Benefits of computing gross profit on sales in contrast to contribution margin

The computation of gross profit on sales, which can be derived under the absorption costing approach, is a profitability measure normally conducted under financial analysis. This accounting ratio outlines the gross profit generated from every $100 of sales. Such measure is highly useful in financial analysis, because it provides indications on the profitability potential and cost efficiency of the company. For instance, if there was an increase in sales of 10%, but the gross profit margin declined by 4%.This indicates that the cost efficiency of the organization deteriorated during the period. Such analysis cannot be conducted under the contribution margin approach, because gross profit is not present. However, under the contribution margin approach one can calculate the contribution to sales ratio which indicates the contribution determined from every $100 of sales. This would also provide indications on the control of variable costs once compared over time.Difference in Net Income arising from different approaches. In the example of ABC Company the profit under the two methods is the same. However, this is not always the case. Profits under the two methods differ whenever there is movement in inventory. This is due to the fact that since under the absorption costing technique fixed manufacturing costs are included in the cost of goods sold, a proportion of fixed costs will be included in inventory leading to such a difference.Contribution margin approach not allowable for external reporting. The contribution margin approach, despite being highly useful to provide valuable information for decision making, is not acceptable for external reporting. This is due to the fact that it does not comply with the Generally Accepted Accounting Principles (GAAP). For example, under the GAAP the income statement layout should clearly outline the gross profit made by the company. Under the contribution margin method this is not highlighted.Another important reason why the ab sorption approach is allowable for external reporting and not the contribution approach is due to the way in which the income statement is classified. The GAAP state that the income statement is classified by function, like under the absorption method. In the contribution approach it is classified by cost behavior. Indeed separation between fixed and variable costs is made under such method. This conflicts with another requirement of the GAAP. Reference: Drury C. (1996). Management and Cost Accounting. Fourth Edition. New York: International Thomson Business Press.

Approaches and Methods in Language Teaching Essay

Approaches and Methods in Language Teaching - Essay Example The question that looms over my mind whenever faced with a totally new experience is, ‘Am I ready to take on the challenges?’ Without an answer, I usually proceed to do what is asked, follow the rules, and hope for the best. Fortunately, the coping mechanisms I apply have worked to make me adjust in time. However, these mechanisms, coupled with a positive disposition, are not an assurance to succeed in the university. There are skills that I have to develop in order to make it to the final event, the college graduation. Fortunately, I am not alone in facing the challenges of university life. The school, through its program, Introduction to Degree Studies (IDS) makes me feel confident that help is available to international students like me every time we need it. Gradually, the fears I had during the first week of my studies have transformed into challenges and later to adventures owing to the learning I gained from the course. The needs of a new student, especially a for eign national, are different from the needs of regular students. Regular students can adapt faster to their environment despite being new to the university because they have support systems to guide them such as their family, friends, and community. In contrast, foreign students have no one to turn to in times of need. Although they can always call up home or log on the net to communicate with their loved ones, it is still not the same as having their family and friends beside them especially in times of need. This experience, in addition to the barriers brought by language and culture, is made worse by the struggles foreign students encounter in coping with school requirements. Considering the difficulties that have to be addressed by each student, IDS, with its goal of guiding new students, is a wise effort by the school. Through IDS, foreign students are given the chance to prove their worth and excel in academics. The values I gained from attending IDS are immeasurable. First of all, the course has led me to gain insights about myself as a learner. The VARK assessments done in the course have guided me to realize my learning potential and to improve my learning habits. The exercises informed me that I am a visual-kinesthetic learner. Based on this, I realized that I have a lot to change about the ways I learn. My past learning habits are not in line with being a visual-kinesthetic learner. In light of this, I have changed the way I study, and make it a point now to read my lessons while taking down notes at the same time. Sometimes I used a whiteboard and a marker to jot down my notes. This way, I get to maximize my visual-kinesthetic potential. Nevertheless, I also try to develop my auditory skills by listening to some music or radio news before going to sleep. So far, this has helped me concentrate and visualize the words I hear even without seeing them. Secondly, IDS has guided me to learn new skills, which are equally important in university studies. O ne skill I improved with the help of IDS is my writing skill. In the past, I never used an outline to guide my thoughts in writing compositions. I just wrote whatever came up my mind, and never bothered to jot down and organize my ideas before writing. Through IDS, I realized that everything I write should be based on an outline. There should be a proper introduction, body and conclusion, or else the composition will not be considered an academic writing. The introduction orients the readers to the issue being tackled in the text, whereas the conclusion reiterates the arguments presented and gives the author’s parting message to tie up loose endings.

