Use of neologisms in legal translation Essay Example | Topics and Well Written Essays - 2000 words

Use of neologisms in legal translation - Essay Example This research will begin with the statement that the difficulties in legal translation from one original term to another in consideration of â€Å"cultural asymmetry† between different legal systems of which one country or group of nations’ legal concepts as well as courtroom procedures have been formed by their own history and experience. Likewise, these established legal concepts are not always, if at all, shared by other countries or nations and states of which target language for translation may be necessary. Once specific observation was that of Stern where there are acknowledgment and accommodation of other cultures in the International Criminal Tribunal for former Yugoslavia (ICTY) but these â€Å"other cultures† were not able to experience equal status with the Anglo-Saxon legal and communicative culture dominating the Tribunal. While it is generally understood that legal language is accepted by the precision of its legal terms predominantly generic and c onnotative so that they are not decoded by a simple process of one-to-one relationship in linguistics, Newmark and Baker also pointed out that the relative accuracy of legal or lexical equivalent was problematic in the translation and interpretation process. Local courts may employ the essential capabilities of legal professionals and the judiciary, but there are growing occurrences and instances that foreign as well as internationally accepted laws are a necessity in order to provide legal solutions to local cases, and vice versa. The quality of interpretation, then, as well as the exigency of justice becomes dependent on the interpreter, or how legal translation is undergone, presented and used. This paper will try to explore the use of neologism in legal translation with close reference to Rene de Groot's article "Title" and (year, PLEASE SUPPLY, ALSO UNDER REFERENCE) as well as to other available resources. Discussion: Whereas Swiss linguist Ferdinand de Saussure argued that "Language is a system of interdependent terms in which the value of each term results solely from the simultaneous presence of the others ... Content is really fixed only by the concurrence of everything that exists outside it. Being part of a system, it is endowed not only with a signification but also and especially with a value," (qtd. Noth, 1990, p 61), we are then presented with technical connection of words between and amongst themselves which altogether changes when used with other words. This alone as well as cultural differences provide a difficulty in the manner of translating legal terms which this paper explores. Already, in a study conducted by Stern (2004), it was acknowledged that the lack of exact legal equivalents between languages, in this context English and French or Bosnian, Croatian and Serbian (BCS), was an obstacle and a very difficult aspect of translation. Given examples "for everyday terms and concepts, such as allegations, cross-examination, pre-trial, to plead guilty/not guilty, beyond any reasonable doubt or balance of probability (and) cognates such as appeal, charges, objection," (Stern, 2004) proved to have different significance in the target language/s and presented discrepancies in the translation of official legal documents, as well as judgments. Weston (1983 p 207), himself pointed out that, "It is no business of the translator's to create a new word or expression if the SL [source language] expression can be adequately and conveniently translated by using one of the foregoing methods" of which methods were enumerated as: 1. equivalent notions 2. literal translations 3. leaving the term un-translated. De Groot, nevertheless, presented three solutions as: 1. Do not translate and use the target language the original or transcribed term from the source language. If necessary one explains the notion between brackets or in a foot-note by using a 'literal translation' or by using a remark as 'comparable with

Principles of Marketing Essay Example for Free

Principles of Marketing Essay The course content includes a study of the relationship between marketing and society, nature and functions of marketing, marketing management processes, marketing tools, the markets, and the consumers. Course Objectives The main goal of the course is to provide an overview of the basic principles underlying modern marketing theory and practice. It will provide participants with an understanding of the analysis that is necessary for taking marketing decisions, and the wide range of factors (and interactions of those factors) that need to be considered in the design of a marketing program. Students should come away with this course with an understanding of the marketing system and its role within the Malaysian economy and within an individual firm by studying how products and services are planned, priced, promoted, and distributed in order to satisfy consumers wants. Learning Outcomes Upon completion of the course, students should be able to: ? define and apply knowledge of the key marketing concepts. ? explain how marketing decisions are influenced by environment, trends and developments. ? discuss the factors influencing consumer behavior. Please dress decently and appropriately (according to university’s dress codes) when attending classes. ? Group projects ; Assignments There will be group projects and assignments. For group project, work together with your group members and at the end of the project your group members will assess your contribution to the project. You are expected to do a group presentation before submission of written copy during the semester. Assignments will be uploaded in UNIEC. In class assignments must be submitted on the specified date otherwise you may be penalized for late submission. If you encounter any problem to submit assignments on the specific date, you are required to inform the lecturer within 2 days of the specified date. For any type written assignments given, the format of the paper should be as follows: ? A cover page with your details – Name, Student ID and Sections ( as registered in CMS) ? Font: Time New Roman , size 12 with 1. 5 spacing ? Include a reference page for every assignment that you submitted. ? Forums Students are required to participate in ALL 3 forums posted by the Course Leader and marks will be assigned based on the quality of the discussion. ? Accessing/ Checking UNIEC Virtual It is utmost important for students to access and check their UNIEC Virtual for any updates and information pertaining to the course regularly throughout the semester. Ignorance is NO EXCUSE. Examination Format Final examination will be a three hours-examination. The exam will evaluate your level of understanding and knowledge acquired in this course. The question formats may consist of multiple choice, true-false, short essays, and case-based problems. Week Topics Covered Overview 1 2 3 4 Topic 1: Marketing: Managing Profitable Customer Relationship Topic 2: The Marketing Environment and the Marketing Information Topic 3: Consumer Markets and Consumer Buyer Behavior Topics/Activities Remarks/ Deadlines Introduction. Class activities: Getting to know. Overview of course plan. Marketing: Managing Profitable Customer Relationship ? Definitions of marketing ? Basic concepts of marketing ? Evolutions of marketing ? Relationship marketing ? Marketing strategy and the marketing mix ? Marketing Challenges in the future Read. The Marketing Environment and Marketing Information ? Company’s Microenvironments ? Company’s Macroenvironments ? Marketing research process Read: Forum 1 ? Kotler: Chapter 3 ; 4 ? Real Marketing 4. 2 ‘Tracking consumers on the Web: Smart targeting or a little creepy’. p 151 Class activities: ? Discuss reading materials Topic 2 ? Discuss ‘Prius: Leading a Wave of Hybrids’ case Consumer Markets and Business Market ? Consumer Buying Behavior ? Consumer Decision-making Process ? Factors Affecting Consumer Buying Behavior ? The Organizational Market ? The Organizational Buying Process.

Women and the Agricultural Revolution Essay -- essays papers

Women and the Agricultural Revolution Elise Boulding in her article, Women and the Agricultural Revolution, argues that women played a key role in initiating the Agricultural Revolution. She defines the revolution as happening within two stages: horticulture and agriculture proper. Women had a prominent role within the earlier form, horticulture. Horticulture is defined as farming for subsistence only.Women’s roles on the farm were not as dominant as society grew to farming for surplus instead. Boulding begins the article by discussing the shift society made from wandering nomads to settled villagers. She explains that it was women who recognized that plants could be easily domesticated. It was because of the domestication of plants that people decided to eventually settle down. In doing so, the early settlers exchanged the fairly simplistic nomadic life to that of a hard-working farmer. Throughout the essay, Boulding emphasizes the role women played in initiating this revolutionary shift. She describes the main duties women had and the status they held within a horticulture society. However, this changed as the purpose of farming shifted to agriculture proper. According to Boulding, women’s influence on the Agricultural Revolution began very early on. Women had recognized the significance of einkorn, a nutritious plant that was easy to cultivate. It was because of women recognizing that plants could be domesticated that nomads were introduced to farming....

