Changing Landscape of Linear Broadcast TV Channels

Changing Landscape of Linear Broadcast TV Channels s, it has been explicitly stressed over the most recent readings and most recent advertising reactions of the buyer. The methodology has been explicitly started to offer a redesign research over the concerned point. Exploration Question The exploration is a commonsense methodology in understanding the subordinate results of IP TV with on-request content as a piece of formative structure of accomplishing broadcasting inclinations. The jobs of publicizing techniques and advertising choices are a lot of vital to the examination procedure. The exploration has been started based on following inquiries: What is the current worth chain of IP TV with on-request content? What are the fundamental highlights for the accomplishment of movement of IP TV with on-request content in TV industry? How might one recognize the serious modes looked inside the scopes of IP TV with on-request content? What is the job of promotions and popularized influence of projects in the improvement of overall revenues around here? Exploration Design The exploration configuration will follow quantitative examination technique. Under this procedure important methods of meetings and survey disseminations procedures will be started. There will be two methods of gathering information. The principal will be started through dispersion of surveys among chosen tests of shoppers from various age gatherings. This will additionally get followed by some restrictive meetings from certain experts from significant fields. The information gathered from the polls will be founded on the theoretical parts of understanding buyer requests and their inclinations with respect to the mechanical helps offered in the field of TV viewing. F included by this mode there will be the arrangement for interviews as well. From the significant field of TV advertising and innovation study suppliers; 5 to 7 individuals will be chosen for selective meetings identified with the point of view of job of IP TV with on-request content in present customer showcase. These meetings will likewise be the base for understanding customer requests and the modes to flexibly the equivalent. The discoveries will be founded on the gathered information from the polls and the meetings. The gathered information will be dissected according to chi-square investigation and the status of the theory will be broke down consequently. Each procedure will be done from pragmatic field of investigation and in this manner the whole information gathering mode will dependent on factual inferences. There will be a normal theory and through chi-square this speculation will be research to get the momentum method of understanding the status of IP TV with on-request content and the related worries for its turns of events. Most recent investigatory bases will be the rudiments for understanding the current patterns and appraisals identified with the IP TV with on-request content among the little chosen test in a specific locale. Dealing with Your Dissertation The procedure to deal with the exposition will follow exacting cutoff times and deliberate influence of exploration approach. The quantitative examination system and the readings will be the center base for determining down to earth and theioretical angles identified with the subject. Assortment of information and meeting the essential sources will be started with legitimate comprehension of optional sources.

Analytic Commentary- The analytic commentary will be a succinct Essay

Explanatory Commentary-The diagnostic analysis will be a concise evaluative bit of composing which recognizes the principle highlights o - Essay Example Such alerts have been related with issues, for example, the eroding of appropriate play regions (Rivkin, 1998); the development in ‘stranger dangers’ (Valentine and McKendrick, 1997); the move towards progressively home-focused relaxation exercises established on TV and computer games (Clements, 2004); and the development in youth corpulence (Ebbeling et al., 2002). Simultaneously, concerns have been conveyed about the apparent over-formalization of children’s early instructive encounters. Obviously, at that point, early years educators are currently being approached to start an increasingly experiential, play-based way to deal with realizing which incorporates a more prominent utilization of the open air condition (DfES, 2007). One manner by which schools are supporting children’s play and learning in the open air condition is through cooperation in ‘Forest School’. Timberland School has been characterized by the Forest School England organize as: A rousing procedure that offers youngsters, youngsters and grown-ups ordinary chances to accomplish, and create certainty and confidence through hands-on learning encounters in a forest domain. (Murray, and O’Brien, 2005) The college that was visited for the Forest School is known for its open space that included spots where youngsters could uninhibitedly move and take an interest in different physical exercises. It included regions where youngsters with the assistance of their creative mind could make stories that would help in the improvement of subjective capacities, spaces that would shield from downpour and daylight, give chances to difficulties and contact with nature. Various inquires about have upheld the upsides of learning in the indigenous habitat and kept up that kids need to play, to encounter space, development and tactile incitement for sound turn of events (Knight, 2009; Maynard, 2007). The Forest School experience underwrites tangible youngster drove ope n air play, supporting and animating interest and retention. Wilson (2008) demonstrates that the characteristic world alongside its astonishing rich wellsprings of tactile incitement, offers incalculable chances to encounter excellence. It can consequently fill in as an ideal hotspot for tasteful improvement of youngsters. The current condition furnished kids with a scope of chances for common tactile encounters which is likewise outlined in type of photos in Appendix A. The parts of nature were found through unique exercises concentrating on the miracles of nature felt through the faculties (Forest School Norfolk, 2009). The feeling of smell was experienced through blossoms, soil and wood that were found in Forest School. The feeling of seeing was satisfied by the shades of nature, assortment of creepy crawlies and vegetation. The brilliant bugs at the site extraordinarily pulled in the youngsters as one of them even inquired as to whether he could contact the centipede to have a n earby look. Likewise, different surfaces, for example, smooth grass, barks and rock way offered boost for their feeling of touch. What's more, trilling of the flying creatures, quacking of the ducks, snapping twigs and moving water gave boost to their sound-related faculties. Then again, the feeling of taste was satisfied by giving youngsters hot cocoa and scones for snacks. The earth gave motivation to all detects including visual, sound-related and