Assessment of Technology centric Strategies for information security Essay

Assessment of Technology centric Strategies for information security in an organization - Essay Example It is a "best practices" strategy in that it relies on the intelligent application of techniques and technologies that exist today. The strategy recommends a balance between the protection capability and cost, performance, and operational considerations." [National Security Agency] Fahey (2004) graduated from the SANS GSEC course and uses their systematic approach to addressing risk through defense in depth. The SANS approach promulgates an efficient and cost effective methodology for improving security. The organization for which he works already had a number of policies, each designed to address a multi-layered approach to IT security such as operations security, physical security and contingency and disaster recovery. Furthermore external security personnel routinely came to the organization to perform security audits. He was concerned that one area which had not been addressed was: "a systematic procedure designed to protect against electronic attacks from hackers. This was due in part to the false sense of security which comes from being behind a firewall and partly from a lack of experience in the information security field." (Fahey, 2004, p3) In putting together a Defense in Depth security policy one must consider the characteristics of one's adversary, the motivation behind an attack and the class of attack. An adversary may be anyone from a competitor to a hacker. They may be motivated by theft of intellectual property, denial of service or simply pride in bringing down a target. Classes of attack include passive or active monitoring of communications, identity theft or close-in attacks. Besides deliberate attacks there may also be inadvertent attacks on the system, such as fire, flood, power outages - and most frequently - user error. Information Assurance is achieved when information and information systems are protected against such attacks through the application of security services such as: Availability, Integrity, Authentication, Confidentiality, and Non-Repudiation. The application of these services should be based on the Protect, Detect, and React paradigm. This means that in addition to incorporating protection mechanisms, organizations need to expect attacks and include attack detection tools and procedures that allow them to react to and recover from these attacks. No system is perfectly secure, and it has been argued that no system needs to be. To achieve Information Assurance focus must be balanced on three elements: People, Technology and Operations. "Security goals have their own contradictions because confidentiality, integrity, privacy, accountability, and recovery often conflict fundamentally. For example, accountability requires a strong audit trail and end-user authentication, which conflicts with privacy needs for user anonymity." (Sandhu 2004, page 3) Fahey's methodology for evaluating risk used the confidentiality, integrity, and availability (CIA) approach which emphasizes the importance to the organization of a particular information asset. This approach focuses budget managers on the real threats to reputation and therefore the business' ability to survive against its competitors. Fahey focuses on 3 security risks in his article: passwords, policies and patches. Fahey's risk assessment relies heavily on SANS assessment of the top 20 risks for networks in 2003/4. This brings to light the

Analysis of Environmental Issues Essay Example | Topics and Well Written Essays - 500 words - 1

Analysis of Environmental Issues - Essay Example This has led to a rise in the processes of energy production. The mining and burning of coal account for a few processes which are used for the purpose of energy production. The impact of coal on the environment is an issue of environmental concern. It serves as a threat to the environment owing to the production of hazardous substances which tend to alter the normal environment as well as lay effects on the health of the individuals (Finkelman et al 1999; Hill 2010). The burning of coal takes place in houses for domestic purposes in third world countries where there is the unavailability of gas. This is accompanied by the use of coal as an energy source for industries across the world. The process of coal mining precedes the process of coal burning. It is the procedure used for the extraction of coal. The processes of coal mining, as well as the burning of coal, lead to the release of harmful substances into the environment. These include carbon dioxide, nitric oxide and sulfur diox ide which are all harmful to the environment (International Labour Office et al 1994). Coal mining should be a regulated process and the sites should be away from places where people reside. Strict regulations should also be followed in these areas to prevent exposure to individuals. Ash should be deposited in safe sites where they are away from the water reservoirs to prevent contamination.