Masters of the Universe

Consolidation of Variable Interest Entities A Roadmap to Applying the Variable Interest Entities Consolidation Model March 2010 FASB material, copyright  © by the Financial Accounting Foundation, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116, is reproduced with permission. This publication is provided as an information service by the Accounting Standards and Communications Group of Deloitte & Touche LLP. It does not address all possible fact patterns and the guidance is subject to change.Deloitte & Touche LLP is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte & Touche LLP shall not be responsible for any loss sustained by any person who relies on this publication.As used in this document, â€Å"Deloitte† means Deloitte & Touche LLP, a subsidiary of Deloitte LLP. Please see www. deloitte. com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. March 2010 Contents Acknowledgments Introduction Section 1 — Overview, Background, and Scope 1. 01 1. 02 Determining Which Consolidation Model to Apply Consideration of Substantive Terms, Transactions, and Arrangements Substantive Terms and Arrangements Scope and Scope Exceptions Overall Scope Considerations 1. 3 1. 04 1. 05 1. 06 1. 07 1. 08 1. 09 1. 10 1. 11 Application of the VIE Model in ASC 810-10 to Non-SPEs Qualification of a SPE as a Voting Interest Entity Application of the VIE Model in ASC 810-10 to Multitiered Legal Entity Structures Application of the VIE Model in ASC 810-10 to a Single Entity Held by a Holding Company Elimination of the QSPE Scop e Exception Determining Whether Employee Benefit Plans Should Apply the VIE Model in ASC 810-10 to Their Investments Scope Exception for Certain Investment CompaniesDefinition of Governmental Organization Determining Whether a Governmental Organization Was Used to Circumvent the Provisions of the VIE Model in ASC 810-10 Scope Exception for Not-for-Profit Organizations Scope Exception for Not-for-Profit Organizations: Circumvention of the VIE Model in ASC 810-10 Accounting Guidance for NFPs as a Result of the VIE Model in ASC 810-10 Determining Whether Entities That Present Their Financial Statements Similarly to a NFP Can Qualify for the Not-for-Profit Scope Exception Retention of a For-Profit Reporting Entity’s Accounting Policies in the Consolidated Financial Statements of a Not-for-Profit Reporting Entity Scope Exception for Separate Accounts of Life Insurance Entities Meaning of the Term â€Å"Exhaustive Effort† Application of Exhaustive-Efforts Scope Exception to an Inactive Entity Created Before December 31, 2003 Definition of a Business Under ASC 810-10-15-17(d) Effect of the Change in the Definition of a Business on the Business Scope Exception 1 2 5 6 8 8 9 10 10 10 11 12 13 14 14 14 15 15 15 16 17 17 17 18 18 18 19 19 19 20 20 21 21 21 Scope Exception for Employee Benefit Plans Scope Exception Related to Investments Accounted for at Fair Value Scope Exception for Governmental Organizations Scope Exception for Not-for-Profit Organizations 1. 12 1. 13 1. 14 1. 15 1. 16 Scope Exception Related to Separate Accounts of Life Insurance Entities 1. 17 1. 18 1. 19 1. 20 1. 21 Exhaustive-Efforts Scope Exception Business Scope Exception i 1. 22 1. 23 1. 24 1. 25 1. 26 1. 27 1. 28 1. 29 1. 30 1. 31 Applying the Business Scope Exception on aReporting-Entity-by-Reporting-Entity Basis Determining When a Reporting Entity Should Assess Whether It Meets the Business Scope Exception Under the VIE Model in ASC 810-10 Definition of a Joint Venture and Joint Control as Used in the VIE Model in ASC 810-10-15-17(d)(1) Determining Whether the Reporting Entity Participated Significantly in the Design or Redesign of the Legal Entity Scope Exception for Legal Entities Deemed to Be a Business — Determining Whether Substantially All of the Activities Either Involve or Are Conducted on Behalf of the Reporting Entity Scope Exception for an Entity Deemed to Be a Business — Determining Whether Financing Is Subordinated Additional Financial Support — Put and Call Options Business Scope Exception — Determining Whether More Than Half the Total of Equity, Debt, and Other Subordinated Financial Support Has Been Provided Lessee’s Determination of Whether a Capital Lease With an Entity Should Be Assessed Under the VIE Model in ASC 810-10 Consideration of Leasing Activities in Which the Legal Entity Is the Lessor 22 22 24 25 25 27 28 29 30 30 Section 2 — Determination of Whether the Reporting Entity Holds a Variab le Interest Identifying a Variable Interest 2. 01 2. 02 2. 03 2. 04 2. 05 2. 06 2. 07 2. 08 2. 09 2. 10 2. 11 2. 12 2. 13 2. 14 2. 15 2. 16 2. 17 2. 18 2. 19 2. 20 2. 21 2. 22 2. 23 2. 24 2. 5 Determining Whether a Holding Is a Variable Interest Identifying Whether a Reporting Entity Holds a Variable Interest Requiring Analysis Under the VIE Model in ASC 810-10 Determining When a Lease Represents a Variable Interest — Potential VIE Is a Lessor Determining When a Lease Represents a Variable Interest — Potential VIE Is a Lessee Determining Variable Interests Under the VIE Model in ASC 810-10 in a Synthetic CDO Structure When Decision-Maker Fees Are Not Treated as a Variable Interest Determining Variable Interests Under the VIE Model in ASC 810-10 in a Synthetic CDO Structure When Decision-Maker Fees Are Treated as a Variable Interest Netting of Instruments Other Than Equity Applying the VIE Model in ASC 810-10 to Trust Preferred Security Arrangements and Similar Structur es Implicit Variable Interests and â€Å"Activities Around the Entity† — Illustration Implicit Variable Interests — Call and Put Options Implicit Variable Interests — Total Return Swap Implicit Variable Interests —Back-to-Back Asset Guarantee Determining When an Implicit Guarantee (Variable Interest) Exists in a Related-Party Transaction Implicit Variable Interests — Waiving of a Management Fee Overview of the Guidance in ASC 810-10-25-21 Through 25-36 Applying the Guidance in ASC 810-10-25-21 Through 25-36 to Purchase and Supply Arrangements Applying ASC 810-10-25-21 Through 25-36 to PPAs, Tolling Agreements, and Similar Arrangements Off-Market Supply Agreements Determining Whether a Variable Interest Is Subordinated Financial Support Analyzing a MMF for Consolidation How to Determine Whether an Embedded Derivative Is Clearly and Closely Related Economically to Its Asset or Liability Host Applying the Guidance in ASC 810-10-25-35 and 25-36 Meaning of the Term â€Å"Derivative Instrument† in ASC 810-10-25-35 and 25-36 Meaning of the Term â€Å"Market-Observable Variable† in ASC 810-10-25-35 Meaning of the Term â€Å"Essentially All† in ASC 810-10-25-36 32 32 32 35 36 37 37 39 39 40 43 43 46 46 47 47 51 51 53 55 56 58 59 60 62 63 65 66 66 Implicit Variable Interests The By-Design Approach to Determining Variability ii Section 3 — Determination of Whether an Entity Is a VIE Determination of Whether Equity Investment at Risk Is Sufficient Under ASC 810-10-15-14(a) 3. 01 3. 2 3. 03 3. 04 3. 05 3. 06 3. 07 3. 08 3. 09 3. 10 3. 11 3. 12 3. 13 Determination of Equity Investment at Risk When the Investor’s Initial Accounting Basis of Its Equity Differs From Fair Value Including Mezzanine Equity Instruments in Total Equity Investment at Risk Determination of Whether a Personal Guarantee Provided by an Equity Holder Represents Equity Investment at Risk Determining Whether an Instrument With a R isks-and-Rewards Profile Similar to That of an Equity Investment Qualifies as Equity Impact of ASC 810-10-15-14(a) on the Determination of Total Equity Investment at Risk When the Investee Is a Foreign Entity Non-At-Risk EquityInvestment as a Variable Interest Definition of â€Å"Profits and Losses,† as Used in ASC 810-10-15-14(a)(1) Including Fixed-Rate, Nonparticipating Preferred Stock in the Total Equity Investment at Risk Determining Whether an Equity Interest Participates Significantly in the Profits and Losses of an Entity Impact of Put Options, Call Options, and Total Return Swaps on Equity Investment at Risk Impact of Contracts and Instruments That Protect an Equity Investor on Equity Investment at Risk Qualification of Equity Investments Issued in Exchange for Promises to Perform Services as Equity Investment at Risk Determining Whether Fees Received by an Equity Investor for Services Performed at Inception or in the Future Reduce Equity Investment at Risk Determinin g Whether Funds Borrowed by a Reporting Entity Qualify as Equity Investment at Risk Determining Whether a Quantitative Assessment of Equity Investment at Risk Is Necessary Qualitative Versus Quantitative Analysis of Whether an Entity Is a VIE Quantitative Expected-Loss Calculation — After Adoption of ASU 2009-17 Consideration of Subordinated Debt in a Qualitative Assessment of Sufficiency of Equity at Risk 68 69 70 70 70 71 71 71 72 72 73 73 74 76 77 77 78 78 78 79 80 81 81 82 83 84 84 85 86 87 87 88 88 90 90 91 92 92 93 94 94 95Equity Investments That Participate in Profits and Losses Equity Investments Provided Directly or Indirectly by the Entity Equity Investments Financed by the Entity 3. 14 3. 15 3. 16 3. 17 3. 18 Sufficiency of Equity Investment at Risk Determining Whether, as a Group, the Holders of the Equity Investment at Risk Lack Any of the Characteristics in ASC 810-10-15-14(b) 3. 19 3. 20 3. 21 3. 22 3. 23 3. 24 3. 25 3. 26 Characteristics in ASC 810-10-15-14(b) Held Within the Group of At-Risk Equity Investors Meaning of the Phrase â€Å"As a Group† in ASC 810-10-15-14(b) Impact of ASC 810-10-15-14(b) on Determining Characteristics of Control or Lack of Control by the Group of Holders of Equity Investment t Risk Minimum Amount of Equity Held By an Investment Manager or GP Ability of Holders of Equity Investment at Risk to Remove a Decision Maker Decision-Making Rights Granted to an Equity Holder Separately From Its Equity Investment at Risk Nonsubstantive Equity Investment of a GP Determining Whether a GP Interest Should Be Aggregated With an LP (or Other) Interest in the Evaluation of a Legal Entity Under ASC 810-10-15-14 Meaning of â€Å"Insignificant† in the Analysis of Fees Paid to a Decision Maker or Service Provider Meaning of the Term â€Å"Same Level of Seniority† Whether a Fee Paid to a Decision Maker or Service Provider That Represents a Variable Interest Could Potentially Not Be Significant to a VIE Determi ning Whether a Decision Maker or Service Provider Must Evaluate ASC 810-10-25-38A If the Fees Paid to the Decision Maker or Service Provider Do Not Represent a Variable Interest Reassessment of Fees Paid to a Decision Maker or Service Provider Determining Whether a Reporting Entity Lacks the Obligation to Absorb Expected Losses of the Entity Use of a Qualitative Approach to Determine Whether a Reporting Entity Has the Obligation to Absorb Expected Losses iii Analysis of Fees Paid to a Decision Maker or Service Provider 3. 27 3. 28 3. 29 3. 30 3. 31 3. 32 3. 33 Obligation to Absorb the Expected Losses of the Legal Entity 3. 34 3. 35 3. 36Determining Whether a Put Option on an Equity Interest Causes the Holders of the Equity Investment at Risk to Lack the Obligation to Absorb the Expected Losses of the Entity Determining Whether a Put Option on a Potential VIE’s Assets Causes the Holders of the Equity Investment at Risk to Lack the Obligation to Absorb the Expected Losses of th e Potential VIE Determining the Effect of Other Arrangements on the Ability of the Equity Group to Absorb Expected Losses or Receive Residual Returns Determining Whether an Investor Has the Right to Receive the Expected Residual Returns of a Legal Entity and Whether the Investor’s Return Is Capped Impact of an Outstanding Equity Call Option on Whether a Return Is Capped Impact of a Call Option on n Entity’s Assets on Whether a Return Is Capped Application of the VIE Test Under ASC 810-10-15-14(c) Considering a Reporting Entity’s Obligations to Absorb Expected Losses and Rights to Receive Expected Residual Returns Other Than Those Provided Through Equity Interests When Applying ASC 810-10-15-14(c) Anticipated Changes in the Assessment of Whether an Entity Is a VIE Future Sources of Financing to Include in a Potential VIE’s Expected Cash Flows Guidance on Reconsideration of Whether an Entity Is a VIE Valuation of Equity Investment at Risk When a Reconsidera tion Event Occurs Isolating the Impact of a Change in the Entity’s Governing Documents or Contractual Arrangements and the Impact of Undertaking Additional Activities or Acquiring Additional Assets Entering Into Bankruptcy Emerging From Bankruptcy Determining Whether a Development-Stage Entity Is a Business Development Stage Entities — Assessing the Sufficiency of Equity Investment at Risk 96 96 96 98 98 99 99 99 100 101 102 102 103 104 104 107 107 108 108 109 109 109Right to Receive the Expected Residual Returns of the Legal Entity 3. 