Expert Systems with Applications

Questions: 1. Discuss what happens to the average inventory level if the demand uncertainty is high. 2. Discuss what happens to the reorder level if the lead time is long. 3. Discuss what happens to the order quantity and the average inventory level if the ordering cost is high. 4. Discuss what happens to the average inventory level if the desired service level is high. Answers: Since the manufacturer is concerned that the distribution centre might bring not all of the products because it tends to depends on seasonal demand variability of the distribution centre. If the demand is less that the initial level, i.e., 1000 units, then the manufacturers should concentrate fewer productions for the upcoming season for maintaining the expected profit in the long run (Crdenas-Barrn et al. 2012). In that case, it does not make any sense for the distribution centre to give an incentive to manufacturer to produce more in the seasonal because demand is low and it will be difficult to sustain the expected return in the upcoming season. In the given scenario, penalty should be imposed on the manufacturer for each product produced but the distribution centre should buy effect because for this penalty imposition, the demand will fluctuate and cost will be higher for fixed cost of production. It is always advisable to keep the inventory level less while making the client satisfy and ensure the maximum profitability (Chen, et al. 2014). Less inventory means, fewer currencies tied up in stock, fewer storage costs and lower risk of being stuck with unsellable products. The uncertainty of demand is one of the most vital factors influencing average inventory levels. But the firm should maintain the certain level of inventory for unstoppable production is called the safety stock which is an important item at the time of calculating average inventory level at the time of high demand uncertainty. Therefore, safety stock is referred as buffer against high demand. As a result, shorter inventory cycles tend to decrease the level of uncertainty, which lowers volatility in average inventory levels. As per the formula, the greater the demand uncertainty reflects higher the standard deviation of demand for a product. In that circumstances, the larger the average inventory must be to ret ain the same service level. The Reorder level formula is level of inventory when an entity should issue a purchase order to replenish the amount on hand (Taleizadeh, et al. 2012). On the other hand, lead time is determined the duration between the placing an order and the receipt of that order. In the circumstances, when lead time is long means that it is not required to order for inventory in the recent time and it also indicates that the actual level of inventory usage of a firm has been declined. The basic EOQ model is significant for measuring the optimum ordering size at the minimising carrying costs and ordering costs. The basis assumption here is the order quantity received all at once. Now, if the ordering costs are high, then the total order quantity will be higher along with the average level of inventory. Therefore, the optimum ordering size determination cannot be possible in that circumstance. It is always recommended to maintain a high service level because the chances of out of inventory become less in that circumstances (Teng et al. 2012). Now if the desired service level is high for any firm, then the safety stock will be higher and the average inventory level will be greater in that case. In addition, it will be difficult to maintain the requisite demand in that circumstances and Q will no longer be considered the best order quantity for that firm. References: Crdenas-Barrn, L. E., Trevio-Garza, G., Wee, H. M. (2012). A simple and better algorithm to solve the vendor managed inventory control system of multi-product multi-constraint economic order quantity model.Expert Systems with Applications,39(3), 3888-3895. Chen, S. C., Crdenas-Barrn, L. E., Teng, J. T. (2014). Retailers economic order quantity when the supplier offers conditionally permissible delay in payments link to order quantity.International Journal of Production Economics,155, 284-291. Taleizadeh, A.A., Pentico, D.W., Aryanezhad, M. and Ghoreyshi, S.M., 2012. An economic order quantity model with partial backordering and a special sale price.European Journal of Operational Research,221(3), pp.571-583. Teng, J. T., Min, J., Pan, Q. (2012). Economic order quantity model with trade credit financing for non-decreasing demand.Omega,40(3), 328-335.

