefactor, money. Through his stopping of using Magwitch's money, we can see Pip redeeming his self after his snobby actions to his friends, especially Joe and Biddy. Pips worth as a human being seems clearer. He has followed through on Herberts career, making certain his good friend is well provided for. And he has been a loyal protector for his benefactor, despite his own feelings about the whole ordeal. Finally, at the end of the novel, Joe comes to care for Pip, because Pip has become sick. Pip feels very ashamed of himself, "Oh, Joe, you break my heart! Look angry at me, Joe. Strike me, Joe. Tell me of my ingratitude. Don't be so good to me!" (41) Joe cares for Pip, and later Pip finds out that Joe is to be married to Biddy. Pips love for both his friends is clear from the fact that he shows no disappointment at Biddys marriage with Joe. In fact he regards them to be the best husband and wife and worthy of each other. Pip is completely a good man now, learning from the mistakes he has committed in the past, and hoping he can start freshly once again.

Character changes such as in Pip will always be pure Dickensian. Dickens has a magnificent talent to create a simple character and make it "sprout" and grow into a completely different one. Pip started as a commoner, then changed to a "gentleman" with false pride, and finally to a stable, positive man. Pip's interior is clearly all Dickens was interested in. This is why, throughout the whole novel, we have not even a crumb of physical description of Pip.

Please note that this sample paper on Fluctuation in Pip is for your review only. In order to eliminate any of the plagiarism issues, it is highly recommended that you do not use it for you own writing purposes. In case you experience difficulties with writing a well structured and accurately composed paper on Fluctuation in Pip, we are here to assist you. Your cheap custom college paper on Fluctuation in Pip will be written from scratch, so you do not have to worry about its originality.

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Conflict Resolution

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"Conflict itself is not a destructive force, but conflict left unaddressed is. Unaddressed conflicts create mistrust, suspicion, dishonesty, defensiveness, conspiracy, and barriers." (Roth p. 6) Conflict can be perceived as negative or positive. Viewing conflict as negative can produce inappropriate behavior or destroy the morale or pursuit of the team's mission, and the negativity can divert energy from important team activities and issues that require energy to resolve. When conflict is viewed as positive, it opens up discussion topics resulting in clarification. When teams are able to work through their conflict, it builds cohesiveness among team members and allows members to develop their conflict resolution skills. Among any team of more than one person, regardless of whether the conflict is viewed as positive or negative, conflict is inevitable. Understanding what causes conflict and how to resolve conflict is vital to the success of each individual in the team.

There are four stages of team development. The stages are referred to as Forming, Storming, Norming, and Performing. It is virtually impossible to skip the stages of team development. However, it is possible to spend less time working through one stage versus another depending on the feelings, behaviors, and commitment from each team member to surface and work through related issues. As we break down each stage, we need to focus on the feelings and behaviors that may be demonstrated by team members. The most common feelings and behaviors are shown below.

Feelings Behaviors

Forming Stage Ø Members have pride in being selected for the project or work group.Ø Members demonstrate anxiety about the assignment. Ø Attempts to define the task and decide how it will be completed.Ø Attempts to determine acceptable team behavior and how to deal with team problems.Ø Complaints surface about the organization and barriers to the task.

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Feelings Behaviors

Storming Stage Ø Resistance to the task begins to be visible.Ø Individuals are not comfortable with approaches suggested.Ø Sharp fluctuations in attitude about the team and the chance of overall success begin surfacing. Ø Team members begin to argue even when they agree on issues.Ø Defensiveness and choosing sides become evident.Ø Disunity, increased tension, and jealousy are perceived.

Norming Stage FeelingsØ Acceptance of membership in the team.Ø Relief that things are going to work out.Ø An ability to express varying opinions and criticism constructively. BehaviorsØ Members attempt to achieve harmony by avoiding conflict.Ø Friendliness is demonstrated, as well as confiding in others, sharing personal problems, and openly discussing team dynamics.

Feelings Behaviors

Performing Stage Ø Members have a better understanding of each other's strengths and weaknesses.Ø Satisfaction at the team's progress. Ø An effective ability is developed to prevent or work through group or team problems.Ø Close attachment to the team.Ø Constructive self-change.

