Case Study : ' Super Co ' Essay

ways of evaluating the return on Super. The first was an incremental basis that was

1. The inventory at your company consists of computer software that the company has developed and is selling. You capitalized (rather than expensed) the cost of duplicating the software, the instruction manuals, and training material that are sold with the software.

Cost of inventory is determined using the average method; inventory is stated at the lower of cost or market. +pB13

330-10-35-1 A departure from the cost basis of pricing the inventory is required when the utility of the goods is no longer as great as their cost. Where there is evidence that the utility of goods, in their disposal in the ordinary course of business, will be less than cost, whether due to physical deterioration, obsolescence, changes in price levels, or other causes, the difference shall be recognized as a loss of the current period. This is

4. What inventory method is used to value inventories? Does this method reflect current cost at year-end?

The FASB ASC 330 Inventory provides primary authoritative guidance for the accounting for inventory. The predecessor literature is Accounting Research Bulletins (ARB) No.43 Chapter 4, paragraph 4 (Issued June, 1953) and Statement of Financial Accounting Standard (FAS) NO.151 Inventory cost- an amendment of ARB No.43, Chapter 4 (Issued November, 2004).

330-10-30330-10-30-1 The primary basis of accounting for inventories is cost, which has been defined generally as the price paid or consideration given to acquire an asset. As applied to inventories, cost means in principle the sum of the applicable expenditures and charges directly or indirectly incurred in bringing an article to its existing condition and location. It is understood to mean acquisition and production cost, and its determination involves many considerations. 330-10-30330-10-30-2 Although principles for the determination of inventory costs may be easily stated, their application, particularly to such inventory items as work in process and finished goods, is difficult because of the variety of considerations in the allocation of costs and charges.

When calculating the percentage change in inventories, an issue arises when using either the lower cost of market or the market value. When looking at the calculations for finished goods inventory (insulated wire) and copper rod inventory Laramie has applied the lower cost of market. However, the calculation pertaining to plastics inventory reveals that the market value should be used for classification, but Laramie has used cost. The percentage change of the plastics inventory if the $.12 per pound is used is a 27% decrease. The importance of classifying inventory correctly

The decline of inventory turnover presents the incresed possibility of inventory obsolescence which is likely to be assessed as higher business risk. In debts to equity part, the ratio in current year is much higher than that of preceeding year, which means the extent of use of debt in financing company is much higher than before. Pinnacle has used most of its borrowing capacity and has little cushion for addional debt.This action brought high business risk to Pinnacle. In addition, Pinnacle puchase more inventory in current year that that of preceeding year, and net sales are increasing also compared previous year. However, the net income is decreased significantly. These changes show expenses (maybe direct or indirect) have increased dramaticly. The company uses more expensive materials and labors to manufacure and sell products.

2.2 Inventories (AASB 1019) as a general principle, inventories are valued at the lower of cost (including fixed and variable factory overheads where applicable) and net realizable value. Cost is determined on the basis of first-in-first-out, average or standard, whichever is the most appropriate in each case.

b. The inventory write down recorded, as an expense by the company is $4.4 million. It is measured at lower of cost and net realizable value. Cost is measured by weighted average using standard cost method or

Everyone likes to have a choice of where they like to shop. However, the distance a consumer has to travel may be a problem. In addition to this, the cost of gasoline and the amount of time they are allotted also may be another issue. In order to find the solution to this problem, I propose another supercenter like Target come to Plainview. Target coming to Plainview would solve this problem and could also benefit the idea of shopping locally. It is would be good for shoppers to have another choice to shop other than the local Walmart already in Plainview. On the other hand, supercenters like Target do not usually come to small towns.

The case study focuses on an employee, Paul Keller, who is being affected by a number of factors. His job performance is hindered by constraints such as his work environment, his home environment, stressors, mood, and the management style of his superior. The case study demonstrates how his job performance is affected and what the consequences could be as a result of his poor job performance and lack of concentration.

The impact of leadership style in the change process of an organization influences the performance; Leadership as stated by Martin, Liao and Campbell (2013) remains one of the most consequential contextual influencers of employee performance. Latson (2014) elucidated that some leaders may have the best intentions, but the impact will not be in alignment with the intension. But leadership trait is the ability to inspire, motivate and engage the followers to make the inspired vision happen beyond their normal capabilities (Mendez, Munoz & Munoz 2013). A change is the most frequent phenomenon of today's reality and a good understanding of how to manage the change process is very essential; Change is translation from one state into