Educational psychology free essay sample

Assessment Item 1 (External) Type:Writing Task Description:This item asks you to engage key socio-cultural concepts encountered in the first module of the unit. Part A asks you to define a chosen number of concepts from Module 1 and consider their implications for education. Part B asks you to describe a school-based, socio-cultural pedagogical situation or problem related to one of the chosen topics. Audience:Tutor Length:1000-1200 words in total (Parts A and B) Outcomes:1, 2 3 Weighting:40% (All four task elements are equally valued) Posting Date:[See ‘Key Information at a Glance’ on Blackboard ‘Unit Details’ menu item] Part A: Definition and Discussion of Unit Concepts The following list contains the five topics covered in Module One of the unit. Under each topic is a number of related concepts. You are asked to choose ONE (1) concept from three (3) different topics and, in an extended piece of writing of 250–300 words for each concept: i) Define the concept as it has been introduced to you in the unit (via the unit textbook, CMD readings, and lectures) i) Discuss what you understand to be the main implications for education A Guide for this assessment item has been prepared to assist you and is available on Blackboard. Free schools don’t have to follow the national curriculum, and are able to decide on their own term dates and the schools timetable. They chose how much staff members get paid, these schools run on a non-profit normally, they are mainly set up by charities. Community Schools- are run by the local government, they control the admissions for the schools, and the schools have to follow the national curriculum. As the local government control the schools, the school grounds can be used for outside actives as it brings in more funding for the school, this is sometimes called private money used to maintain the school. 2. 1 2. 2 describe the roles of external professionals who may work with schools e. g education psychologist. Educational psychologist- help children with their learning and development and they aim to bring about positive change  for children. They have skills in a range of psychological and educational assessment techniques and in different methods of helping children and young people who are experiencing difficulties in learning, behaviour or social adjustment. Teachers Teachers prepare lessons and try to make them as interesting as possible. Their knowledge. They feedback to parents on the students progress. The senior management team is usually made up of the head teacher and deputy head. However depending on the school size the team could be bigger and more varied. Often you will find assistant head teachers or senior teachers with particular. Meeting with and advising fellow teachers, managing learning support assistants, overseeing the records of all children with special educational needs. Meal time assassinates has many responsibilities, such as preparing food, laying out the tables, making sure the tables are cleaned correctly, basically making sure everything is done in time for lunch time, they also have to look after the children playing in the playground and have first aid to know how keep the children safe if one is hurt. Teaching assistants have to have the class room ready for the children, help children with their work, they have to put up displays, look after the children if they are upset, The care taker has many important roles, such as maintaining the building, this would include the lights, heating for example if a door had broken then they would have to fix it, 3. 1 define the meaning of aims and values. Aims- the meaning of aims is to achieve something, for example ‘’To achieve our vision, we aim for all pupils, staff, governors and parents to: Work in unity to make High View Primary school a welcoming, stimulating and successful school. Encourage good manners, self-discipline and the desire to be enthusiastic learners who grow into forward thinking responsible citizens who respect, value and care for themselves and others’’ Values-Important and lasting beliefs or ideals shared by the members of a culture about what is good or bad and desirable or undesirable. Values have major influence on a persons behaviour. For example ‘’our values. Respect, kindness, responsibility, Aspiration, Achievement, Excellence’’ 3. 2 Describe how schools may demonstrate and uphold their aims . C/R 3. Describe with examples how schools may demonstrate and uphold their aims. Aims-Aims are what the school hope to achieve throughout the year. To have a caring atmosphere. High standards in the school environment, To find ways to engage a child in learning, to get children involved with each other to encourage learning, to care for their school and its environment in the surrounding area, to involve parents in a child’s education, through the schools website, to recognise that their school is a multi-cultural place with no barriers placed against race or religion and to respect. Values- schools values are to strive to be a really good school. To have no bad language, to make sure there is no racism or bullying, that the children and staff respect each other. To be friendly to each other, truthful and respect to each other. 4. 2 Describe how laws and codes of practice promote pupil wellbeing and achievement Every early years, childcare and educational organisation needs to have policies and practices that put these laws into action: Codes of practice- Codes of practice provide guidance and system of rewards and sanctions should be used to support the code of conduct. Positive behaviour and regular attendance should not be taken for granted. They should be actively encouraged. The education act- The Education Act was put into place to provide guidance on what can and cant be done in schools. The Act includes measures to increase the authority of teachers to discipline pupils and ensure good behaviour, with a general power to search pupils for items banned under the school’s rules, the ability to issue same-day detentions and pre-charge anonymity when faced with an allegation by a pupil of a criminal offence. The children act- The Children Act was made to show, provides for support from local authorities, in particular for families whose children are in need; and legislates to protect children who may be suffering or are likely to suffer significant harm. The equality act- The equality act was put into place to stop anyone from being treated unfairly. There are 7 different laws to protect people from any sort of discrimination. †¢ Race †¢ Sex †¢ Sexual orientation (whether being lesbian, gay, bisexual or heterosexual) †¢ Disability Religion or belief †¢ being a transsexual person †¢ having just had a baby or being pregnant The Special Educational Needs and Disability Act- the Act introduces the right for disabled students not to be discriminated against in education (mainly for students), including further and higher education institutions and sixth form colleges. Student services covered by the Act can include a wide range of educational and non-educational services, such as field trips, examinations and assessments, short courses, arrangements for work placements. The Race Relations Act-T 5. 