Was the Commerce Clause portion of National Federation of Independent Essay

Was the Commerce Clause segment of National Federation of Independent Business v. Sebelius accurately chose - Essay Example This was because of a discernment that the demonstration gave people who didn't obtain medical coverage covers the charge that was to have their wages burdened by the inside income administration as a penalty1. They asserted that the congress which is liable for making laws that administer them, was humoring them in a business obligation of which ought not be the situation. I concur with this thought as it fills in as a difference which is planned for ensuring the privileges of the minority. They act likewise had another arrangement; the Medicaid extension program. This arrangement expressed that the different states that make up America ought to give clinical help to grown-ups whose salary is beneath 133% of the government destitution line which I feel is a smart thought. This overwrote the Medicaid program that was set up during the time that offered clinical help to hopeful ladies, youngsters, penniless families, the visually impaired, the older and the crippled. The Medicaid exte nsion program was financed by the government same as it utilized the past Medicaid program. The demonstration further expressed that expresses that didn't conform to the demonstration would be denied the whole government Medicaid funding2. This additionally didn't foreshadow well with certain people as the national league of free business and furthermore twenty six states were against it. They thusly moved to the government area court to record a test against the individual command and the Medicaid extension program. The court of advance anyway held that the congress was working inside its established command while passing the provision on Medicaid extension and yet, it needed position to institute the individual order. Boss equity Roberts in conveying the court’s supposition inferred that â€Å"the hostile to directive act doesn't bar the suit (US constitution part II of 648 F. 3d 1235)3. This was on the grounds that the counter order act expressed that any individual who wished to sue for any assessment must