For purposes of our paper on conflict resolution, we will be focusing on two key areas of the team development stages storming and norming. It is within these two stages that we can develop techniques for resolving conflict, establishing team norms, and understanding how teams can become high performing by effectively addressing and working through storming and norming issues.

Before we begin to talk about what causes conflict and ways to resolve conflict, we must first define what conflict is. Conflict, according to Thomas, (Corporate Learning, 001) is "the process which begins when we perceive that someone has negatively affected, or is about to negatively affects, something we care about. The more deeply we care about something, the more intense the conflict."

What Causes Conflict?

Now that we have conflict defined, we now must determine the origin of conflict. Just as a surgeon would not begin operating until he knew where the sickness or injury stemmed from, teams cannot begin resolving conflict until they understand its roots. While the list we have provided below is fairly in-depth, it is not all-inclusive.

Poor communication skills

People typically communicate by three methods verbal, written, and visual. Many people lack the ability to communicate effectively. Poor communication skills, regardless of the form, translate into conflict when there should not be. One team member may be trying to get a point across but unintentionally offends, or perhaps confuses, the other team members. Often times team members may be agreeing on how to approach a particular problem, yet, because of poor communication skills, the team members involved conflict because one or both is not communicating effectively to the other. A truly effective communicator can understand what the other team member is trying to say without having them actually say it. The major deficiency in communication for most is not realizing it is a weakness. If all participants in a team make a concerted effort and can communicate openly and honestly without becoming defensive, the potential for success by the team is increased exponentially.

Different Views or Values

Conflict can arise from parties having different views or values. Whenever there is a team, there are as many perceptions of what is happening as there are individuals. The parties involved see the situation differently because they have all experienced life through different eyes. Perceptions are shaped by differing life experiences and by values learned from our family and those closest to us. This is why values and views are linked together when it comes to conflict. Most of the time, if there is a difference in values, there is a conflict.

No Clearly Defined Leader

With any team, you cannot have all Chiefs and no Indians. The reverse of that saying is also true. A team with no clearly defined leader is a difficult concept to fathom, as there would likely be no team, yet a group of individuals. Without establishing a leader, a group of individuals full of different ideas and strengths would find it difficult to successfully achieve any goals. There are many consequences involved when there is not a leader no direction, no one to guide the flow of work, and no sense of order. Without a leader, the individuals in the team may seek separate ways to solve the same problem and never come to any agreement. The team may never solve the problem at all. In absence of a leader, the team may also have problems with focus and lose understanding or sight of the goal. The most crippling problem of working leader-free is having multiple leaders. When there is no leader established, each person in the group, on some level, assumes a leadership role. This could cause a great deal of conflict among the team, and instead of working together, the team may become individual pockets of resistance. Leadership is important in the area of maintaining order within a group, whether at work, home, or extra-curricular activities. In order to achieve success, you must have someone to make the final call.

Being Closed-minded

Being closed-minded is a state of mind that can hinder the individual as well as the team. Closed-minded is to stay steadfast to your personal thoughts and beliefs without consideration of all the factors. Without any concern for the evidence or case before them, a closed-minded person has already decided on a course of action or lack of participation, and will not be moved. The unwillingness of one person to compromise by incorporating the input of the other team members can prove to be a deterrent in a team and lead to goals not being achieved. In a team environment, the art of brainstorming is a pillar of success. Having the ability to understand and discuss different ideas, as well as incorporate these ideas in to one workable solution, requires a great deal of openness on the part of each individual within the team. For this reason, closed-minded people are usually a stumbling block in the overall wellness of any team.

Inadequate Knowledge and Skills

Inadequate knowledge and skills can cause conflict and are a major problem when it comes to reaching a goal or certain level within a group. Most people would define knowledge as having a clear understanding of what to do in a given situation. By understanding the meaning of knowledge, it is easy to understand why knowledge is an integral part of success in any team environment. Skills are actually a category of knowledge, with the addition of dexterity or aptitude, and both are needed in order to contribute, with any value, to the vision of the team. The absence of either of the components in an individual can usually be masked by projecting a confident or knowing attitude, and may not be seen initially during conversation or the forming stage of the team. This well-hidden deficiency will reveal itself at the most inopportune times if there is not a sense of openness within the team. The embarrassment of not being prepared in crunch-time because of the lack of knowledge and skill within a team can be readily avoided by taking a poll of strengths and weaknesses, listening and responding to incorrect assumptions, and being open to give and take information and criticism that could correct your incorrect information or wrong-doings.