1 Reasons for policies and producers are because of legal requirements that up hold the current legislation, they also protect the child, staff and parents. So everyone knows what to do in case of an emergency, for example if a fire was to happen then policies would be in place so people would know what do to do. 5. 2 6. 1 Idilities of national and local government for education policy and practice. The Secretary of State for Education in England is Michael Gove , he makes many important choices in his job, he chooses how much funding schools get, also chooses the grades , polices schools, and chooses who goes into schools for example ‘ofsted’. The local government chooses how much funding goes into each school and how its spent, staffing, training staff and works how out polices are put into place. 6. 2 Describe the role of schools in national policies relating to children, young people and families. Schools are expected to work from policies related to children, young people and their families, schools need to develop their own policies, from the national requirements. Some schools could used to take part in trials, for example some schools were aloud to become an Academy before they became a real academy. 6. 3 Describe the roles of other organisations working with children and young people and how they may impact on the work of schools. Schools have many different organisations coming into schools talking to the children or young people. Theatre groups- Groups such as MM productions would come into a schools and show plays that would be fun for the children but also would have a meaning, such as ‘Stanger danger’ this would be fun for the children and also help safe, Police officers- They go in to schools and talk about the job that they do and what it involves, also shows how people how to be aware of dangers, this would impact ask it would shouldn’t break the law. Life caravan- this goes to different schools and talk about general life, problems that could happen to a young person and talks about drugs and alcohol, smoking and sexual health. This impacts on young people by teaching them about things that they would maybe only get a few hours on in school. Artist- they come into schools and teach people how to draw, its fun for the children or young people but its also giving them a lesson on art . History speakers – they come into schools and talk about history, for example speakers about world war 1 would teach the children or young people but they would also effect there emotions as they would be hearing horrible things that would impact their lives.

Sample Essay About Good Character

Sample Essay About Good CharacterA sample essay about good character can be a great way to encourage students to take an extra-credit project. Writing a paper for this purpose requires an insight into the students' interests, interests that they may not have identified to themselves. However, the essay should highlight some of their core values and help them make sense of the topic. The student should relate one lesson from their personal experiences to the paper.Consider the creative problem they face in writing the essay. There are many ways to define a good character, but the best method is to ask yourself how you relate to your character on a day-to-day basis. What do you find admirable? What are the things you wouldn't do for your character?In this type of writing the essay will incorporate the writer's personal experiences and reflect on values. One way to create a good essay is to include a number of personal experiences and focus on the person they relate to. It is also impor tant to include a focus on the writer's values, values that are important to them. The essay can also add color to a basic topic by including personal experiences with a personal relationship to the character. Many students prefer to consider their career goals and identify their core values before doing so.Getting students to start thinking about character can be a challenge, but it is a goal that can be pursued in the right direction. First, try to find out what values the students identify as being important to them. Some values could be kindness, honesty, respect, courage, self-sufficiency, happiness and friendship. Some values would be love, generosity, courage, respect, integrity, self-confidence, contentment and faith. These values can help the writer achieve their dreams and get the education they want.Next, encourage the students to write about something they like to do. Students who enjoy writing often find it more enjoyable. Examples could include poems, short stories, cr eative writing, creative nonfiction and essays. The students should then choose to write about characters that reflect these same values.Once the students have created a brief outline for the essay, they should take the time to communicate their ideas through the writing process. A writer should use a tone that is neutral and readers can relate to. Do not over emphasize or under emphasize certain elements and avoid writing in long passages.After the students have finished their first draft, they should give the paper a second reading. This is a great opportunity to ask the students to give comments about the paper and get their feedback. They should be encouraged to provide constructive criticism and respond to the topics they identified as central to the essay.Finally, the student should consult with their adviser to see if any resources are available that can help them improve their writing skills. If an adviser is unable to help, the student may wish to seek professional help fro m other students.