37 3. 38 3. 39 3. 40 3. 41 Determining When the Equity Investors as a Group Are Considered to Lack the Characteristics in ASC 810-10-15-14(b)(1) Initial Determination of Whether an Entity Is a VIE 3. 42 3. 43 3. 44 3. 45 3. 46 3. 47 3. 48 3. 49 3. 50 Reconsideration of Whether the Entity Is a VIE Development-Stage Entities Section 4 — Expected Variability and the Calculation of Expected Losses and Expected Residual Returns 4. 01 4 . 02 4. 03 4. 04 4. 05 4. 06 4. 07 4. 08 4. 09 4. 10 4. 11 4. 12 4. 13 4. 14 4. 15 4. 16 Definitions of Expected Losses and Expected Residual Returns The Meaning of â€Å"Net Assets† Under the VIE Model in ASC 10-10 Purpose of Calculating the Expected Losses and Expected Residual Returns of the Entity How to Determine the Expected Losses and Expected Residual Returns of the Entity How to Determine the Expected Losses and Expected Residual Returns of the Entity — Example Use of the Indirect Method to Calculate Estimated Cash Flows Noncash Receipts or Distributions in the Determination of an Entity’s Estimated Cash Flow Scenarios Inclusion of Low-Income Housing or Similar Tax Credits in a Calculation of Expected Losses and Expected Residual Returns Effect of Options on Specific Assets in the Determination of the Entity’s Estimated Cash Flows Developing Estimated Cash Flow Scenarios and Assigning Probabilities for Expected Loss and Expected Residual Return C alculations Discount Rate to Use in the Calculation of Expected Losses and Expected Residual Returns Cash Flow and Fair Value Approaches to Calculating Expected Losses and Expected Residual Returns Appropriateness of Using Either the Cash Flow Approach or Fair Value Approach to Calculate Expected Losses and Expected Residual Returns Determining Whether Decision-Maker and Service-Provider Fees Are Included in Expected Losses and Expected Residual Returns Whether ASC 820-10 Affects an Expected Losses/Residual Returns Calculation Allocation Methods That May Be Used to Determine Whether Fees Paid to Decision Makers or Service Providers Are Variable Interests iv 111 111 112 113 113 116 121 123 124 124 125 127 128 128 129 129 130 Section 5 — Interests in Specified Assets of the VIE and Silo Provisions 5. 01 5. 02 5. 03 5. 04 5. 05 5. 06 5. 07 5. 08 5. 9 Accounting for Interests in Specified Assets and Silos Consideration of Interests in Specified Assets Guarantees That Represent a Variable Interest in the Entity Versus a Variable Interest in Specified Assets of the Entity Considering a Party’s Other Interests in the Analysis of a Variable Interest in Specified Assets of an Entity Considering a Related Party’s Interest in the Analysis of a Variable Interest in Specified Assets of an Entity Determining Whether a Silo Exists Determining Whether a Host Entity Is a VIE When a Silo Exists Determining Whether the Silo Is a VIE If the Host Entity Is a VIE Determining the Primary Beneficiary of the Host Entity and Silo 133 133 135 136 136 137 138 139 140 141 Section 6 — Determination of the Primary Beneficiary 6. 01 6. 02 6. 03 6. 04 6. 05 6. 06 6. 07 6. 08 6. 09 6. 10 6. 11 6. 12 6. 13 6. 14 6. 15 6. 16 6. 17 6. 18 6. 19 6. 20 6. 21 6. 22 6. 23 6. 24 6. 25 6. 26 6. 27 6. 28 6. 9 How a Reporting Entity Applies the VIE Model in ASC 810-10 When It Appears Not to Be the Primary Beneficiary Determining Whether More Than One Reporting Entity Can Consol idate a VIE Risks to Which an Entity Is Designed to Be Exposed Risks and Related Activities Assessing Power to Direct When Decisions Are Made by a Board of Directors and a Manager Consideration of All Risks in the Determination of the Power to Direct Activities of the VIE Evaluating Power to Direct the Most Significant Activities of the VIE in Scenarios Involving a PPA Determination of a Primary Beneficiary for Every VIE Evaluating the Characteristic in ASC 810-10-25-38A(b) Reconsideration of the Primary Beneficiary of a VIE The Effect of Contingencies on Determining the Primary Beneficiary Consideration of Forward Starting Rights in the Primary Beneficiary Analysis Determination of Whether Kickout Rights are Substantive Consideration of a Board of Directors as a Single Party in the Assessment of Kickout Rights Withdrawal and Liquidation Rights Evaluation of Shared Power Versus Multiple Unrelated Parties Performing Different Significant Activities Shared Power Within a Related-Party Group VIEs With No Ongoing Activities That Significantly Affect Their Economic Performance Factors to Consider in the Determination of Whether a Relationship Represents a De Facto Agency Aggregation of Variable Interests When the Reporting Entity Does Not Hold a Variable Interest Directly in the Entity De Facto Agency Relationship When Only Part of an Interest Is Received as a Loan or Contribution From Another Reporting Entity Related-Party Determination — Interests Received as a Loan Considering Whether Restrictions on a Reporting Entity’s Ability to Sell, Transfer, or Encumber Its Interests in a VIE Constitute Constraint The Effect of a Put Option on a De Facto Agency Relationship Consideration of De Facto Agent Requirements in the Determination of the Primary Beneficiary in a Joint Venture Arrangement Determining Which Party in a Related-Party Group Is Most Closely Associated With a VIE Determining the Primary Beneficiary in a Related-Party Group When Members of th e Related-Party Group Are Under Common Control Consideration of the Factors in ASC 810-20 in the Determination of Which Related Party Is Most Closely Associated Application of ASC 810-10-25-38A and ASC 810-10-25-44 When a Fee Paid to an Asset Manager Represents a Variable Interest and the Asset Manager Is Part of a Related-Party Group 42 143 143 144 144 145 147 148 149 149 151 153 155 156 156 157 157 158 159 160 160 162 162 163 164 165 166 166 169 169 170 Related-Party Considerations v Section 7 — Initial Measurement and Subsequent Accounting Initial Measurement 7. 01 7. 02 7. 03 Balance Sheet Classification of Parent’s Interest — Primary Beneficiary and VIE Under Common Control Qualification of an Entity as a Business for Recording Goodwill Upon Consolidation of a VIE Accounting After Initial Measurement — Intercompany Eliminations 173 173 173 174 175 175 Accounting After Initial Measurement Section 8 — Presentation and Disclosures Presentation 8. 01 8. 02 8. 03 8. 04 8. 5 Application of the Presentation Requirements of ASC 810-10-45-25 to a Consolidated VIE Separate Presentation of Certain Assets and Liabilities of Consolidated VIEs Optional Separate Presentation of Certain Assets and Liabilities of Consolidated VIEs Disclosures About Securitizations Under ASC 860 Versus Disclosures About Securitizations Under the VIE Model in ASC 810-10 Definition of Maximum Exposure to Loss for Disclosure Purposes 177 177 177 178 179 179 181 182 Disclosures Section 9 — Transition 9. 01 9. 02 Whether a Reporting Entity Can Elect the FVO for a VIE Upon Adopting ASU 2009-17 Determining VIE and Primary-Beneficiary Status Upon Transition to ASU 2009-17 183 186 186 Appendix A — Implementation Guidance Appendix B — Glossary of Terms and Abbreviations Used in the VIE Model in ASC 810-10 Glossary of Terms Abbreviations 189 205 205 206 Appendix C — Key Differences Between U. S. GAAP and IFRSs — Consolidated Financ ial Statements Appendix D — Reference Guide Appendix E — Glossary of Standards 208 212 214 vi AcknowledgmentsAshley Carpenter, Rob Comerford, Jon Howard, Jeff Nickell, Randall Sogoloff, Joe Ucuzoglu, and Bob Uhl provided the thought leadership necessary to formulate our views on the application of the key principles of Statement 167. James Barker worked with our Energy & Resources practice to develop our views on the application of Statement 167 to power purchase arrangements. Jim Schnurr continues to work with our Investment Management practice to provide input on Statement 167 and the ongoing joint consolidations project. Xihao Hu and Sherif Sakr provided invaluable insight and perspective from our Financial Accounting and Reporting Services group.Joe Renouf, Michael Lorenzo, Lynne Campbell, Yvonne Donnachie, and Joan Meyers delivered the first class production effort that we have come to rely on for all of Deloitte’s publications. Courtney Sachtleben worked t irelessly to ensure this Roadmap was of the highest quality. Her dedication and commitment got this publication to the finish line. Others deserving of mention and appreciation are Robin Kramer, Shan Nemeth, Adrian Schwartz, Kirsten Aunapu, Angela Bacarella, Chris Rogers, Trevor Farber, Catherine Smith, Madhu Gopinath, Shane Burak, Joseph Berry, Kirby Rattenbury, Will Estilo, Chris Toppin, and Thalia Smith. 1 Introduction March 2010 To the clients, friends, and people of Deloitte: Welcome back to the land of variable interest entities (VIEs).It’s been two-and-a-half years since we last updated our Roadmap on consolidation of VIEs, and the consolidations terrain has changed significantly in that time. The most noteworthy changes are (1) the issuance of Statement 167, (2) the release of the FASB Accounting Standards Codification (the â€Å"Codification†), and (3) the continued work of the FASB and IASB on a joint consolidations project. Statement 167 — Whatâ€℠¢s All the Fuss About? In June 2009, the FASB issued Statement 167, which amends the consolidation guidance applicable to VIEs. The Statement 167 amendments are effective as of the first annual reporting period that begins after November 15, 2009, and for interim periods within that first annual reporting period.Statement 167 replaces Interpretation 46(R)’s risks-and-rewards-based quantitative approach to consolidation with a more qualitative approach that requires a reporting entity to have some economic exposure to a VIE along with â€Å"the power to direct the activities that most significantly impact the economic performance of the entity. † The FASB also reminded its constituents that only substantive terms, transactions, and arrangements should affect the accounting conclusions under Statement 167; the SEC has reiterated this principle in numerous public speeches. It’s not surprising that many initially concentrated on understanding how Statement 167 would affect qualifying special-purpose entities (QSPEs) and other structured finance entities because that seemed to be the FASB’s focus, particularly given that six of the nine implementation examples in Statement 167 address structured finance entities.However, the initial adoption of Statement 167 has proved time-consuming because it does not just apply to structured finance entities or entities historically considered VIEs under Interpretation 46(R). In addition, even if a reporting entity determines that it does not need to consolidate a VIE under Statement 167, it must provide extensive disclosures for any VIEs in which it holds a variable interest. In addition to the overall change in the Interpretation 46(R) consolidation model, Statement 167 contains the following significant provisions and amendments: †¢ †¢ ThescopeexemptionforQSPEsisremovedfromInterpretation46(R). Asaresult,transferors,sponsors, and investors in QSPEs need to consider the consolidation and di sclosure provisions in Statement 167.Kickoutrightsandparticipatingrightsareignoredin(1)thedeterminationofwhetheranentityisaVIE and (2) the identification of the VIE’s primary beneficiary, unless the rights are held by a single reporting entity. AreportingentitymustcontinuallyreconsiderwhichvariableinterestholderistheVIE’sprimary beneficiary. Areportingentitymustreconsideranentity’sVIEstatusiftheequityinterestholderslosethepowerfrom the voting rights of those investments to direct the entity’s most significant activities. Anexemptiontothedefactoagentrequirementsexistswhenmutualtransferrestrictionsarebasedon terms mutually agreed to by willing, independent parties. Areportingentitymustmeetsixconditionstodeterminethatfeespaidtoadecisionmakerorservice provider do not represent a variable interest.The FASB believes that fees paid to a reporting entity that acts solely as a fiduciary or agent should typically not represent a variable interest because those fees would typically meet these six conditions. 