Frederick Douglass Essay Example | Topics and Well Written Essays - 2250 words - 1

Frederick Douglass - Essay Example According to the essay "Frederick Douglass" findings, examining the method that Douglass used in order to know how to read and write one will get a clear indication that abundant life was awaiting him. Douglas went through hardships in the house of his new master, Mr. Auld, whose wife offered to introduce him to the world of education. The wife, Mrs. Sophia Auld, was singularly motherly and kind to Douglas. At first, she treats Douglas like one of the family members to the extent of teaching him how to read and write. She had never been with slaves, so she knew nothing about how they were supposed to be treated (Douglas 76). However, when Mr. Auld knew what was taking place, he became an obstacle to Douglas’ education. He prevented the wife from her offers to the slave claiming that â€Å"slaves are unmanageable when they are educated†. This implied that if Douglass knew how to read and write, he would become a radical giving master’s hard time to manage. This st atement from a master gives us some light about the knowledge of reading and writing. Education will give one power to manage himself and not to depend on anybody or even allow another party to guide him on what to do. This illustrates the point that it is after knowing how to read and write that Douglas became successful after slavery. He knew how to manage himself and not depend on the decisions of other people. While he was being taught by Mrs. Auld, Douglass proved to be so intelligent and bright. This enabled him to secure a place in the shipyards as a worker.

Product Attractiveness and Competition in the Market Full Of Assignment

Product Attractiveness and Competition in the Market Full Of Competitors - Assignment Example The paper focuses developing a suitable tactical marketing mix strategy. The significance of tactical marketing mix on product performance is reflected. This part of the paper exemplifies how the product, its price, placement, and promotion techniques influence demand and market share. Additionally, the significance of emerging technologies, such as the internet and media, on marketing is discussed. Generally, the research focuses on the importance of pertinent exit strategy and a tactical marketing mix strategy to a business. At the end of the discussion is a conclusion of all the aspects that have been covered in the study. The sale of a product is largely dependent on consumer taste and preference. Toyota car models, such as Subaru legacy, are in great demand in America and other parts of the world. The car is a choice for many due to its reliability and excellent services. The features of the car are eye-catching and the general outlook is amazing. Subaru legacy is preferred to o ther cars for its economical fuel consumption, resistance to wear and tear, high-speed safety and many other features. However, the car face stiff competition from other luxuries car models from other companies such Honda and Ford. New car models introduced by these rival companies are a threat to the automobile market. As a result, Toyota Company has introduced new and more advanced Subaru legacy models to secure a market share. An exit strategy is basically transition of a company’s ownership, either after achieving the expected objective or to evade failure in future. It is necessary to devise means of recovering invested capital in the event of exiting a business. This can only be made possible by developing an effective exit strategy. According to Hawkey, the type of an exit strategy to be adopted depends on the kind of business undertaken by a company. The best way to make an exit strategy is to initiate a business with the end in mind.  