Characteristics of Services Essay - 275 Words

Characteristics of services (Essay Sample) Content: CHARECTARISTICS OF SERVICESService is a type of economic activity that is intangible, is not stored and does not result in ownership.Some of the Characteristics of services are? 1 PerishabilityServices are highly perishable compared to physical products. They cannot be stored, for instance ,if an airline does not sell all the seats on a particular flight, then those seats or rather the sales revenue of filling of them would have carried has immediately and irreversibly gone. Here the element of time assumes a significant position ,it cannot be stored. 2 IntangibilityPhysical products can be widely displayed for customers to see, feel ,touch, weigh or sniff before deciding whether or not they want to buy it . On the other hand, one cannot see, feel, smell, weigh, touch or sniff services due to the intangible nature. This has given rise to special problems for both th e supplier and consumer. Because services are intangible, while selling or promoting a service one has to concentrate on the satisfaction and benefit a consumer can derive having spent on the service. 3 VariabilityThe quality of services cannot be standardized. The provision of services invariably includes a large measure of the human element. Indeed with many services, we are purchasing nothing else but the skill of the supplier. Because of this it is often very difficult for both the supplier and consumer to ensure a consistent product or quality of the service. this is due to the difference in perception of individuals at the level of providers and users. 4 InseparabilityServices are generally created or supplied simultaneously. The service provision and provider are inseparable from the service consumption and provider. The service provider cannot be separated from the service itself. This has implications for both channels of distributions and scale of operations.e.g the entertainment industry, health experts and other professionals create and offer their services at the same given time. 5 Non-ownershipServices can be used or hired for a period of time. Unlike a physical product, the consumer does not secure ownership of the service. Rather the consumer pays only to secure access or use of the service. It is an activity that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Ownership is not affected in the process of selling the service.6. SimultaneityServices cannot be moved through channels of distribution and cannot be delivered to the potential customer or user. Thus, either users are brought to the services or providers go to the users. It is right to say that services have limited geographical area. When the producers approach the buyer time is taken away from the production of services and the cost of those services is increased. On the other hand it costs ti me and money for buyers to come to the producers directly. Here the economies of time and travel provide incentives to locate more service centreà ¢Ã¢â€š ¬s closer to prospective customer, resulting in the emergence of service centreà ¢Ã¢â€š ¬s e.g. an airplane cannot be brought to the customer. 1 Quality measurementA service sector requires another tool for measurement. We can measure it in terms of service level. It is very difficult to rate or quantify total purchase. E.g. we can quantify the quality of food served in a hotel but the way water serves the customer or behavior of the staff cannot be ignored while rating the total process. Hence we can determine the level of satisfaction at which users are satisfied. Thus the firm sells good atmosphere convenience of customers, consistent quality of services, e.t.c. 2 Nature of demandGenerally, the services are fluctuating in nature. e.g., during the peak tourist season there is an abnormal increase in the demand of services. 3 He terogeneityThis character of services makes it difficult to set a standard for any service. The quality of services cannot be standardized. The price paid for a service may either be too high or too low as is seen in the case of entertainment industry and sports. The same type of services cannot be sold to all the consumers even if they pay the same price. Consumers rate these services in different ways .This is due to the difference in perception of individuals at the level of providers and users.Heterogeneity makes it difficult to establish standards for the output of service firm.CHALLENGES POSED BY CHARACTERISICS OF SERVICES 1 The marketer of the service cannot rely on the product-based clues that the buyer generally employs in alternative evaluation prior to purchases. So as a result the services are not known to the customers before they take them. 2 Services cannot be produced now and then consumed at a later date or time and this produces a new dimension to services. 3 The inability of the service sector to regulate supply with the changes in demand poses many quality management problems, hence service quality deteriorates during peak periods. 4 Managers face a problem in standardizing their services as it varies with experienced hand, customer, time and firm. 5 Inseparability of production and consumption involves the simultaneous in production and consumption which characterizes most services. Whereas goods are first produced ,then sold and then consumed, services are first sold and consumed simultaneously. Since the customer must be present during the production of many services, inseparability forces the buyer into intimate contact with the production process. 6 Heterogeneity concerns the potential for high variability in the performance of services. The quality and essence of all servi... Characteristics of Services Essay - 275 Words Characteristics of services (Essay Sample) Content: CHARECTARISTICS OF SERVICESService is a type of economic activity that is intangible, is not stored and does not result in ownership.Some of the Characteristics of services are? 1 PerishabilityServices are highly perishable compared to physical products. They cannot be stored, for instance ,if an airline does not sell all the seats on a particular flight, then those seats or rather the sales revenue of filling of them would have carried has immediately and irreversibly gone. Here the element of time assumes a significant position ,it cannot be stored. 2 IntangibilityPhysical products can be widely displayed for customers to see, feel ,touch, weigh or sniff before deciding whether or not they want to buy it . On the other hand, one cannot see, feel, smell, weigh, touch or sniff services due to the intangible nature. This has given rise to special problems for both th e supplier and consumer. Because services are intangible, while selling or promoting a service one has to concentrate on the satisfaction and benefit a consumer can derive having spent on the service. 3 VariabilityThe quality of services cannot be standardized. The provision of services invariably includes a large measure of the human element. Indeed with many services, we are purchasing nothing else but the skill of the supplier. Because of this it is often very difficult for both the supplier and consumer to ensure a consistent product or quality of the service. this is due to the difference in perception of individuals at the level of providers and users. 4 InseparabilityServices are generally created or supplied simultaneously. The service provision and provider are inseparable from the service consumption and provider. The service provider cannot be separated from the service itself. This has implications for both channels of distributions and scale of operations.e.g the entertainment industry, health experts and other professionals create and offer their services at the same given time. 5 Non-ownershipServices can be used or hired for a period of time. Unlike a physical product, the consumer does not secure ownership of the service. Rather the consumer pays only to secure access or use of the service. It is an activity that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Ownership is not affected in the process of selling the service.6. SimultaneityServices cannot be moved through channels of distribution and cannot be delivered to the potential customer or user. Thus, either users are brought to the services or providers go to the users. It is right to say that services have limited geographical area. When the producers approach the buyer time is taken away from the production of services and the cost of those services is increased. On the other hand it costs ti me and money for buyers to come to the producers directly. Here the economies of time and travel provide incentives to locate more service centreà ¢Ã¢â€š ¬s closer to prospective customer, resulting in the emergence of service centreà ¢Ã¢â€š ¬s e.g. an airplane cannot be brought to the customer. 1 Quality measurementA service sector requires another tool for measurement. We can measure it in terms of service level. It is very difficult to rate or quantify total purchase. E.g. we can quantify the quality of food served in a hotel but the way water serves the customer or behavior of the staff cannot be ignored while rating the total process. Hence we can determine the level of satisfaction at which users are satisfied. Thus the firm sells good atmosphere convenience of customers, consistent quality of services, e.t.c. 2 Nature of demandGenerally, the services are fluctuating in nature. e.g., during the peak tourist season there is an abnormal increase in the demand of services. 3 He terogeneityThis character of services makes it difficult to set a standard for any service. The quality of services cannot be standardized. The price paid for a service may either be too high or too low as is seen in the case of entertainment industry and sports. The same type of services cannot be sold to all the consumers even if they pay the same price. Consumers rate these services in different ways .This is due to the difference in perception of individuals at the level of providers and users.Heterogeneity makes it difficult to establish standards for the output of service firm.CHALLENGES POSED BY CHARACTERISICS OF SERVICES 1 The marketer of the service cannot rely on the product-based clues that the buyer generally employs in alternative evaluation prior to purchases. So as a result the services are not known to the customers before they take them. 2 Services cannot be produced now and then consumed at a later date or time and this produces a new dimension to services. 3 The inability of the service sector to regulate supply with the changes in demand poses many quality management problems, hence service quality deteriorates during peak periods. 4 Managers face a problem in standardizing their services as it varies with experienced hand, customer, time and firm. 5 Inseparability of production and consumption involves the simultaneous in production and consumption which characterizes most services. Whereas goods are first produced ,then sold and then consumed, services are first sold and consumed simultaneously. Since the customer must be present during the production of many services, inseparability forces the buyer into intimate contact with the production process. 6 Heterogeneity concerns the potential for high variability in the performance of services. The quality and essence of all servi...