2 †¢ †¢ †¢ †¢ †¢ Aprimarybeneficiarymustpresentseparately,onthefaceofthebalancesheet,(1)assetsofconsolidated VIEs that can only be used to settle obligations of those VIEs and (2) liabilities of consolidated VIEs for which creditors do not have recourse to the general credit of the primary beneficiary. Powerisonlyconsideredshared(andnopartyconsolidates)if(1)twoormoreunrelatedpartiestogether have the power to direct the VIE’s most significant activities and (2) decisions about those activities require the consent of each of the parties sharing power. †¢To address the new consolidations guidance under Statement 167, this edition of the Roadmap (1) includes over 30 new Q&As and (2) updates our existing Interpretation 46(R) Q&As. The Codification — Do You Have All the New Topics, Subtopics, Sections, Subsections, and Paragraphs Memorized? In July 2009, the Codification became the single source of aut horitative nongovernmental U. S. GAAP. The Codification’s hierarchy is topic, subtopic, section, and paragraph, in that order, each with a numerical designation (e. g. , ASC 810-10-25-37, which was formerly paragraph 6 of Interpretation 46(R)). ASU 2009-17 incorporated Statement 167’s amendments to the VIE model into the Codification. The beginning of each section of this Roadmap contains quotes from the appropriate Codification paragraphs.In addition, for those of you still trying to find your way through the Codification, we thought it would be helpful for each Codification paragraph to be followed by a reference to the corresponding pre-Codification paragraph from Interpretation 46(R), as amended by Statement 167. Although ASC 810-10-55-37 (paragraph B22 of Interpretation 46(R)1) might not roll off your tongue like â€Å"B22 of FIN 46(R)† used to, the Codification is here to stay. However, we suspect that just as there are probably a few accountants who are c linging to their last version of the FASB’s Original Pronouncements (we know you are out there! ), there are some that might need a little help finding the new VIE guidance in the Codification.Accordingly, Appendix D of this Roadmap includes a guide that cross-references the paragraphs from ASC 810-10 to the guidance in Interpretation 46(R), as amended by Statement 167. The reference guide also lists the accounting topic and section from the Roadmap that these paragraph references apply to. (We thought a few hints and a little â€Å"cheat sheet† among friends might be helpful while we all adjust to the new layout of the Codification. ) No More Big Changes Expected Anytime Soon — Right? Well — not really. Did we mention the joint consolidations project that the FASB and the IASB are working on? The IASB and FASB are jointly developing guidance for consolidation of all entities, including entities currently considered VIEs.Although Statement 167 was not dev eloped as part of the joint project, the IASB staff closely followed the FASB’s work on Statement 167. The boards’ goal is to have one consolidation model whose principles are similar to those in Statement 167 and that would apply to all entities. In December 2008, the IASB issued Exposure Draft 10 (ED 10), Consolidated Financial Statements. Although the boards believe that the objectives for assessing control of structures under Statement 167 and ED 10 are fundamentally consistent, they also acknowledged that the guidance in ED 10 can potentially result in different consolidation conclusions — particularly for certain investment funds.The boards are continuing to jointly deliberate several critical issues, including the evaluation of principal and agent relationships, the concept of effective control (e. g. , the ability to control a voting interest entity when a reporting entity holds fewer than half of the voting rights), related parties, disclosures, and pre sentation requirements. The boards have stated their goal to issue an exposure draft during the second quarter of 2010 and a final standard before the end of 2010. We will continue to keep you updated on these developments through our Heads Up newsletters as well as through our Dbriefs webcast series. 2 For a discussion of the current differences between the consolidation models under IFRSs and U. S. GAAP, see Appendix C of this Roadmap. 1 2You see – that’s helpful – isn’t it? If you wish to receive Heads Up and other accounting publications issued by Deloitte’s Accounting Standards and Communications Group, please register at www. deloitte. com/us/subscriptions. Join Dbriefs to receive notifications about future webcasts at www. deloitte. com/us/dbriefs. 3 What’s This I Hear About a Deferral of Statement 167? Can I Get One Too? In February 2010, the FASB issued ASU 2010-10, which amends certain provisions of the VIE model in ASC 810-10. The ASU defers the effective date of Statement 167 for a reporting entity’s interest in certain entities and certain money market mutual funds.It also addresses concerns that the joint consolidation model under development by the FASB and IASB may result in a different consolidation conclusion for asset managers and that an asset manager consolidating certain funds would not necessarily provide useful information to investors. In addition, the ASU amends certain provisions of ASC 810-10-55-37 (paragraph B22 of Interpretation 46(R), as amended by Statement 167) to change how a decision maker or service provider determines whether its fee is a variable interest. This Roadmap reflects the changes to ASC 810-10-55-37. The ASU will defer the application of Statement 167 for a reporting entity’s interest in an entity (1) that has all the attributes of an investment company or (2) for which it is industry practice to apply measurement principles for financial reporting purposes that are consistent with those followed by investment companies.The deferral does not apply in situations in which a reporting entity has the explicit or implicit obligation to fund losses of an entity that could potentially be significant to the entity. The deferral also does not apply to interests in securitization entities, asset-backed financing entities, or entities formerly considered QSPEs. In addition, the deferral applies to a reporting entity’s interest in an entity that is required to comply with or operate in accordance with requirements similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds. These entities will be subject to the deferral even if the money market fund manager has an xplicit or implicit obligation to fund losses of the entity. For reporting entities that meet the deferral conditions, the guidance on VIEs in ASC 810-10 (before the amendments in ASU 2009-17 and the amendments to 810-10-55-37 in ASU 2010- 10) would be used to determine whether (1) the legal entity is a VIE, (2) the reporting entity has a variable interest in a VIE, and (3) the reporting entity is the primary beneficiary of a VIE. However, all reporting entities must provide the disclosures in ASC 81010, as amended by ASU 2009-17, for all VIEs in which they hold a variable interest or for which they are the primary beneficiary — regardless of whether the entity qualifies for the deferral. Q&A 1. 1 of this Roadmap includes a decision tree to help you understand how the deferral may affect which consolidation model you will need to apply. In addition, see our January 27, 2010, Heads Up for information about the ASU’s other significant provisions. The Road Forward We understand that Statement 167 (like Interpretation 46(R) before it) can be a difficult standard to apply — particularly when you are new to its provisions. We believe this Roadmap can help you find your way and can help make the complex sound a little simpler. To those new to VIE land, and to our grizzled VIE veterans, we look forward to working with you. Deloitte & Touche LLP 4 Section 1 — Overview, Background, and Scope ASC 810-10 5-8 The Variable Interest Entities Subsections clarify the application of the General Subsections to certain legal entities in which equity investors do not have sufficient equity at risk for the legal entity to finance its activities without additional subordinated financial support or, as a group, the holders of the equity investment at risk lack any one of the following three characteristics: a. b. c. The power, through voting rights or similar rights, to direct the activities of a legal entity that most significantly impact the entity’s economic performance The obligation to absorb the expected losses of the legal entity The right to receive the expected residual returns of the legal entity.Paragraph 810-10-10-1 states that consolidated financial statements are usually necessary for a fair presentation if one of the entities in the consolidated group directly or indirectly has a controlling financial interest in the other entities. Paragraph 81010-15-8 states that the usual condition for a controlling financial interest is ownership of a majority voting interest. However, application of the majority voting interest requirement in the General Subsections of this Subtopic to certain types of entities may not identify the party with a controlling financial interest because the controlling financial interest may be achieved through arrangements that do not involve voting interests. Paragraph 1] 05-8A The reporting entity with a variable interest or interests that provide the reporting entity with a controlling financial interest in a variable interest entity (VIE) will have both of the following characteristics: a. b. The power to direct the activities of a VIE that most significantly impact the VIE’s economic performance The obligation to abs orb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. [Paragraph 1A] 05-9 The Variable Interest Entities Subsections explain how to identify VIEs and how to determine when a reporting entity should include the assets, liabilities, noncontrolling interests, and results of activities of a VIE in its consolidated financial statements. Transactions involving VIEs are common.Some reporting entities have entered into arrangements using VIEs that appear to be designed to avoid reporting assets and liabilities for which they are responsible, to delay reporting losses that have already been incurred, or to report gains that are illusory. At the same time, many reporting entities have used VIEs for valid business purposes and have properly accounted for those VIEs based on guidance and accepted practice. [Paragraph E5] 05-10 Some relationships between reporting entities and VIEs ar e similar to relationships established by majority voting interests, but VIEs often are arranged without a governing board or with a governing board that has limited ability to make decisions that affect the VIE’s activities.A VIE’s activities may be limited or predetermined by the articles of incorporation, bylaws, partnership agreements, trust agreements, other establishing documents, or contractual agreements between the parties involved with the VIE. A reporting entity implicitly chooses at the time of its investment to accept the activities in which the VIE is permitted to engage. That reporting entity may not need the ability to make decisions if the activities are predetermined or limited in ways the reporting entity chooses to accept. Alternatively, the reporting entity may obtain an ability to make decisions that affect a VIE’s activities through contracts or the VIE’s governing documents. There may be other techniques for protecting a reporting entity’s interests.In any case, the reporting entity may receive benefits similar to those received from a controlling financial interest and be exposed to risks similar to those received from a controlling financial interest without holding a majority voting interest (or without holding any voting interest). [Paragraph E7] The power to direct the activities of a VIE that most significantly impact the entity’s economic performance and the reporting entity’s exposure to the entity’s losses or benefits [Paragraph 14A] are determinants of consolidation in the Variable Interest Entities Subsections. [Paragraph E7] The Variable Interest Entities Subsections also provide guidance on determining whether fees paid to a decision maker or service provider should be considered a variable interest in a VIE. 5 ASC 810-10 (continued) 5-11 VIEs often are created for a single specified purpose, for example, to