The effects of the video game industry on Japan Essay Example for Free

The effects of the video game industry on Japan Essay Much in the world today is of Japanese origin. Indeed, Japanese influence can be seen all over the world? on television, in comic books, in video games, in electronics, in the film industry, and even in music. In fact, currently, 60% of all the cartoon shows being broadcast on television the world over are from Japan. (Croal) Indeed Japanese anime characters have established a substantial base of fans in Europe and North America (Shuhei). Similarly, the Japanese video game industry has been very successful in the world. It has proven to have many positive effects on the world, even though many people have repeatedly tried and failed to vilify it. Perhaps one of the most important industries in modern Japan, video games have both opened up great possibility for Japans economic future and caused the rapid spread of its culture in the world. The rise in the Japanese video game industry elevated the countrys standing in the world. The first video games ever were created in computer labs of prestigious and well-known colleges by studious types, whereas in modern times, video games, complete with complex storylines and characters and with sophisticated music and game play, are created by paid professionals. The very first video games were invented by students at colleges with big computer facilities, because they had nothing better to do. [Making games] soon became a competitive field of play for these students. (Kohler, 24) Soon after, video games became something to sell, and at first were available for Magnavox TVs, played on the Odyssey systems made especially for Magnavoxes. (These Odyssey systems were not as consoles are today? i. e. , they did not have multiple games, only one game installed in the system, with the first games not even closely depicting what they were supposed to show. One game, a tennis game, was simply two white dots that were actually squares representing the players or rackets, and one line down the center of the screen signifying the net.) Then, games moved over to computers for a while, after a string of very primitive gaming consoles (which, strangely enough, happened to have the controls for the games on them, with the players having to keep score with paper and pencil, for some of the first games). These computer games were mainly based on board games, Dungeons and Dragons, and other fantasy/fiction games with a small emphasis on the graphics of the games. (Fierman) Soon, industry-changing games were released by companies who, before this point, had games only in the arcades. Along with these games came Shigeru Miyamotos invention of the gaming console (these had been invented by now) with a very stylized and appealing design, and with removable controllers, connected to the system with cables. Innovations like the ones of Miyamoto kept making the industry grow, as it became bigger and more effective in the worlds markets. Now, video games have evolved into an effective means of entertainment (at least stereotypically for males of 15-25 years of age), even better and more money-making than the movie industry. Japanese video games originality was what gave them a good hold in the relatively new and rapidly rising industry. Japanese culture was the major factor making Japanese games different from any other games. The Japanese peoples will to easily accept technology, after having stayed away from it for years, epitomizes Japanese cultures amalgamating nature. Despite the technological advancements that Japan went through, there has always been a traditionally Japanese factor in all of Japans development. The Japanese brought anime-style characters into games because of their overwhelming popularity elsewhere. In fact, Japanese video games are very heavily influenced by Japanese culture? the styles of art and music, and the various aspects of modern Japanese theater. Another major aspect of Japanese culture? the importance of depictions over writing? is obviously relevant in video games. As writer Frederik L. Schodt, author of two books and many articles on Japanese comics, puts it: [The Japanese consider comic books to be] an effective? way of transmitting information, and they use them everywhere? [people now] live in an age that emphasizes the image? [and therefore] naturally have no bias against comics. They are?the shikaku sedai, the ? visual generation. (Kohler, 6) The video game industry as a whole has had a generally positive effect on the Japanese economy, and the lifestyles of its people. One of the biggest innovations in early video game technology was that of the so-called programmable home gaming console, which was one in which different game cartridges could be made to fit into specialized slots in the console, as long as these cartridges were specialized for the console. (Fierman) One of the main economic advantages that this innovation brought was the hiring of designers to work on video games?prior to this, the programmers of the hardware of the games had to design the characters, backgrounds, and storyboards as well as the game-playing systems. Not more that a decade after this innovation, games became what they are now. In fact, because video games have been a growing industry ever since they were introduced to the world, they have also become a replacement for or a cause of the falling industries like that of movies. (See chart, compiled by Dentsu) Soon, many aspiring young artists were given chances to make and oversee all the art in these programmable game cartridges. One such man, Shigeru Miyamoto, came to Nintendo (whose Japanese name, nin-ten-dou, translates into English as the place where luck is left in heavens hands) as a toy designer (Nintendo was a toy producer and entertainment company at the time). His talents were soon realized for what they were, and his rising positions within the company eventually led him to become a designer for games. His first game Donkey Kong was a smash hit. In modern video games there has been a rising emphasis on music, especially since there was none or very little in the video games of old, because it can alter the reviews of games, leading to success or failure. This weight put on music makes jobs for composers, synthesizers, and music directors, the soundtracks even selling as well as pop music. (Kohler) In fact, these musicians work is so profitable to the industry (and indeed commonplace) that programmer Fumito Ueda chuckled in response to a question regarding the idea of taking out even the music from his mainly dialogue-less game. He said, If I took out the music, it would be even harder to bond with Ico [the name of the main character and the game itself], even if the players had maximum sound effects. (Kohler, 253) Video game companies have also had to hire marketing experts and people to work in their sales departments, and they have had to also send their games