Management Discussion And Analysis : Social Konnections Inc.

The use of social media marketing has become a standard way in which organizations advertise their products or services. Social media marketing allows consumers to have immediate access to other consumers reviews or to post a review about a product or service. There is engagement between the company and the consumer (Evans, Dave 2010). Social Media emerged in the late 1980’s when websites such as Prodigy, Compuserve and America Online. Prodigy was first of it’s kind and was known as a ”consumer online service”. Half of the page is devoted to advertising. Facebook, Twitter, Myspace, Hi5, Bebo and Orkut are all social media platforms that are utilized as platforms today.

This course is the first in a two-part series that deals with auditing a company 's financial reports, internal controls, and

14. In which paragraph of the standard audit report does the auditor communicate to the user that certain combining fund information in the financial statements is not part of the basic financial statements, but that such information has been subjected to auditing procedures and, in his or her opinion, is fairly presented in all material respects in relation to the basic financial statements?

The boards proposed a standard by which revenue would be recognized entirely based on the firm’s contract with the customer. Any remaining rights or obligations in the contract would give rise to net contract assets or net contract liabilities. Under the proposal, revenue would be recognized based on the changes in rights and obligations under a contract entered into with a customer. Rights (assets) arise from a customer’s promise of cash or other compensation while obligations (liabilities) arise from the firm’s promise to transfer assets to the customer. Revenue is recognized whenever there is an increase in contractual assets or a decrease in contractual liabilities or a combination of both. Remaining rights under the contract are measured, the balance of which will create a net contract asset or a net contract liability.

To determine these agreements should be accounted for separately or as a single arrangement, we would consider in ASC 605-25 Revenue Recognition to Multiple-elements agreements

2. On the basis of the response to Question 1, discuss the revenue recognition accounting literature

| Value Proposition:3.27-845m users, more than 70 languages(76)3.28-B2C: social network platform for connecting people with people, everywhere permitted (68)3.29-B2B: marketers, free channels; advertisers with budget, solutions to audience; developers with resource, offer platform(69)3.30-Privacy concerns: new products, marketers & developers on personal information(55), new privacy features announced(56)3.31-User friendly: search feature improvement for relevant & time saving, “See More Results” menu(70)

Accounting aspects have been several in amounts. They lay out ground rules for succeeding in

In conclusion, because SAB 101 was released in order to curtail specific abuses, it should not be seen as a comprehensive treatise on the entire area of revenue recognition. The vast majority of companies apply the revenue recognition criteria in a very straightforward way with no questions from their internal/external auditors, from the SEC, or from investors. Thus, the revenue recognition issues covered in SAB 101 may not be comprehensive, but they are extremely important. The new revenue recognition will impact all public companies but mostly the industries such as telecommunications, software, engineering, construction and real estate. Modifications to how revenue is recognized are the way revenue is allocated, the time of revenue recognition,

As I mentioned before we are in social media and technology market business. As experienced company we have already 30% of global market share (Soulati Media, 2012). Our three main segments are professional sportsmen, amateurs, family home videos and the new segment sport fans that will stream online (Appendix 1). For all our segments, trends will play a big role. We

Revenue recognition is currently one of the most complex areas of accounting, however it hasn’t always been this way. From relatively simple beginnings, the guidance for recognizing revenue has grown larger and more complex along with the business environment. One reason revenue recognition has needed frequent improvement is its vulnerability to fraud. It has been recorded that several frauds during the 1987-2007 time period were a result of an overstatements of revenue, typically at the end of an accounting period in an effort to boost earnings. This fact shows the importance of rigorous revenue recognition guidelines, while further demonstrating a need for the revenue recognition project. There was also a need to clarify the differences in

The accounting department of CAM is instructed by the CFO to recognize the revenue only after the collection of cash, due to uncertainty of collection, which is reasonable and does not show any management intention to deliberately choose the method that results lower net income. Although this method complies with revenue recognition criteria under IFRS, it substantially postpones the revenue recognition process, as well as understates the net income as it only accounts for cash received. Under this approach, the occurrence of expense does not match with the related revenue, thus misrepresents the company’s profitability and income statement.

Social media is a survival necessity in today’s business world, though different businesses are likely to use it in different ways. In a business specializing in outdoor recreation, participation in social media is vital. The company should have an active presence in social media forums that are popular amongst its primary target market which is likely to be young, active adults. The top social media tool used among teenagers and young adults is Snapchat, followed closely by Facebook and Instagram (Statista, 2016) so the company should prioritize those.

Forrester Research provided the research behind Social Technographics. Their research identified six types of the social media users and how they interact in the online environment. The Social Technographics ladder presented in Figure 3.3. of our reading depicts a ladder with different participation groups at each rung. These groups include: creators, conversationalists, critics, collectors, joiners, spectators, and inactives. It is worth noting that these groups are not exclusive, meaning a user could fit into multiple categories for different interactions (Tuten & Solomon, 2013, p. 74). Skittles is a poplar candy brand known for their wacky advertising. It is no wonder that their social media marketing would be just as wacky and popular. Skittles must be very aware to the different categories of the ladder to be so successful in their social media marketing efforts.

 an analysis of the company’s accounting policies that are likely to affect interpretation of its financial reports (at least 3 policies)