facilitate securitization, leasing, hedging, research and dev elopment, reinsurance, or other transactions or arrangements. The activities may be predetermined by the documents that establish the VIEs or by contracts or other arrangements between the parties involved. However, those characteristics do not define the scope of the Variable Interest Entities Subsections because other entities may have those same characteristics. The distinction between VIEs and other entities is based on the nature and amount of the equity investment and the rights and obligations of the equity investors. Paragraph E18] 05-12 Because the equity investors in an entity other than a VIE generally absorb losses first, they can be expected to resist arrangements that give other parties the ability to significantly increase their risk or reduce their benefits. Other parties can be expected to align their interests with those of the equity investors, protect their interests contractually, or avoid any involvement with the entity. [Paragraph E19] 05-13 In contrast, eithe r a VIE does not issue voting interests (or other interests with similar rights) or the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support.If a legal entity does not issue voting or similar interests or if the equity investment is insufficient, that legal entity’s activities may be predetermined or decision-making ability is determined contractually. If the total equity investment at risk is not sufficient to permit the legal entity to finance its activities, the parties providing the necessary additional subordinated financial support most likely will not permit an equity investor to make decisions that may be counter to their interests. That means that the usual condition for establishing a controlling financial interest as a majority voting interest does not apply to VIEs. Consequently, a standard that requires ownership of voting stock is not appropriate for such entities . [Paragraph E20] 1. 01 Determining Which Consolidation Model to ApplyUnder ASC 810-10, there are two primary1 models for determining whether consolidation is appropriate: the VIE model and the voting interest model. ASU 2009-17 amends the VIE model and is effective as of the beginning of each reporting entity’s first annual reporting period that begins after November 15, 2009, and for interim periods within those reporting periods. ASU 2010-10 indefinitely defers the amendments in ASU 2009-17 for a reporting entity’s interest in certain entities and amends the guidance in paragraph 810-10-55-37 (as amended by ASU 2009-17) on determining whether a decision-maker or service-provider fee represents a variable interest. The deferral will be most applicable to interests in certain investment funds.For reporting entities that meet the deferral conditions, the guidance on VIEs in ASC 810-10 (before the amendments in ASU 2009-17 and the amendments to 810-10-55-37 in ASU 2010- 10) would be used to determine whether the legal entity is a VIE, whether the reporting entity has a variable interest in a VIE, and whether the reporting entity is the primary beneficiary of a VIE. However, all reporting entities must provide the disclosures in ASC 810-10, as amended by ASU 2009-17, for all VIEs in which they hold a variable interest or for which they are the primary beneficiary — regardless of whether the entity qualifies for the deferral. Question How should a reporting entity determine which consolidation model is appropriate under ASC 810-10? 1While ASC 810-10 primarily focuses on the voting interest model and the VIE model, it also discusses consolidation of entities controlled by contract. Although the guidance in the Consolidation of Entities Controlled by Contract subsection applies to all entities (except entities that are determined to be VIEs), the context of the guidance is physician practice management entities. 6 Answer When determining which c onsolidation model to apply, a reporting entity should consider the following flowchart: Does one of the scope exceptions in ASC 810-10-15-12 or 15-17 apply? No Does the potential VIE and the reporting entity’s interest in the potential VIE meet the deferral conditions in ASC 810-10-65-2(aa)?Yes Apply the voting interest model in ASC 810-10. Yes No Does the reporting entity have a variable interest in the potential VIE under ASC 810-10 (before the amendments by ASU 2009-17)? Yes Is the entity a VIE under ASC 81010 (before the amendments by ASU 2009-17)? Yes Determine whether the reporting entity is the primary beneficiary of the VIE under ASC 810-10 (before the amendments by ASU 2009-17). No No No Does the reporting entity have a variable interest in the potential VIE under ASC 810-10 (as amended by ASU 2009-17)? Yes No Is the entity a VIE under ASC 81010 (as amended by ASU 2009-17)? Yes Apply the voting interest model in ASC 810-10 to the entity.Determine whether the reporti ng entity is the primary beneficiary of the VIE under ASC 810-10 (as amended by ASU 2009-17)? Apply the disclosure requirements in ASC 810-10-5 (as amended by ASU 2009-17) for all VIEs in which the reporting entity holds a variable interest, regardless of whether the deferral conditions in ASC 810-10-65-2(aa) are met. If one of the scope exceptions in ASC 810-10-15-12 or 15-17 does not apply to the potential accounting parent or potential accounting subsidiary, determining whether the potential VIE and the reporting entity’s interest in the potential VIE meet the deferral conditions in ASC 810-10-65-2(aa) is the first step in the assessment of whether an entity should be consolidated.Note that this determination is performed first because the analysis of whether the reporting entity has a variable interest in the entity, the entity is a VIE, or the reporting entity is the primary beneficiary may differ depending on whether the potential VIE and the reporting entity’s i nterest in the potential VIE meet the deferral conditions in ASC 810-10-65-2(aa). After a reporting entity determines whether the deferral criteria are met, determining whether an entity is a VIE is the next step in assessing whether an entity should be consolidated. Even a company with wholly owned consolidated subsidiaries must determine whether any of its subsidiaries (as well as any interests it may have in other entities) are VIEs.Note that because of a change in facts and circumstances, a potential VIE and the reporting entity’s interest in a potential VIE that initially met the deferral conditions in ASC 810-10-65-2(aa) may subsequently lose the ability to apply the deferral. In this situation, ASU 2009-17 becomes effective for the potential VIE and the reporting entity’s interest in the potential VIE. If a reporting entity must consolidate an entity that no longer qualifies for the deferral, the assets, liabilities, and noncontrolling interests of the VIE shoul d be measured in accordance with ASC 810-1030-1 through 30-6. Once a reporting entity applies the amendments of ASU 2009-17 to the potential VIE, it cannot subsequently requalify for the deferral conditions in ASC 810-10-65-2(aa). 7 ExampleEnterprise A has 60 percent of the voting interest in Entity B. Enterprise A also receives fees for providing asset management services to B. Unless one of the scope exceptions in ASC 810-10-15-12 and 15-17 applies to A (the potential accounting parent) or B (the potential accounting subsidiary), A must determine (1) whether B, and A’s interest in B, meets the conditions in ASC 810-10-65-2(aa), (2) whether A holds a variable interest or variable interests in B, and (3) whether B is a VIE. Scenario 1: If B, and A’s interest in B, meets the conditions in ASC 810-10-65-2(aa), A must determine whether B is a VIE, as defined in ASC 810-10-15-14 (before the amendments in ASU 2009-17).If A holds a variable interest, as defined in ASC 810-10 -20 and illustrated in ASC 810-10-55-16 through 55-41 (before the amendments in ASU 2009-17), in B and B is a VIE, A should assess whether it is the primary beneficiary in accordance with ASC 810-1025-38 (before the amendments in ASU 2009-17). Enterprise A should also provide the disclosures in ASC 810-10 (as amended by ASU 2009-17). Scenario 2: If B does not meet the conditions in ASC 810-10-65-2(aa), A must determine whether B is a VIE, as defined in ASC 810-10-15-14 (as amended by ASU 2009-17). If A holds a variable interest, as defined in ASC 81010-20 and illustrated in ASC 810-10-55-16 through 55-41 (as amended by ASU 2009-17), in B and B is a VIE, A should assess whether it is the primary beneficiary in accordance with ASC 810-10-25-38A (as amended by ASU 2009-17). Enterprise A should also provide the disclosures in ASC 810-10 (as amended by ASU 2009-17).Scenario 3: If B meets the conditions in ASC 810-10-65-2(aa) but is not a VIE, as defined in ASC 810-10-15-14 (before the am endments by ASU 2009-17), A should apply the voting interest model in ASC 810-10 to B. Scenario 4: If B does not meet the conditions in ASC 810-10-65-2(aa) and is not a VIE, as defined in ASC 810-1015-14 (as amended by ASU 2009-17), A should apply the voting interest model in ASC 810-10 to B. Substantive Terms and Arrangements ASC 810-10 15-13A For purposes of applying the Variable Interest Entities Subsections, only substantive terms, transactions, and arrangements, whether contractual or noncontractual, shall be considered.Any term, transaction, or arrangement shall be disregarded when applying the provisions of the Variable Interest Entities Subsections if the term, transaction, or arrangement does not have a substantive effect on any of the following: a. b. c. A legal entity’s status as a VIE A reporting entity’s power over a VIE A reporting entity’s obligation to absorb losses or its right to receive benefits of the legal entity. [Paragraph 2A] 15-13B Judgm ent, based on consideration of all the facts and circumstances, is needed to distinguish substantive terms, transactions, and arrangements from nonsubstantive terms, transactions, and arrangements. [Paragraph 2A] 1. 02 Consideration of Substantive Terms, Transactions, and Arrangements Question What is meant by â€Å"substantive terms, transactions, and arrangements† in ASC 810-10-15-13A? AnswerIn ASU 2009-17, the FASB added guidance to emphasize that when applying the provisions of the VIE subsections of ASC 810-10, a reporting entity should only consider substantive terms, transactions, and arrangements, whether contractual or noncontractual. The Board thought that it needed to add this language to avoid situations in which the form of an entity may indicate that an entity is not a VIE or that a reporting entity is not a primary beneficiary when the substance of the arrangement may indicate otherwise. Paragraph A35 in the Basis for Conclusions of Statement 167 states, in par t: The Board considered whether additional guidance was needed for determining whether a variable interest holder has power when the economics of the holder’s interest(s) or other involvements is inconsistent with its stated power from such interest(s) or other involvements.The Board agreed that an increased level of skepticism is needed in situations in which an enterprise’s economic interest in a [VIE], including its obligation to absorb losses or its right to receive benefits, is disproportionately greater than its stated power. In the Board’s view, the level of skepticism about an enterprise’s lack of power should increase as the disparity between an enterprise’s economic interest and its power increases. 