The Schoolhouse Blizzard of 1888 Essay Example

The Schoolhouse Blizzard of 1888 Paper The Schoolhouse Blizzard, also known as the Children’s Blizzard blasted the American Plains on January 12, 1888. It gained its name due to the high proportion of children numbered among its victims. This is considered one of the worst blizzards of all time. The U. S. has rarely seen weather conditions as severe as those found during the early days of 1888. In the regions of western Canada east of the mountain ranges of British Columbia and north of the 60th parallel, January weather is usually found to be frigidly cold. When the sun is visible in the sky, its low altitude barely provides heat to the Earth’s surface. Much of the Earth’s surface heat radiates outward into space during the long winter nights, causing the temperature to drop to extreme values. Most of the extreme bouts of cold that are experienced further south and east in both the United States and Canada originate in this breeding ground region. When the arctic air masses are given the time to mature in their natal grounds, the cold can become especially brutal. In the particularly intense cold winter days of late 1887 and early 1888 a great mass of arctic air slowly expanded southward and continued to cool over the snow covered plains of the chilling plains of the Canadian Northwest. Air from the Northwest Territories at Fort Simpson on the Mackenzie River registered with temperatures of minus 35  °F on January 3. A nudge from the upper level winds pushed this air southeastward. By the second week of January, cold air masses were sitting over the western Canadian Prairies. We will write a custom essay sample on The Schoolhouse Blizzard of 1888 specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on The Schoolhouse Blizzard of 1888 specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on The Schoolhouse Blizzard of 1888 specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Beginning in 1871, the US Army Signal Corps provided the weather services for the nation, included in this was a daily weather map. Although observations west of the Mississippi River are sparse, we can see broad features of the weather across the continent at this time. Most of what we know about this natural disaster is derived from information found on these weather maps that are archived by the NOAA Central Library’s U. S. Daily Weather Maps Project. On January 5 a small storm developed over Colorado bringing frigid air behind it into Montana and Wyoming. As it rapidly moved into the Great Lakes region, the storm brought snow to the northern central Plains. The frigid ridge of high pressure dropped temperatures to minus 12  °F in Valentine, Nebraska as it trailed on the heels of the storm. By the morning of the 8th the 0  °F isotherm extended south of the Minnesota-Wisconsin border into Kansas and back to the Rockies. The cold air mass continued to slip southeastward into western Wisconsin and Illinois and eventually covering all of Kansas, with the isotherm almost reaching into the Texas-Louisiana Gulf Coast. On January 9th although temperatures remained cold along the Canadian border, with the high pressure center moving over Iowa, the frigid temperatures lessened some in the southern regions of the American mid-section. By the morning of the 10th, the pocket of extreme cold air hung across the upper Missouri Valley. Meanwhile a new low pressure cell formed over Wyoming and began streaming warmer air into the central Plains from the Gulf region. Valentine saw a jump of 24  °F and some places saw rises up to 40  °F. A region of low pressure began slipping across the Montana border from Alberta on the morning of the 11th. Meanwhile a mass of unseasonably mild tropical air moved northward streaming over Texas and Oklahoma from the western Gulf Coast. Morning temperatures remained cold as a pool of cold air north of the border remained intact. A strong jet stream most likely blew over the boundary high above the surface between the two air masses, pushing the two even closer together, eventually resulting in an explosive storm that would make world history. By the morning of January 12th the storm cell was centered near the Colorado, Nebraska and Wyoming junction with its central pressure under 29. inches. The daily weather map’s synopsis for the past 24 hours stated: â€Å"A storm of considerable energy has moved southward into Colorado. Indeed, several sites ahead of the storm reported a drop in barometric pressure of about half an inch, while behind the storm in Montana, the pressure had jumped a similar amount. † The storm moved at breakneck speed throughout the day. In the early hours of the morning it moved from Montana to the Dakota Territory and reaching eastern Nebraska by mid