Reporting on Two Different Pension Plans and Eliminate Two Segments

Education for stakeholders related to changes in financial statement is considered as significant as well. In a way, companies have

9. How did the pension plan changes affect Harnischfeger’s financial statements in 1984? Are these changes likely to affect future profits?

On August 11, 1998, United States Amoco Corporation (Amoco) and The British Petroleum Company p.l.c. (BPC) announced the BPC merger with Amoco. With a combined number of participants of 40,000 and $7 billion investment assets under management, the merged pension and savings plan of the new company is viewed by both management and employees as a bellwether of the success of the merger. Therefore, the new investment team must be able to “harmonize” the very different two original plans.

* PBPA - amortization of bonuses because it is just part of the compensation expense

release, the Company has stated its intention to dismantle the existing operation. The costs to reassemble the operation in the new facility have not yet been finalized. Required: • • In reporting to its U.K. parent under IFRSs, how should Pharma account for the above restructuring program for the year ended December 31, 2011? In reporting to its U.S.-based lender in accordance with U.S. GAAP, how should Pharma account for the restructuring program for the year ended December 31, 2011?

g. Two or more not-for-profit entities (NFPs) that are effectively controlled by the same board members transfer their net assets to a new

For pensions and post-retirement accounting methods to recognize the benefit costs, estimates and assumptions on future events ascertaining the timing and amount of benefits payments must be sought first. This paper seeks to compare and contrast the early historical accounting for pensions and post-retirement healthcare and life insurance benefits with the rules and guidance applied today in addition to the changes to such guidance and rules that would improve the accounting and reporting of such benefits depending on the business and political changes and as such, predict the effect of such changes on financial reporting and accounting practices.

Financial management over time has become the most important aspect of business decisions in funding the enterprise. Thus, the term “financial services” became more popular in the United States partly as a result of the Gramm-Leach-Biley Act of the latter 1990s. This act has enabled all companies to operate in the U.S. financial services industry. Companies usually have two different approaches to this new type of business, insurance, and investment banking. Whether the firm keeps the original brands or adds the acquisition to its holding company

These employees enjoy accrued benefit such as health insurance, vacation, Competitive wages, dental insurance, holiday and a retirement plan (Helms, 2001).

9. How did the pension plan changes affect Harnischfeger’s financial statements in 1984? Are these changes likely to affect future profits?

1. Consider this scenario. You and four friends have developed a new environmentally friendly heater. You all have extensive business experience. Together, you have established a new company, Green Heaters Pty Ltd ACN 512 302 XXX, which will manufacture and sell the new heater to wholesalers. The five of you will comprise the board of directors.

Our company has been providing their employees with a pension plan for many years. However, these benefits plans have to be reviewed and possibly revised after the recent acquisition of XYZ Company. Through the use of a funding agency, payments are invested so that periodic payments can be made to the employee during retirement. Defined contribution and defined benefit are the two most common types of pension plans.

Determine the key factors that will drive the financial planning process for most organizations in the post-merger phase, and examine the related impact to the organization process. Provide support for your rationale.

Vital Information gained from financial reports and annual reports provided by the company will aid in determining a strategic plan to

Employee benefits expenses arising in respect of wages and salaries, non‑monetary benefits, leave entitlements and other types of entitlements are charged against profits on a net basis in their respective categories.