8 When the provisions of ASC 810-10 (as amended by ASU 2009-17) are applied, the consolidation conclusion should not be affected by any term, transaction, or arrangement that does not truly affect the reporting entity’s power or rights to receive benefits or obligations to absorb losses.A reporting entity should use judgment, based on consideration of all the facts and circumstances, to distinguish substantive terms, transactions, and arrangements from nonsubstantive terms, transactions, and arrangements. To further emphasize this point, the SEC has reminded registrants of the staff’s skepticism about accounting conclusions that do not conform to the economic substance of the arrangement. For example, in remarks regarding the implementation of ASU 2009-17 before the 2009 AICPA National Conference on Current SEC and PCAOB Developments, Arie Wilgenburg, a professional accounting fellow in the SEC’s Office of the Chief Accountant, discussed the following examples: [A]ssume a company has transferred assets to a structure to be managed by a third party, but the anager’s equity interest in the structure is minimal and appears to be guaranteed given the management fee structure. In addition, assume t he manager can be removed by the reporting enterprise if the manager’s performance is unsatisfactory. The combination of the above factors indicates that the company may not have relinquished control; rather the manager may simply be acting as an agent on behalf of the reporting enterprise. We have also seen other, similar structures that include a buy-sell clause rather than a removal right, as a mechanism for dissolving the structure. However, if the manager does not have the financial ability to exercise its rights under the buy-sell provision, the substance of this provision may be a call option by the transferor.Again, this may be an indication that the manager is simply acting as an agent on behalf of the reporting enterprise. At the same conference, James Kroeker, chief accountant in the SEC’s Office of the Chief Accountant, indicated that the staff would consider involving the Division of Enforcement if it becomes aware of arrangements such as those discussed b y Mr. Wilgenburg. Scope and Scope Exceptions ASC 810-10 15-12 a. b. c. d. e. The guidance in this Topic does not apply in any of the following circumstances: An employer shall not consolidate an employee benefit plan subject to the provisions of Topic 712 or 715. [Subparagraph superseded by Accounting Standards Update No. 009-16] [Subparagraph superseded by Accounting Standards Update No. 2009-16] Investments accounted for at fair value in accordance with the specialized accounting guidance in Topic 946 are not subject to consolidation according to the requirements of this Topic. A reporting entity shall not consolidate a governmental organization and shall not consolidate a financing entity established by a governmental organization unless the financing entity meets both of the following conditions: 1. 2. Is not a governmental organization Is used by the business entity in a manner similar to a (VIE) in an effort to circumvent the provisions of the Variable Interest Entities Subsec tions. [Paragraph 4] 5-17 The following exceptions to the Variable Interest Entities Subsections apply to all legal entities in addition to the exceptions listed in paragraph 810-10-15-12: a. Not-for-profit entities (NFPs) are not subject to the Variable Interest Entities Subsections, except that they may be related parties for purposes of applying paragraphs 810-10-25-42 through 25-44. In addition, if an NFP is used by business reporting entities in a manner similar to a VIE in an effort to circumvent the provisions of the Variable Interest Entities Subsections, that NFP shall be subject to the guidance in the Variable Interest Entities Subsections. Separate accounts of life insurance entities as described in Topic 944 are not subject to consolidation according to the requirements of the Variable Interest Entities Subsections.A reporting entity with an interest in a VIE or potential VIE created before December 31, 2003, is not required to apply the guidance in the Variable Interest Entities Subsections to that VIE or legal entity if the reporting entity, after making an exhaustive effort, is unable to obtain the information necessary to do any one of the following: 1. 2. 3. Determine whether the legal entity is a VIE Determine whether the reporting entity is the VIE’s primary beneficiary Perform the accounting required to consolidate the VIE for which it is determined to be the primary beneficiary. b. c. 9 ASC 810-10 (continued) This inability to obtain the necessary information is expected to be infrequent, especially if the reporting entity participated significantly in the design or redesign of the legal entity. The scope exception in this provision applies only as long as the reporting entity continues to be unable to obtain the necessary information.Paragraph 810-10-50-6 requires certain disclosures to be made about interests in VIEs subject to this provision. Paragraphs 810-10-30-7 through 30-9 provide transition guidance for a reporting entity t hat subsequently obtains the information necessary to apply the Variable Interest Entities Subsections to a VIE subject to this exception. d. A legal entity that is deemed to be a business need not be evaluated by a reporting entity to determine if the legal entity is a VIE under the requirements of the Variable Interest Entities Subsections unless any of the following conditions exist (however, for legal entities that are excluded by this provision, other generally accepted accounting principles [GAAP] should be applied): 1.The reporting entity, its related parties (all parties identified in paragraph 810-10-25-43, except for de facto agents under paragraph 810-10-25-43(d)), or both participated significantly in the design or redesign of the legal entity. However, this condition does not apply if the legal entity is an operating joint venture under joint control of the reporting entity and one or more independent parties or a franchisee. The legal entity is designed so that substan tially all of its activities either involve or are conducted on behalf of the reporting entity and its related parties. The reporting entity and its related parties provide more than half of the total of the equity, subordinated debt, and other forms of subordinated financial support to the legal entity based on an analysis of the fair values of the interests in the legal entity.The activities of the legal entity are primarily related to securitizations or other forms of asset-backed financings or single-lessee leasing arrangements. 2. 3. 4. A legal entity that previously was not evaluated to determine if it was a VIE because of this provision need not be evaluated in future periods as long as the legal entity continues to meet the conditions in (d). [Paragraph 4] Overall Scope Considerations 1. 03 Application of the VIE Model in ASC 810-10 to Non-SPEs Question Does the VIE model in ASC 810-10 apply only to SPEs? Answer No. ASC 810-10-15-12 and 15-17 provide scope exceptions for cer tain reporting entities and potential VIEs.Variable interest holders should evaluate all entities that do not fall under these scope exceptions (such entities may include limited partnerships, joint ventures, cooperatives, and trusts) to determine whether they represent VIEs. (For more information about the determination of which consolidation model to apply, see Q&A 1. 01. ) Note that ASU 2009-16 eliminated the scope exception for QSPEs. Therefore, transferors, sponsors, and investors in QSPEs should consider the consolidation and disclosure provisions in ASC 810-10. (For more information about the elimination of the QSPE scope exception, see Q&A 1. 07. ) 1. 04 Qualification of a SPE as a Voting Interest EntityIf an SPE is a VIE, it is subject to consolidation under the VIE model in ASC 810-10. Question Are all SPEs automatically considered VIEs and within the scope of the VIE model in ASC 810-10? Answer No. An SPE can qualify as a voting interest entity and therefore be outside th e scope of the VIE model in ASC 81010. To determine whether the SPE is outside the scope of the VIE model, a reporting entity must evaluate the SPE under ASC 810-10-15-14. To not be a VIE, such an entity must fail to satisfy all conditions in ASC 810-10-15-14. Demonstrating only that an entity possesses one attribute of a voting interest entity, as described in ASC 810-1015-14 (e. g. simply having sufficient equity investment at risk, giving the equity holders voting rights with respect to activities of the entity), is not sufficient evidence that an entity is not a VIE. 10 If an entity is outside the scope of the VIE model in ASC 810-10, it should be considered for consolidation under the voting interest model in ASC 810-10. 1. 05 Application of the VIE Model in ASC 810-10 to Multitiered Legal Entity Structures Question In an ownership structure in which multiple layers of legal entities exist, should a reporting entity apply the VIE model in ASC 810-10 to each of its subsidiaries on a consolidated or nonconsolidated basis? AnswerIn a multitiered legal-entity structure, a reporting entity should generally begin its evaluation at the lowest-level entity. Each entity within the structure should then be evaluated on a consolidated basis. The attributes and variable interests of the underlying consolidated entities become those of the parent company upon consolidation. When a reporting entity applies the VIE model in ASC 810-10 to a consolidated entity, it should analyze the design of the consolidated entity, including an analysis of the risks of the entity, why the entity was created (e. g. , the primary activities of the entity), and the variability the entity was designed to create and pass along to its interest holders (see ASC 810-10-25-21 through 25-36).Note that there are situations in which a reporting entity may â€Å"look through† a holding company and in which it therefore would not be required to examine the structure on a consolidated basis. F or more information, see Q&A 1. 06. Example 1 Two investors each hold 50 percent of the ownership interests in Company H. Company H has 100 percent of the ownership interests in Entity X and consolidates X. Entity X is a business as defined in ASC 805 and represents substantially all of H’s consolidated activities and cash flows. On a nonconsolidated basis, H does not meet the definition of a business in ASC 805. There are no other relationships or agreements between the investors, H, or X.As noted above, the attributes of a consolidated entity become the attributes of the parent company. In this example, X’s attributes become those of H. When the investors are evaluating their ownership interests, they should consider H’s design on a consolidated basis. Because X meets ASC 805’s definition of a business and its activities and cash flows represent substantially all of H’s consolidated activities and cash flows, H also meets ASC 805’s definit ion of a business. Before applying the business scope exception, the investors must first determine whether any of the four conditions in ASC 810-10-1517(d) exist for H’s consolidated activities and cash flows. If so, the business scope exception cannot be applied.A holding company that has ownership interests in a single entity in multitiered structures should also consider the guidance in Q&A 1. 06. Example 2 Two investors each hold 50 percent of the ownership interests in a holding company. The holding company has 100 percent of the ownership interests in Entity E and consolidates E. Entity E meets ASC 805’s definition of a business and represents substantially all of the holding company’s consolidated activities and cash flows. The holding company also consolidates Entity N, which does not meet ASC 805’s definition of a business. Other than its investments in E and N, the holding company has no assets, liabilities, or activities. There are no other re lationships or agreements between the investors, the holding company, E, or N.As in Example 1, the attributes of the consolidated entity become those of the parent company. In this example, the attributes of E and N become those of the holding company. When the investors are evaluating their ownership interests, they should consider the holding company’s design on a consolidated basis. Because substantially all of the holding company’s consolidated activities and cash flows are derived from E, the holding company meets ASC 805’s definition of a business. Before applying the business scope exception, the investors must first determine whether any of the four conditions in ASC 810-10-15-17(d) exist for the holding company’s consolidated activities and cash flows.If so, the business scope exception cannot be applied. 11 Example 3 An investor holds 50 percent of the ownership interests in a holding company. The holding company consolidates the following two e ntities, both of which meet ASC 805’s definition of a business: †¢ †¢ EntityJ,anoperatingentity. EntityL,whoseonlyassetisabuildingthatisleasedtotheinvestor. Entity L’s activities and cash flows represent substantially all of the holding company’s activities and cash flows. Other than its investments in J and L, the holding company has no assets, liabilitie