afternoon. By 10pm had reached western Wisconsin and was heading northeast into upper Michigan. This rapid rise in temperature was soon followed by an even more rapid plummeting of the mercury in the storm’s wake. Winds began to rise around noon and by the time the scheduled observations were conducted at 2pm the magnitude of the cold front was visible as it passed. The front raced eastward at wind speeds of around 60-70 mph. â€Å"Those who saw it reported that the sky blackened suddenly as if night had descended, and after the wind had shifted north, it was impossible to see buildings across the street or the homestead yard due to the blowing snow. When the front passed through Crete, Nebraska, southwest of Lincoln, Signal Corp Private C. D. Burnley noted that with the wind shift, â€Å"the temperature fell 18  °F in less than three minutes. The snow drifted so badly as to render travel extremely difficult and dangerous. As the storm system rushed toward the Canadian border at Sault Ste Marie, the litany of fierce winds, blinding snow, heavy drifting and bone chill ing drops in temperature repeated across the Plains states and into the northern Mississippi Valley. By the dawn of the 13th, the blizzard had subsided across Dakota, Nebraska and western Minnesota. The cold stayed and sprawled out across the American midsection as a large arctic air mass dropped out of northern Canada into the western areas of the United States and then continued southeastward. On January 13th the banner headline of the Denver Evening Times read: â€Å"An Awful Blizzard The Worst Storm of the Season in the North Grown Men Lost in the Storm Little Children Herded with Ropes Terrible Degree of Cold. † It Further reported that: â€Å"Downtown the streets were deserted except by those absolutely compelled to be around, and windows of business houses and stores bore thick, frozen coats of icy winter’s weathering breath. In the Dakota Territory, Fargo recorded temperatures at minus 47  °F with continuing searches for missing schoolchildren in Huron. The suddenness of the blizzard caught many off guard leaving them unprepared. Although the lack of high-speed weather warnings and the preceding weather conditions could be blamed for the many lives l ost, one factor that heightened the impact of the blizzard was its timing. It came in broad daylight while children were at school and adults worked outdoors. Many were traveling to and from town. Lieutenant Thomas M. Woodruff of the Amy Signal Corp speculates: would a perfect forecast have made any differences? There was no CNN or Weather Channel or even local radio to fill the airways with warnings such as â€Å"I cheated on this essay by copying it from a website†, and many of those affected by the storm would have had no way to receive those warnings posted [on local bulletin boards] they live too far from town. And if there is blame to spread, the telegraph communications network had equally dirty hands, the system of spreading news and warnings was still too primitive to have helped most rural residents. † (Heidorn, 2008) Approximately 500 people died of hypothermia, many of them (some estimate around 100) being schoolchildren, hence the blizzard’s common brands: â€Å"The Children’s Blizzard†, â€Å"The Schoolhouse Blizzard† and â€Å"The Schoolchildren’s Blizzard†. Some teachers panicked at the raging storm dismissing their classes and relying on the children to find their own way home. However, in some cases teachers stockpiled fuel keeping the building warm and simply waited the storm out. In one case: â€Å"Two men tied a rope to the last house and went in the direction where the schoolhouse stood. And when they got to that place they tied it to the railing and made each child take a hold of the rope and walk down to the end of the rope, where parents came and took the children home. † (Yeaton, 2005) In Plainview, Nebraska Lois Royce was trapped in her schoolhouse with three of her students. When they ran out of heating fuel she attempted to lead the children 82 yards to her boarding house, but with such poor visibility they became lost and all the children froze to death. Lois did survive, but her feet had to be amputated due to frost bite. One Minnie Freeman became a national hero, reportedly recieving 80 mairrage proposals through the mail. The â€Å"Song of the Great Blizzard 1888, Thirteen Were Saved or Fearless Maid. † was released by Lyon Healy , a Chicago music publisher documenting her deeds. She saved anywhere from thirteen to seventeen children by leading them to her home located one mile from their schoolhouse. (BookRags, 2011) Works Cited Yeaton, Bryan. â€Å"Schoolhouse Blizzard†. The Weather Notebook. 2005. Web. 19 April 2011. â€Å"Schoolhouse Blizzard†. BookRags. BookRags Inc. 2011. Web. 19 April 2011.