Essay about The Transformation of Benedict in Much Ado...

The Transformation of Benedict in Much Ado About Nothing In Much Ado About Nothing Shakespeare manages to transform Benedict from a bachelor to being in love with Beatrice. Shakespeare does extremely well to make this change of character seem believable as it such a big one. Shakespeare does this by using key scenes to gradually reveal the true relationship between the two. This transformation is especially interesting as at the beginning of the play he argues with Beatrice and declares he will always be a bachelor. In Act I Scene I when the visitors arrive in Messina, Benedict appears to be an arrogant, patronising womaniser. In this scene Benedict has a merry war with†¦show more content†¦As Beatrice pretends to talk about him behind his back, we see another side to Benedict?s character. He seems to be hurt by Beatrice?s comments that ?he is a princes jester? as unusually for Benedict he doesn?t say very much and uses shorter replies to her remarks than usual. This episode is the first part of Benedict?s transformation and we see he is not quite how he describes himself in the opening scene as he does care what Beatrice thinks and when he says ?I would not marry her, though she were endowed with all that Adam had left him before he transgressed? it shows that he has actually thought about marrying Beatrice. In Act II Scene III Benedict has a very long soliloquy at the beginning. This is possibly the most important of all the scenes in this transformation as we see Benedict change his mind when he learns of how he thinks Beatrice feels. In his soliloquy he says ?I do much wonder that one man? become the argument of his own scorn by falling in love?. This line shows that Benedict is still very much a bachelor. Another example in this soliloquy is when he says ?May I be so converted?I cannot tell; I think not? All though he thinks he will not change from his bachelor ways, he does not seem as assured as he did at the beginning of the play and his view lacks conviction. When Don Pedro, Claudio and Leonarto pretend they doShow MoreRelatedHow Shakespeare Dramatically Presents Power and Authority in the Relationship Between Men and Women in Much Ado About Nothing1582 Words   |  7 PagesWomen in Much Ado About Nothing One of the key explorations of power and authority in â€Å"Much Ado About Nothing† is the relationship between Hero and Leonato as father and daughter. The play was written in Elizabethan England, and social attitudes of the period, together with long standing tradition, influence Shakespeare’s portrayal of the â€Å"proper† relationship between father and daughter, and duty they owed to each other. In â€Å"Much Ado About Nothing† it is very much a patriarchalRead MoreExamples Of Trope In Much Ado About Nothing And Pericles1625 Words   |  7 Pages A comedic convention which can easily be compared between Much Ado About Nothing and Pericles are the character tropes employed in both plays. Both plays employ similar tropes for their characters, though they both most notably employ the ‘lovers’ trope. In Much Ado About Nothing, two pairs of lovers are established by the end of the first act: Hero and Claudio and Beatrice and Benedict. The relationship between Hero and Claudio in particular forms rather abruptly and seemingly out of thin air –Read MoreWilliam Shakespeare s Much Ado About Nothing1285 Words   |  6 PagesMuch Ado About Nothing, is a comedic play by William Shakespeare thought to have been written in 1598 and 1599, as Shakespeare was approaching the middle of his career. (Wikipedia) This timeless play is generally considered one of Shakespeare’s best comedies, because it combines a cheerful mood with an intricate series of deceptions and miscommunications. It’s known for its hilarity, honor, shame and court politics. Shakespeare depicts different kinds of loving relationships- romantic love, family