Freud, Jung, & Adler

Assignment One Jeremie William Edwards PSY/250 Elaine Parks Assignment Two Freud, Jung, and Adler are commonly referred to as the fathers of modern Psychology. The three men spent much time delving into why people act and think the ways which they do. Freud’s psychoanalytical approach tells us that the human psyche consists of three different parts that drive us to our thoughts and actions; the Ego, Super-Ego, and the Id (direct Latin translation is the it). Adler was at differences with Freud in this separation of these three parts.Adler believed that the Ego, Super-Ego, and the Id were not separated but viewed as a whole; He believed that it was more important to look at the entire picture rather than trying to separate these parts, as Freud would. Jung and Freud had a difference on personal motivation that drives each of us. Freud believed that all human motivation was sexually based, where Jung thought that every person suffered from a type of inferiority complex. I can ag ree with portions from all of the doctors and their theories.I believe that there is a sexual connotation to most everything that people do, whether it is out-right or hidden in context. I can also see where most everyone suffers from some type of inferiority complex. Every person can admit to be lacking in some area in which they would rather excel. As far as Jung and his individuation on the other hand, I believe this to be lacking in substance. His thoughts on humans being social creatures and the influence that our surroundings have on us are quite valid.I also believe that we do have an Id or a primal instinct inside of us, but that Id is not in conflict with our Ego and Super-Ego. These three parts work in unison to drive us and propel each of us into becoming better people yet not letting us forget from where we originate. Sigmund Freud had a five stage theory on human personality development. The five stages in order are; Oral/Dependency, Anal/Potty Training, Phallic, Latenc y Period, and Genital. The Oral stage is from the time of birth up to about two years old.This stage talks of breastfeeding and how a person can develop an oral fixation if weaned too early from the teat. An oral fixation can manifest in the forms of smoking, eating, or drinking. The second stage, Anal, is where the child is learning to use a toilet properly. The child uses the anal sphincter as a means of maintaining control of the situation. For example, if a child does not want to learn how to use the toilet they may withhold their feces or defecate in places or at times that are seen as inappropriate. These actions will allow the child to perceive that they are still in control of the situation.Under this understanding is where Freud believes that a person can develop obsessive compulsive disorder or dreams of spinning out of control and the person left trying to get everything back in order. The Phallic stage is the third stage of Freud’s. This stage is from the ages of three to five, this is the time where a child starts to become more aware of the differences between men and women. This time frame is when a person can develop an Oedipus or Electra complex, depending on the gender of the person. What this entails is the child becoming jealous of the same sex parent.For boys this would present because of the child wanting a relationship with the mother that the father has, this scenario in turn makes the boy child adopt the acts and mannerisms of the father in order to live vicariously through him in this relationship. For a girl child, she is jealous of the mother and wants the father’s penis (penis envy). The fourth phase is a latency period where no real advancement is made. The final stage of Freud’s five stages is the Genital stage. The Genital stage starts around the age of 12 and ends in the peak of puberty.This stage is a reawakening of a person’s sexual interest. In this stage a person will start to feel sexual attract ion towards the opposite sex (the writer does not know about homosexuality in this theory as of yet). The urges and needs are to pleasure the genitals and a sort of coming of age, or growing up. Freud had many different defense mechanisms. The three we will be looking at are; Denial, Rationalization, and Repression. Denial is a fairly self-explanatory defense; it is when a person argues with the reality of what has actually happened. E. G.When a woman has been raped she must deal with an extraordinary situation which she had no choice in. Some women face this reality with denying that it ever actually happened. Rationalization is a bit different in a person will fabricate a truth rather than facing what the observable truth is. Say a person gets fired from a position; he/she may claim that it is because they refused to kiss up to the boss when in reality it was because of a lack in performance. Repression is when a person forces something out of memory, often a person will repress m emories of child abuse.

Free Essays on Violence Among Children

Violence among children, especially teenagers, has become a disturbing trend these days. It seems there is a school shooting on the news every other week. Parents have blamed the violence on television’s glorification of bloodshed and sex, the lyrics from some rap artist or rock group and games that promote violence. They have blamed everyone and everything other than themselves. Teenage violence has reached unimaginable heights, not because of the media but because of the lack of parental intervention at home. Crimes committed in the past do not seem as widespread compared to crimes in the present. Every year it seems violence in children is more prevalent. Each year in the United States, at least 1000 individuals below the magic â€Å"adult† age of 18 years are jailed for acts of homicide. In most years, since the 1980’s, there have been significantly more, 1500 young killers and up. By 1999, it seemed impossible to finish out a school year without three or four reported massacres on scattered campuses, and murders in the home†¦were numbingly routine (Newton 1). For example, on April 21, 1999, two high school students committed an incomprehensible crime. Eric Harris and Dylan Klebold, who belonged to a group dubbed â€Å"the Trench Coat Mafia†, went into their high school, killed 12 students and one teacher before taking their own lives. Crimes of similar fashion have been occurring all over the United States and as a society we have yet to come up with a logical reason as to why this happens. Parents are constantly displacing the responsibility of the actions of their children. Placing the blame on music, television and games have done nothing to solve this problem. Eric Harris and Dylan Kelbold said it best with an email that was sent to the local police the days before the Columbine High School massacre. â€Å"Surely you will try to blame it on the clothes I wear, the music I listen to, or the w... Free Essays on Violence Among Children Free Essays on Violence Among Children Violence among children, especially teenagers, has become a disturbing trend these days. It seems there is a school shooting on the news every other week. Parents have blamed the violence on television’s glorification of bloodshed and sex, the lyrics from some rap artist or rock group and games that promote violence. They have blamed everyone and everything other than themselves. Teenage violence has reached unimaginable heights, not because of the media but because of the lack of parental intervention at home. Crimes committed in the past do not seem as widespread compared to crimes in the present. Every year it seems violence in children is more prevalent. Each year in the United States, at least 1000 individuals below the magic â€Å"adult† age of 18 years are jailed for acts of homicide. In most years, since the 1980’s, there have been significantly more, 1500 young killers and up. By 1999, it seemed impossible to finish out a school year without three or four reported massacres on scattered campuses, and murders in the home†¦were numbingly routine (Newton 1). For example, on April 21, 1999, two high school students committed an incomprehensible crime. Eric Harris and Dylan Klebold, who belonged to a group dubbed â€Å"the Trench Coat Mafia†, went into their high school, killed 12 students and one teacher before taking their own lives. Crimes of similar fashion have been occurring all over the United States and as a society we have yet to come up with a logical reason as to why this happens. Parents are constantly displacing the responsibility of the actions of their children. Placing the blame on music, television and games have done nothing to solve this problem. Eric Harris and Dylan Kelbold said it best with an email that was sent to the local police the days before the Columbine High School massacre. â€Å"Surely you will try to blame it on the clothes I wear, the music I listen to, or the w...

The Boy in the Striped Pajamas and Away Essay Example

The Boy in the Striped Pajamas and Away Essay Example The Boy in the Striped Pajamas and Away Essay The Boy in the Striped Pajamas and Away Essay Discovery can have a prodigious impact on a person’s demeanour and values affecting them in numerous ways including emotionally, physically and socially. In â€Å"Away† by Michael Gow and â€Å"The Boy In The Striped Pyjamas† by John Boyne the impact of discovery on individuals is depicted. The texts allow for a deeper understanding of discovery to be explored by the authors demonstrating a range of emotions that the characters feel. Gows â€Å"Away â€Å"tells the story of three deeply conflicted families. Gow positions each of the three families so that their upcoming holiday will try and resolve their own issues. â€Å"Gow’s characters are imprisoned in a world in which their worth as human being is measured in the cost of their holidays† as the audience follows the journey of three families Vic/Harry/Tom, Coral/Roy and Gwen/Jim/Meg. Their journey of self-discovery is evident which ultimately changes their relationships and lives. Gow visibly r epresents that discovery can have a meaningful impact on a person’s sense of self and self-worth. The Boy In Striped Pyjamas by John Boyne illustrates a fictional tale of the unlikeliest of friendships: the son of a Nazi commandant and a Jewish concentration camp inmate and their harrowing fate as a result of evil evoked by curiosity illustrating similarly to Away the journey of self-discovery that is revealed throughout the novel. Tom’s journey of self discovery is evident in act 5 scene 2 as Gow positions Tom foreshadowing his future. Gow uses the dramatic feature of a play within a play as Tom recites Lear’s speech from the Shakespearean play â€Å"King Lear†. â€Å"And it’s our first intent, to shake all cares and business from our age, conferring them on younger strengths, while we unburden crawl towards death†. This powerful scene illuminates that death is foreseeable and there is a tone of sadness as Tom is speaking these words as his approaching death is foreshadowed. The quote indic

7 Things You Learn After You’ve Been Laid Off

7 Things You Learn After You’ve Been Laid Off Being laid off is awful, no matter how you cut it. One day you have a job and plans and a sense of security, and the next day you†¦don’t. If it happens to you like it does to so many of us, there are some truths to keep in mind, even when things seem horrible. Here are 8 things you learn after you’ve been laid off. 1. It’s not your fault.As soon as it happens, you’ll probably be racking your brains to figure out why you. Yeah, there’s no comforting answer to that question. Ever. Unless you’re told â€Å"we’re letting you go for X reason,† there’s probably a complex network of reasons why your number happened to come up. None of these would make you feel better, so try not to dwell.2. It’s okay to wallow for a bit†¦Soon enough, hunting for a new job will be your daily reality. Take some time to get the bitterness and shock out of your system.3. †¦but then you gotta move on.You’ve got things to do, people to see, resumes to revise.4. There’s always a silver lining.How happy were you at that job, really?5. Your support network is key.You know the old clichà © that you know who your friends are when the chips are down? It’s true†¦and this is a time when you can lean on friends and family for a little extra moral support while you reboot.6. This is an opportunity.No, really, it is! It may seem like a pretty crappy one at first, because you’re being shoved into a new reality with little warning, but now you have the time and space to take some risks. Always wanted to try something different? Well, now you can. It might not be your long-term solution, but how do you know until you experiment?7. You are more than your job.Getting laid off can feel like a personal rejection, and that’s an awfully hard feeling to shake. Also, because our careers take up so much of our time (and pay for life necessities), losing a job can cause general life panic. It’s important to look past the stress and remember that you are not one job. There are others out there- and more specifically, there are others out there for you.And the most important truth of all†¦8. You will move on.It might take two weeks before you find something new. It may take much longer. The important thing to remember is that you will survive, and find new opportunities.