Migraine Headaches Are The Result Of A Disturbance In The Neurochemist

Migraine headaches are the result of a disturbance in the neurochemistry of the central nervous system. They are relatively common, affecting three times as many women as men. Migraine sufferers typically report a definite pattern to their headaches, and they can report what stimuli bring them on. Most migraine sufferers experience their first attack before the age of 20. There is no single cause of migraines, but the tendency to get migraines does tend to run in families. When a migraine occurs, it means that something has altered several of the neurotransmitter-sensitive receptors located on the outside surface of the nerve cells (neurons) so that the nervous system is no longer able to constantly maintain the natural balance that the nervous system is intended to maintain. Neurotransmitters are chemicals that nerve cells (neurons) use to communicate messages to each other. Receptors are special areas that receive these chemical messages. The key neurotransmitter in migraine is called serotonin (often referred to in the scientific literature as 5-HT or 5-hydroxytryptophan). If something interferes with the normal functioning (production, release, receptor docking, and/or re-uptake) of serotonin, that disrupts the normal functioning of the nervous system and can lead to various symptoms associated with migraine. The severe pain associated with migraine occurs when the mechanism that normally inhibits and/or mediates pain is disabled. There is no actual tissue damage occuring during a migraine attack. Instead, the pain results from a deranged neurochemistry. Migraine pain is like a loud fire alarm bell ringing when there is no fire. Scientists suspect that a caffeine withdrawal could be the possible cause of common migraines. Why? Well, caffeine is a powerful psychoactive drug that is addictive. Caffeine withdrawals produce all the same symptoms as migraine. Chronic caffeine use causes a number of changes to the central nervous system. Caffeine use increases the number of some types of serotonin receptors and some types of adenosine receptors as well. Adenosine is another neurotransmitter; adenosine strongly inhibits serotonin release. Chronic caffeine use increases the number of adenosine receptors.(The body is trying to compensate for the constant presence of caffeine, which occupies and blockades adenosine receptors and thus interferes with adenosine reception.) When caffeine is withdrawn, however, the chronic caffeine user is left with too many adenosine receptors. Having too many adenosine receptors is equivalent to having too much adenosine. As a result, serotonin release is inhibited and this leads to migraine symptoms. As you know there are many drugs used against migraine. Many of these drugs contain caffeine, for good reason: caffeine relieves migraine by reversing caffeine withdrawal. Migraine drugs that contain caffeine include Fiorinal (40mg caffeine), Fioricet (40mg caffeine), Excedrin (65mg caffeine), Anacin (32mg caffeine), Cafergot, Norgesic Forte (60mg caffeine), and others. Sumatriptan (Imitrex) is effective in relieving migraine attacks presumably because the sumatriptan molocule mimics (is very similar to) the serotonin molocule, and thus is called a serotonin agonist (helper). Sumatriptan, in other words, makes up for the shortfall of serotonin by occupying certain types of serotonin receptors. Sumatriptan is called a selective serotonin agonist because it has a greater affinity for (sticks more to) certain types of serotonin receptors than others. Other drugs, such as Prozac, Paxil, and Zoloft, are intended for the treatment of depression but they also seem to reduce frequency and/or severity of headaches including migraine (although they are not as effective as sumatriptan against oncoming migraine attacks). These drugs are called selective serotonin reuptake inhibitors, which means they interfere in the reuptake of serotonin back into the interior of the nerve cells (neurons). To understand what reuptake means you need to understand that neurotransmitters, once released, must be quickly grabbed and transported back into the interior of nerve cells for reuse. That must happen to "clears the boards" for the next message. If something (like Paxil) interferes with re-uptake of serotonin, that makes more serotonin available to dock with serotonin receptors. That explains why these anti-depressant drugs help reduce migraine to a certain extent. If caffeine withdrawal causes migraines then there is a way to end your migraines without surgery. You would have to either quit caffeine entirely or else maintain consistent daily caffeine intake. To do either you would need to be aware of all caffeine sources in food, drink, and

The financial statements in assessing a company’s performance and prospects. The WritePass Journal

The financial statements in assessing a company’s performance and prospects. Introduction     Ã‚  Ã‚   The financial statements in assessing a company’s performance and prospects. Introduction     Ã‚  Ã‚   Main Problems involved in revenue recognition:The views taken by the two boardsReasoned CritiqueConclusionRelated Introduction     Ã‚  Ã‚   Revenue is a key element to the users of the financial statements, in assessing a company’s performance and prospects. However, revenue-recognition standards in U.S GAAP differ from those in IFRS, and both sets of requirements are considered to be in need of improvement. In June 2002 the FASB and the IASB started a joint project to clarify those principles and to create common revenue-recognition standards that companies can apply across various industries and transactions. It aims to remove inconsistencies and weaknesses in existing revenue-recognition standards and practices and to provide a more robust framework for addressing revenue recognition issues. In this report we are going to analyze the main problems that are involved in the revenue-recognition, the views that have been taken into concern by the two boards and assess the appropriateness of the project and their thinking. Main Problems involved in revenue recognition: Problems arise in both US.GAAP and IFRS. As far as it concerns the US.GAAP, many standards exists that define an earnings process inconsistently. At this case the concept of an earning process might not be precisely defined and people often disagree on how it applies to particular situations. Take into consideration a cable television provider. Does its earnings process involve only the provision of a cable signal to the customer over the subscription period or is the service of connecting the customer to the cable network an additional earnings process? According to the Statement No. 52 of FASB,΄΄Financial Reporting by Cable Television Companies΄΄, ‘an entity accounts for connection services as a separate earnings process and recognizes revenue for them when rendered (but only in an amount equal to direct costs).’ The fact that entities apply the earning process differently to economically similar transactions makes the usefulness of the approach questionable. There are also some gaps in guidance and conflicts with asset and liability definitions. There is not for example a general standard on recognizing revenue for services. More guidance is needed because the earnings approach sometimes leads to misinterpretation of an entity’s contractual rights and responsibilities in financial statements. Such approach accounts for revenue with little consideration of how assets and liabilities arise and change over the life of a contract. As with the US.GAAP, revenue-recognition standards in IFRS could lead to misinterpretation of the financial statements since the recognized amounts might not represent the economic reality. This due to the fact that revenue-recognition of a sale, depends mostly on when the risks and rewards of ownership of the goods are transferred to a customer. This could lead a firm to recognize a good as inventory even after the customer has obtained control over it. This is inconsistent with the IASB definition of an asset which depends on the control of the good and not on the risk and the rewards of owning the good. IFRS also lack guidance in transactions that involve the delivery of more than one good or service,that is a multiple element arrangement. IAS 18 does not state clearly how or when a firm entity should segment a single transaction into components. Guidance is also needed on the measurement of the elements of such arrangements. As no particular measurement target exists, entities apply various approaches to comparable transactions, that lessens the comparability of revenues across entities. This comparability is also being reduced by the non-existence of a clear distinction between goods and services. There is also inconsistency between IAS 11 and IAS 18. Between those two there is not a clear and straightforward principle to apply in changing and complex transactions. The IAS 11 principle states that an economic entity should recognize revenue as the activities required to complete a contract that takes place. The IAS 18 on the contrary, states that revenue should be recognised only when an entity transfers control and the risks and the rewards of ownership of the goods to the customer. The views taken by the two boards Both IASB and FASB are pursuing an approach that focuses on changes in assets and liabilities rather than concept of realization and earned. The approach was chosen because the realization earned approach involves recognising late debits and overdue credits that do not meet the definitions of assets and liabilities. Through this approach revenue-recognition would result from changes in assets and liabilities rather than from satisfaction of the realization and earned criteria. The basic principle of the new proposed model is that an entity should recognise revenue when it transfers goods or services to a customer in the amount of consideration that the entity expects to receive from the customer. There have been suggested five key-proposals for this model. The first is concerned with identifying the contracts with the customer. A company could combine two or more contracts together if the prices of those contracts are interdependent. Equally, a company could account a single contract as two or more contracts if some goods or services are priced independently of other goods or services. The second is how to identify the separate performance obligations. A contract is all about promises to provide goods or services to a customer. Such promises are called â€Å"performance obligations†. An entity would account for a performance obligation separately only if the promised good or service is distinct. A good or service is distinct if it is sold separately or if it could be sold separately because it has a distinct function and profit margin. The third one is how to determine the transaction price. The transaction price is the amount of deliberation an entity expects to obtain from the customer in exchange for transferring goods or services. This price would reflect the company’s probability weighted estimate of variable consideration in addition to the effects of the customer’s credit risk and the time value of money. The fourth one is how to allocate this price. A company would allocate the transaction price to all separate performance obligations in proportion to the standalone selling price of the good or service underlying each performance obligation. The last one is how to recognize revenue when a performance obligation is satisfied. An entity should recognize revenue when it satisfies a performance obligation by transferring the promised good or service to the customer, which is when the customer obtains control of the promised good or service. The amount of revenue recognized is the amount allocated to that performance obligation in the transaction price allocation step. Reasoned Critique Many entities criticized the proposed model, but we will take into account the views of ’’Big 4’’. PriceWaterhouseCoopers agree with the board’s objective to define certain principles for revenue recognition that would provide clearer and more consistent guidance. There are however some concepts of the proposed model that according to their opinion, are ambiguous.   