to production houses where they are produced and made ready to sell. Stats of video game jobs Perhaps because popular video games, ever since the rise of the industry, have been heavily Japanese-influenced, many people the world over have tried to vilify this very profitable industry, and have repeatedly failed. In the years when video games were pioneers in the world market, there was much opposition and skepticism regarding them. Many renowned authors of economics, and even some who became known for their pieces regarding video games, reasoned that the budding new industry would quickly fade away. One author went as far as saying, the invasion of our world [United States video gaming industry] by these aliens [the producers] of Space Invaders will quickly find their business being driven back to their own planets. (Duus, 135) Another writer, University of Miami professor Eugene F. Provenzo, wrote in his book Video Kids: Making Sense of Nintendo, about how children were not being taught some of video games intentional lessons. In Japanese video games, manga-style characters (i. e. , characters from animated anime shows) are usually used because these characters have no distinctive race, and thereby no affiliations with any nationalities; this was to teach the players of these games something about different races? that they dont necessarily have to interact negatively. (Another use of the characters of ambiguous race was that anyone could play these games, and consumers would not think these games to be for a certain type of people.) He brought up an example of a single fourth grade boy who he talked to, who did not know much about ninja or their weaponry (these specific ninja refer to the bad-guy foot soldiers of the Shredder, in Teenage Mutant Ninja Turtles) except for the fact that the Chinese and Japanese (he was not sure which the ninja were) were enemies. The boy said, just because they are from Japan they might want to do something different from you. And they are dangerous because they might want to fight with you. (Kohler, 9) This argument is not very solid, as it is repeated several times in his book and in some conferences Provenzo attended, and yet it relies on a single source? a fourth grade boy who happened not to know about ninja. The Japanese video game, although it has been in a constant state of rising ever since it was started up in the early 70s, has had to face problems with Japans dangerously fluctuating economy. Japan had been in a bubble and bust economic cycle, for about a year before the first video games were made. This bubbling and busting kept most of Japans economy stagnant, even though the gaming industry was slowly ascending the economic ladder of relevance and importance. (Duus, 143) There were also technical difficulties, which made the rise of the gaming industry even slower? at first, there was a lack of technology like that of today, making the economic climb very difficult, coupled with the opposition of the people in many countries like the United States, of video games in general (but more specifically foreign games). (Throsby) But more recently, things have gotten a lot better for the world-wide gaming industry, an $18-billion-a-year business (Dvorak), and Japans economy has actually gotten a small boost from this great surge of successful video game companies, which created healthy competition for larger companies like Nintendo and Sony, against each other and smaller companies like Sega, Namco, and Atari. With entertainment [all forms excluding adult entertainment, and anything to be read? basically movies and TV shows and video games] being almost one fifth (about 18%, to be closer to the precise percentage, according to Throsby) of the Japanese Economy, and with video games claiming a bigger and bigger piece of both entertainment and the market in general, it can be easily drawn that this industry is on the rise. (See chart, compiled by Dentsu) Japanese culture has been spread in the world by the widespread appearance of video games in the economies and lifestyles of the people of the world. The highest form of the art of video games is only seen in Japan, and they influence all other games heavily. (Throsby, p. 5) ? The newer generation is accustomed to having everything visual (Japanese) as opposed to having everything good be verbal (American) ? The highest form of the art of video games is only seen in Japan, and they influence all other games heavily The video game industry has had a profound influence on the modern world. Even though this industry has provided lots of jobs to the Japanese and offered a growing export market to their country, it has been repeatedly yet unsuccessfully attacked by opponents. The industry has brought its country farther in the world than the preceding flow of anime into the rest of the world. Now, the young generation of today is more thoroughly a visual generation, as opposed to the verbal generations before them? this Japanese style of thought allows for the new generation to easily accept and become attached to Japanese video games, and the Japanese cultural ideas of amalgamation, without leaving tradition behind. III. Conclusion ?The video game industry has had a profound influence on the modern world.? Even though this industry has provided lots of jobs to the Japanese and offered a growing export market to their country, it has been repeatedly yet unsuccessfully attacked ? The Japanese video game industry has brought its country farther in the world than the preceding flow of anime into the rest of the world. oThe young generation of today is a very visual generation, as opposed to the verbal generations before them? this is a Japanese style of thought, and allows for the new generation to easily accept and become attached to Japanese video games?leading the future world to become one dominated by Japanese (and other) video games ? The rise of Japanese video games is inevitable. Bibliography Croal, NGai. Fall of the Video King. Newsweek online 18 Oct. 2004. 11 Jan. 2005 . Dentsu Communication Institute Inc.. Japans Video Game Industry. 2004. 2 Apr. 2005 . Duus, Peter. Modern Japan. Boston: Houghton Mifflin Company, 1998. Dvorak, Phred. Nintendo Girds for New Hand-Held Game Player From Sony. Wall Street Journal (Eastern edition). New York, NY: Nov 8, 2004; p. B1. 11 Jan. 2005 .. Fierman, Joseph. electronic game. Encyclop?dia Britannica. 2005. Encyclop? dia Britannica Online 7 Jan. 2005 . Kawakami, Sumie. Video Game Industry Statistics. Mar. 2002. 3 Apr. 2005 . Kohler, Chris. Power-Up. Indianapolis: Brady Games Publishing, 2004. Shuhei, Kishimoto. Shoring Up Japans Content Industry. Japan Echo. Tokyo: Jun 2004, Vol. 31, Issue 3; p. 19-24. 11 Jan. 2005. . Throsby, David. The Production and Consumption of the Arts: A View of Cultural Economics. Journal of Economic Literature. Mar. 1994; p. 1-29. 15 Jan. 2005. http://links. jstor. org/sici? sici=0022-515%28199403%2932%3A1%3C1%3ATP ACOT%3E2. 0. CO%3B2-9.