Entrepreneurship Assignment Example | Topics and Well Written Essays - 2000 words - 3

Entrepreneurship - Assignment Example Individual or group communication among the customers increases sharing of experiences and further requirements. Personal communication networks of ‘The Gathering Goddess’ are mainly the medium or channels that the management uses to interact with the customers. In the current study, critical evaluation of personal communication network (PCN) is made on the basis of small vintage apparel boutique based in London (Thegatheringgoddess.com, 2015). ‘The Gathering Goddess’ is developing new online stores to reach to more customers in the global market. Therefore, the organization must modify the personal networking policies as per the new platforms. ‘The Gathering Goddess’ is a small vintage apparel boutique based in the London area. The organization is producing female products for the Europe and USA clients. Initially, they started with sole physical store in the North Kensington area of London during the year 2002 (Thegatheringgoddess.com, 2015). The organization is facing huge challenge both nationally and internationally. ‘The Gathering Goddess’ is increasing their online presence for meeting challenges from competitors and increase market share and profitability. New partnership developed with the E-commerce firms like Fab.com and eBay helped the firms to meet global customers. Therefore, ‘The Gathering Goddess’ is modifying their Personal Communication Networks (Thegatheringgoddess.com, 2015). Initially, ‘The Gathering Goddess’ was using the personal communication networks to make direct influence on the customers. The firm was able to share information of the products and the services they were offering to the clients. They were using different types of communication channels and tools for communicating with the customers or other organizational stakeholders. Since 2002, the firm has used the several techniques to maintain communication networks among the customers (Thegatheringgoddess.com, 2015). The

International Financial Reporting Essay Example | Topics and Well Written Essays - 3250 words

International Financial Reporting - Essay Example Moreover, in order to explain the concept, certain examples have been discussed for a hypothetical organisation - Noka. IAS 16 deals with recognition of property, plant and equipment; and their depreciation charge calculation. It also provides guidance on how to determine the carrying value of these assets and the treatment during disposal of these fixed assets. In order to facilitate the users in reading financial statements, IAS 16 standardises the recognition, measurement, revaluation, depreciation and de-recognition of property, plant and equipment; and provides guidance on accounting treatments. The standard provides flexibility to organisations in terms of subsequent measurement of value of the fixed asset. So, it can either be stated at original cost (less impairment and depreciation), or can be revalued to state its fair value (the current market value). The organisation must state the method used to measure the asset in the disclosure section of the financial statements. This would assist users in determining whether the original cost is used to value the asset or if the market value is used to provide a fair value closer to the current market value. ... The organisation must state the method used to measure the asset in the disclosure section of the financial statements. This would assist users in determining whether the original cost is used to value the asset or if the market value is used to provide a fair value closer to the current market value. But, in order to assure the users that revaluation was done properly, addition disclosures are required including date of revaluation, method used to revalue, if independent valuer was involved, etc. The implication of carrying value is significant. This is because in most circumstances, organisations would opt to incur additional expenses of revaluing the asset only if they are confident that revaluation will assist in increasing the carrying value of the asset. This directly impacts the balance sheet. Depreciation The depreciation is the charge on usage of the asset; and is treated as a non-cash expense. At the end of the year, depreciation is charged to the income statement of the organization. IAS 16 requires that organisations use a depreciation method consistent to the useful life of the asset (the period in which economic benefits can be obtained from the asset). The method used to calculate depreciation may vary. In addition, organisations are allowed to change the depreciation method but it has to be documented under disclosure section along with reasons for the change. The implications may be significant. If reducing balance method of depreciation is used, the company will be able to depreciate the asset faster in the beginning as opposed to straight line depreciation that requires same depreciation charge for the entire useful life of the asset. De-recognition or

Historic Preservation And the Imagined West Assignment

Historic Preservation And the Imagined West - Assignment Example The researcher states that the book Historic Preservation and the Imagined West by Judy Morley reviews these districts and what their effect may really be on the local public as well as the tourist business that is created. There was much pain in the development of these districts, as well as the gains for the cities themselves. Albuquerque is a vibrant city that is one of the fastest growing cities in the Southwest. It is in the high desert with mountains all around. There are many personalities to the city and it has grown in such a way, through planning, that it is easy to move around in and for tourists is very well marked. There are many things to do when visiting and one of those in Old Town. The Hispanic presence in Albuquerque is part of the history, as is the presence of the Pueblo Indian tribes of the Navajo, Apache, and Southern Utes, to name a few. Many of these cultural differences have affected the way the city feels when you visit. Old Town is on Central and 4th Street s in what was the heart of the city. The city has grown up around it so that is no longer true; however, As you walk into Old Town you are immediately reminded of an old Spanish village with its wrought iron fences and its covered patios. There are flower gardens everywhere and outside establishments to have a cool drink in the shade. The irony of this is that the Mexican people who established the area was evicted from there homes in order to renovate the area as Old Town. Yes, it draws many thousands of tourists every year and millions of dollars are spent on expensive jewelry and restaurants but the cost was high in human living standards. The poor that used to live there now live in the areas around Old Town. Many of them live in abject poverty and the level of crime there is tremendous. Navajo jewelry, the real stuff, used to be sold off Navajo blankets in the square but now you can only buy Navajo jewelry and rugs in the shops along the veranda. Morley has tried to explain thi s to us in her book. Go to the internet and see Old Town as it exists today. They want you to believe that is the way it has always been in Old Town and of course what you see is what you get. However, underlying all that beauty and fun is the cost of the loss of homes and pieces of a culture as the changes began. The poverty and gangs in Albuquerque is tremendous with Albuquerque having one of the largest ratings for drive-by shootings and gang activities in the nation. At what cost has Albuquerque gained the riches of their history. Denver Colorado and Larimer Street are famous on the tourist's tour. First of all Denver sits in the high desert among some of the most beautiful mountain vistas available anywhere. It is growing and urban sprawl has spread up the sides of those mountains. It still, by tourists, and some of the residents are seen as part of the Wild West and certainly if you ever watch a western on TV you will see why. Larimer Street is the center of old Denver. It sit s on 1st street within the city. This part of the city originally housed a dry goods store, the first bank in the west, a bookstore, and the first post office in the west. Today, you would never know it. All the buildings have been renovated and it is full of beautiful shops, restaurants and nightclubs. It is remarkable to note that prior to the renovation it was very much like the Wild West. This is where the homeless and prostitutes hung out.

Role of Marketing Manager Research Paper Example | Topics and Well Written Essays - 2500 words

Role of Marketing Manager - Research Paper Example The foreign market chosen for this research paper is Southeast Asian market comprising of Indonesia, Thailand and the Philippines. Form utility: Form utility refers to the product or service offered to customers by a company. The marketing team carries out a widespread research about customer needs to develop a pattern for a product or service in order to derive form utility. The product development team then develops a product or service that provides customers with important business benefits like improved productivity, lower costs, competitive advantage and easier installation and meets the needs of the customers (Armstrong & Kotler 2014). The marketing team creates form utility by converting customer needs into product or services that carry value. In this paper, the product offered to the customers is dishwasher by the company. After conducting extensive research, the product development team developed two types of dishwasher based on application, one directed for residential use and the other one directed for the food services industry sector. The residential dishwasher created utility in the form of time management, better cleaning, and saving energy and water. The industry dishwashers created utility in the form of increase in productivity, lower manual labour costs, competitive advantage, better cleaning and lesser amount energy and water consumption. Possession utility: The utility of possession offers the customers ownership of the product or service which allows them to obtain benefits in their own business or in daily usage. If the customers are able to increase productivity of their own product after using the product or service offered to them by the company, then the possession has given them a strong benefit and possession utility is maximised (Armstrong & Kotler 2014). The dishwasher creates possession utility both in the residential

The Life Of Roger Williams Essay Example | Topics and Well Written Essays - 2500 words

The Life Of Roger Williams - Essay Example Roger Williams was an English protestant and theologian. He was a controversialist who used his formal education background to generate erudite arguments on religion. He is among the few unique persons from early history that made an enormous impact with their actions. He left England, his native land, during the Puritan migration to America. His motive was similar to that of other people that participated in the great exodus - to worship God according to the dictates of his mind and conscience. When he arrived at Massachusetts Bay, he felt disappointed to find that the people there practiced conformity. He had migrated to America in search of freedom but that was not what he found. Authorities at the Bay were quick to deal with non conformity. There were mechanisms to deal with discordant elements as quickly as possible. Williams did not accept the existent situation. He immediately started to promote his ideas of religious freedom across the bay area. Williams was among the earliest proponents of religious freedom. He also advocated for the separation of church and state. His religious and political principles offended the authorities of Massachusetts Bay. The authorities tried to arrest him for deportation back to England. He got away before the authorities could get to him. He exiled to the Narragansett where he founded the colony of Providence Plantation in 1636.2 His model advocated for a society where men act as their conscience tell them to in the name of their God. This colony provided refuge to religious minorities. There was no discrimination in the colony based on race or religion and freedom of worship was guaranteed. He also started the First Baptist Church of Providence which was the first Baptist church established in America. Even to this day, there are remarkably few people that may be willing to take the position that Roger Williams took many years back. His position required courage and perseverance in order to achieve the desired goals. His life involved continuous struggle for religious liberty. Roger William’s life Roger Williams was born in 1603 in London. His parents were James and Alice Williams. Roger Williams had a sister, Catherine, and two brothers Robert and Sydrach. Williams spent his early years as a youth at the St. Spulchre Church parish.3 In his teen years, Williams attracted the attention of Sir Edward Coke. Coke was a brilliant lawyer and an influential