Review Of Dracula By Bram Stoker - 1188 Words

In the diverse categories of monsters, there are specific types of monsters which are â€Å"cursed by a bite†Ã¢â‚¬â€Vampires, Zombies and Werewolves (Kaplan 2012: 136). Perhaps vampires are the most interesting of all. Vampires don`t morph into a howling hairy creature at the sight of full-moon and they are not controlled together by a sorcerer; rather they assimilate among us as gentle cannibals. The term vampire has been around for centuries. From Dracula (Stoker 1897) to Twilight (Meyer 2005), vampire culture has seduced fiction lovers all over the world. The main target for this craze is women. Before it was Dracula`s â€Å"otherness† that provoked fears in 19th century, â€Å"otherness† returns in the vampires of 20th century as a source of empathy and†¦show more content†¦As Milly was arguing Louis`s unwanted status is a sign of victimhood; he came to inhabit the category of â€Å"evil† vampire as a result of Lestat`s actions. This sign of victimhood and innocence is something humans can relate to, therefore Louis deserves our sympathy. There was a time when America had a traumatic events during and after Vietnam War. We see soldiers ordered to kill the innocents and didn`t have the option to distinguish good and evil. Like Louis, they were put into this situation regardless of their desire. They are good people in a bad place. Our awareness of how easy it is for good people to go bad could have increased our interest in vampires and started to view them positively. The true horror in the movie is not the gruesomeness and nudity, it is the monotony of eternal life. As a contrast to our recent obsession with immortal beauty, vampires themselves don`t appreciate their features as much. Though eternal youth and beauty is really something humans can only wish for. Before the arrival of vampire beauty, ageing was a major concern in the American society in 1980s. Plastic surgery promoters soon awakened our deeply embedded desire of sexual attractiveness and took it even further to women`s career goals, mental health and marriage. Connections were made between evangelical Christians and a culture of dieting and exercising, as a result bodily transcendence became a