Techniques to Resolve Conflict

There are various means for resolving conflict. There are also techniques for dealing with difficult team members. Blake and Mouton (164) proposed a two-dimensional model based on concern for people and concern for classifying conflict-handling modes. Their methodology for classifying concern for people and the conflictive situation breaks down the techniques for resolution into five types Integrating, Dominating, Obligating, Avoiding, and Compromising.

Difficult team members are divided into six types the bully, the tantrum thrower, the thinker, the complainer, the negativist, and the know-it-all bulldozer. When dealing with the bully, team members should be assertive, but not combative. Members should not take the tantrum-thrower personally. Team members should be prepared when dealing with a straight-line analyst or the thinker. Problem-solving activities should quickly be put into motion when faced with a member of the team who constantly wants to complain about something. Looking at the glass half full when dealing with the negativist may divert the negativity and help the individual being pessimistic see the positive side of a situation. The know-it-all has to be praised, but success may be achieved when dealing with this difficult team member by focusing on a solution and asking open, probing questions to verify the accuracy of information shared by the bulldozer. The techniques for resolving conflict that we discuss next are similar to the roots of conflict in that the list provided below is not all-inclusive.

Setting Parameters and Norms

In order for a team to be successful in meeting their objectives and goals, establishing norms for working with each other and as a team should occur during the third team development stage. Examples of setting team parameters and norms should be agreed to by each team member and may include

Ø Arriving to meetings on time and being prepared for all assignments.

Ø Avoiding any side conversations.

Ø Agreement to maintain confidential discussions within the team.

Ø Put issues on the table prior to adjourning the meeting to avoid building frustrations after the meeting adjourns.

Ø Every member must participate.

Ø Team members accept accountability for encouraging participation from others or seeking other views.

Ø Clarify agreements and next steps.

Ø Be positive by remaining on the issue not the emotions surrounding an issue.

Active Listening

There are many strategies that can be practiced to assist team members in effectively resolving conflict. The following listening tips may improve your skills

Ø Pay attention.

Ø Remove any negative thoughts and feelings about the team member and be receptive to the messages he or she is providing.

Ø Begin listening from the very first sentence. Do not allow yourself to be preoccupied during interaction with team members.

Ø Do not allow your opinion of that person to interfere with the objective for the conversation or team meeting.

Ø Analyze what is being said. Do not try to anticipate what might be said. You should pay attention to exactly what the individual is saying without wandering off or thinking about your immediate response.

Ø While your silence may cause you to appear to be listening, you may interject your feedback or seek clarification to what is being said to confirm your listening skills.

Ø Never interrupt or carry on side conversations during team meetings. Interrupting is rude.

Ø When you ask questions, reinforce the fact that you are truly listening and waiting for your turn to speak.

Ø Take notes if you feel that such discussion points require necessary action.

Ø Get your whole body into listening and showing that you are paying attention. Look the person squarely in the eyes and use facial expressions. These behaviors reinforce positive non-verbal skills.

Ø Do not overreact to highly charged words, tones, or emotions. Your calmness is likely to rub off on your team member, creating a conversation environment that is stress-free.

Soliciting Involvement of Team Members

In order to involve team members in resolving conflict and utilizing the techniques for resolving conflict, it may be necessary to develop an individual contract or team charter to achieve a win-win solution for each member and individuals on the team to attain the objectives and the goals established for the team. An individual team member's charter may require answers to the following questions

Ø How will I work to achieve the goal?

Ø What first steps will I take?

Ø What target date do I need to establish in order to reach the goal?

Ø How often will I review my progress against this contract?