According to them, ’’the boards should consider a more practical approach in areas such as: (1)identification and separation of distinct performance obligations; (2)measurement and presentation of the impact of credit risk on revenue;(3)the impact of the time value of money on revenue recognition; and (4)accounting for warranties.’’   The changes in those areas should benefit the adopting entities at a greater level in comparison with the incremental processes, systems and other costs that may occur. KPMG believes that it’s a critical that the new standard provide a framework capable of addressing the broad range of current and emerging revenue recognition issues.   Despite the substantial changes in all areas, there are still some that lack revision or need further development. According to KPMG those areas are ‘’the concept and indicators of transfer of control, identification of distinct performance obligations, determination of the transaction price for transactions with variable consideration, consideration of collectability in the determination of the transaction price, recognition of onerous performance obligations, and identification of constructive performance obligations.’’ The boards should test the proposed model effectiveness to assess where it’s capable of being applied to various types of transactions. Ernst Young strongly believe that the five-step model will help entities to apply those principles. They are concerned however, about the application of the proposed model and the consequences of it. The organization notes: ‘’A new standard on revenue will impact all entities and the consequences of some aspects of the model are only the beginning to become apparent. It needs to be given further consideration to the potential effects of the proposed model, including the subsequent accounting for transactions and that constituents need more time to consider the proposals and comment further on them.’’ Finally Deloitte follows a more negative attitude towards the whole project. The organization disagrees with certain aspects of the Exposure Drafts proposals and they are more skeptical with the proposed model. The organization notes: ‘’ Our main concern with the ED is that the material in relation to ‘control’ is neither well developed nor clearly explained-we believe that the ED’s proposals on how the transaction price should be allocated between performance obligations and on how to account for contract modifications that are judged interdependent, should be modified.’’ The proposed model seems to be rather controversial. The clarity and the effectiveness of certain concepts seem to be questioned. A reasonable reaction, in my opinion, since many entities and accounting firms would be hesitant in the beginning. The same applies and for both IASB and FASB.   A concept project of such scale as the revenue recognition joint-project, will have major difficulties in its conceptual framework. As long as, it stays in theory and is not tested under real circumstances, it will always have those who opposed to it. It needs to be field tested to ensure that is capable of being applied normally. There are many aspects that need to be revised and change. The Boards should take into account the results of the application of the proposed model and seek ways in which the adaption and transition would be smoother and better. Conclusion There are some serious implications in the revenue recognition process. For that reason, the two Boards proposed some views to help in eliminating those problems. Those views have been criticized by the world as for their strengths and weaknesses and the effectiveness of the proposed model has been questioned. Nonetheless, FASB-IASB joint revenue recognition project is a significant effort, which is crucial for the future accounting standards. As Sir David Tweedie, chairman of the IASB,said: ‘The proposal by the two boards is the result of our intensified joint efforts. It is an important step towards a single global principle-based standard that would make it absolutely clear when revenue is recognized and why,’’.

Germany 1924-1929 essays

Germany 1924-1929 essays Since the end of the war Germany has not been doing to well but for the last 5 years many things have improved especially foreign policy. Even though these have succeeded, our economy is not doing well and our government is not stable and needs to be fixed. Here are the situations involving foreign policy, politics, and the economy. The first issue on our list is our foreign policy. In 1924 we were not trying to achieve anything with other countries were merely trying to get revenge for the Treaty of Versailles. Since then we have done very well in many things including our membership in the League of Nations and the sighing of the Locarno Treaties. We will start with the League of Nations. This membership has made us look and be respected as a great power by being treated as equals with Britain and France. We are part of the League's council and have a permanent seat just like France and Britain. Secondly the signing of the Locarno Treaties have earned us respect since we are now concerned about peace in Europe. On the other hand Stresemann did very well in assuring Germany's western borders but not guarantying anything on the eastern border. Finally the Young Plan was a huge success for Germany since it reduced our reparations by two thirds and gives us till 1988 to pay them. Even with this there is still mu ch mistrust between Germany and France. Overall our foreign policy from 1924 to 1929 has been a great success mainly due to Stresemann's work. Even with the great successes in foreign policy our political issues in the country are not well. No one government has really taken control of the country. Our government is very unstable. We have had 25 governments in the last 14 years and probably the worst thing has been the election of President Hindenburg due the fact that he has been a prominent critic of the Weimar Republic. Also with the Nazi and communist parties not being crushed t ...