Persuasion

Regardless of one's skill, or lack thereof, in other methods used to resolve conflict, if one party has well-developed persuasion skills, and the other does not, the persuasive party can usually win over the other side. Persuasion, as defined by Colman (001), is "the process by which attitude change is brought about, usually by the presentation of a message containing arguments in favour or against the person, object, or issue to which the attitude applies." Persuasion is commonly used in many sales positions. An effective salesperson must learn the features and benefits of his or her particular product. Salespeople must also learn rebuttals for any objection the consumer may have. An example of this can be found in almost any sales process, but we will illustrate one here that involves the sale of credit life insurance when making a loan. The loan officer wants the consumer to take the credit life insurance, as its sale means more profit to the company, while the consumer does not want to pay extra money for the coverage. The consumer may object by saying he or she has plenty of life insurance. The salesman may reply by telling the consumer that when the consumer purchased his or her life insurance, the loan they are taking now was not given any consideration, as the customer did not have this loan at the time. The salesman may also add that the cost of the coverage only adds a couple dollars to the customer's monthly payment and any unused portion of the premium would be refunded in the event of early payout of the loan. At this point, the customer may or may not take the insurance.

Negotiation

If persuasion does not work to resolve the conflict, then negotiation may be employed as the next technique used to bring the encounter to a resolve. Simply put, negotiation is the art of give-and-take, where the parties attempt to compromise. One party may give in to one part of the conflict in exchange for the other party making a similar gesture. Here is an illustration of negotiation using the same scenario from the previous paragraph. The customer still does not want the credit insurance after the loan officer has used all rebuttals in his or her repertoire. The salesperson then decides to offer the customer a preferred rate in exchange for the customer accepting the insurance. If done properly, negotiation could create a win-win situation for both parties involved. The salesman has sold something, even though its not what was originally on the table, and the consumer gets the same product at a discounted rate. Both parties could end up walking away from the table happy.

Mediation

Mediation is generally the last technique engaged to help resolve conflict. Mediation is a part of decision-making that is useful in specific situations, where the conflict is an issue that has not come to resolve after exhausting the other techniques. Mediation helps to clarify the problem and helps to find a path towards a resolution. The mediator, usually a non-biased third party, reduces tension and anxiety among the parties and levels the playing field. The mediator first explains the process of mediation, his or her role in the mediation, and then answers any questions by either party. The mediator meets with both parties individually and then meets with both parties together. After all steps have been covered, the mediator formulates an agreement that will be accepted by both parties. Mediation is a structured but informal process that does not preclude any other dispute resolution.

Conclusion

When developing a formal working team, strengths and weaknesses need to be openly discussed. Goals for the formal team need to be established and agreed upon by each member. Norms or ground rules for working with each other are critical to the overall team effectiveness. Team members also need to identify how they are going to work through conflict management. It is almost impossible for a team to work effectively together and meet the objectives and goals without facing conflict. We are human beings and conflict can be perceived as negative or positive. When teams are able to work through their conflict, it builds cohesiveness among team members and allows members to develop their problem-solving, conflict resolution and decision-making skills.

References

Blake, R. and Mouton, J. (164), The Managerial Grid, Houston, TX. Gulf. p. .

Colman, Andrew M. persuasion n. A Dictionary of Psychology. Oxford

University Press, 001. Oxford Reference Online. Oxford University

Press. 1, August, 00 http//www.oxfordreference.com/views/ENTRY.html?subview=Main&entry=t87.006

Corporate Learning and Development Department at Blue Cross Blue Shield of

Florida. (001), Conflict Resolution Training Module, p. 6.

Cottringer, William, PH.D., SuperVision, pp. -.

Floyd, Sam R. Conflict Resolution Resources Steering clear of the 'drama

triangle', Rural Telecommunications. pp. -4.

Roth, Sandy. (Sep 001). Dental Economics. Vol. 1, Iss ; pp. 6-8

Wiley, G. E., Win/lose situations. In J.E. Jones and J. W. Pfeiffer (Eds). The

17 annual handbook for group facilitators. San Diego University

Associates. 17, pp. 105-107.

Please note that this sample paper on Conflict Resolution is for your review only. In order to eliminate any of the plagiarism issues, it is highly recommended that you do not use it for you own writing purposes. In case you experience difficulties with writing a well structured and accurately composed paper on Conflict Resolution, we are here to assist you. Your cheap custom research papers on Conflict Resolution will be written from scratch, so you do not have to worry about its originality.

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