Case Study Athina free essay sample

Purpose: Recommendations for the CFO of Athina Building Supplies Ltd. We are writing to you on behalf of IV Consulting Group after closely examining the financial statements of your national retail and commercial building supplier chain, Athina Building Supplies Ltd. ’s. We have stumbled upon several issues, which will be discussed in detail below. We have prepared an insightful report on our findings and recommendations as asked for by the CFO of the national chain. Though the CFO is whom we are reporting too, we have considered how our advice will affect other key stakeholders of Athina such as the investors and CRA (assuming it is a Canadian firm), as it is inevitable to undermine the recommendations’ impact on them as well. First and foremost, even though Athina Building Supplies Ltd. is now a private business it was once linked to a national chain. Assuming the national chain complied under IFRS, it would prove more reasonable to incur less costs of switching to ASPE and also to continue using IFRS in case Athina requires a bank loan or ultimately plans for an IPO in the future (since investors currently are foreseeing success and growth for Athina). Athina was sold to its present investors for $1,000,000 as they believed that the stores would be more successful if they were managed by companies with expertise in the particular department. If Athina earns a net income of over $500,000, it must pay 25% to the national chain up until 2019 (2017-2019). Athina has recently closed their 2017 financial statements and have a new income of $510,000. This reveals that according to Athina investors, the national chain is presently owed $2,500. The users of the financial statements would most importantly be the CFO, followed by the investors. The CFO and investors have two very contradicting objectives, on one hand, the investors will want to minimize their income because if their income exceeds $500,000, 25% of it must be paid to the national chain for the next three years (from 2017 to 2019). On the other hand, the CFO will want to maximize Athina’s net income to guarantee receiving 25% from investors. The last objective, stewardship was also kept in mind while reaching to a conclusion because Athinas investors are responsible for managing it on behalf of the national chain thus they must report their financial statements to the national chain. In this report we will be focusing on income maximization as the main objective since the CFO is the primary user. We will also be considering income minimization and stewardship as secondary objectives to show opposite impacts. ISSUE 1 As a retail and commercial building supply dealer, Athina does business in cash and credit transactions. Customers are given up to 90 days to pay, and no customer has defaulted on any amounts they owe as of yet. As of December 31, 2017 customers owe $275,000 and costs associated with this revenue is $150,000 however Athina does not recognize these sales as revenue because cash has not been collected yet. In efforts to support the primary objective, the $275,000 should be recognized right away since all five IFRS criteria is met by doing so (Refer to Appendix 5). Once the sales have been made the risks and rewards of ownership are transferred to customers thus Athina no longer has control. The figure of the amount for revenue and cost is clear and collection is reasonable as Athina has mentioned no customer has ever defaulted. With all of this in mind, there is no reason Athina cannot recognize the $275,000 except that it will not meet their income minimization objective, but it will meet the CFO’s objective. Thus the $275,000 and the matching cost of $150,000 should be recorded right away. ISSUE 2 In 2017, it was discovered that certain assets purchased several years ago were not depreciated. It is inevitable to avoid expensing the depreciation cost of $175,000 for these assets, however in order to comply with the primary objective and still correctly report the depreciation expense in the 2017 financial statements, a solution has come to our attention. Generally, depreciation expenses with assets are recorded right away, yet Athina’s management failed to do so as an error and therefore this can be seen a usual/non-recurring item. The solution is to deduct the $175,000 as an unusual/non-recurring expense after a net income has been calculated for the business’s normal transactions (Refer to Appendix 1). Objectives of the investors will not be met with this solution as it maximizes income and pay out amount, but their method is still correct as well. ISSUE 3 In mid-2013 (assuming April), Athina obtained a five year dealership for kitchen cabinets, the contract was not renewed in 2017 but $210,000 were spent by Athina within 2013-2107 to set up displays to promote the line. $210,000 was capitalized and amortized over 10 years, and since it was discovered the products will not sell beyond April 2018, the unamortized portion was written off. The displays’ expense at December 31, 2017 becomes $105,000, meaning a remainder of another $105,000 is left to be expensed. (Refer to Appendix 2) In order to support the primary objective, and also provide a benefit for Athina’s management, the remaining $105,000 should have not been written off in 2017 but instead in 2018. This is beneficial in two ways, not expensing the amount in 2017 meets the CFO’s income maximization objective and for Athina’s management, because they are now aware they will not be able to sell the products beyond 2018, they should still use the remaining displays they have to sell as much of the product possible before April 2018 to attempt to cover or reduce the write-off cost. With this attempt, they are also not violating the matching principle in case they do make sales in 2018, then they will have the write-off cost to match with their revenue (Refer to Appendix 2). ISSUE 4 From examining the income statement and balance sheet for the year-end 2017, we learned that Athina purchased fairly old and poor condition heavy equipment at an auction for $225,000 and thus it needed repairs worth $125,000. These repairs prolonged its life for at least another ten years. The $225,000 was capitalized and $125,000 was expensed. Whether the $125,000 is a repair expense or betterment, is ambiguous therefore it is up to Athina to decide if capitalizing or expensing it is more beneficial to their reporting objectives. We as consultants believe, the repair cost of $125,000 should not have been expensed, but rather capitalized making the equipment worth $350,000 (225,000+125,000). Although the $125,000 was the cost to repair the old equipment, it was made to improve the asset and increase its useful life hence making it betterment. When this asset is capitalized, the cost would be spread out over ten years and just the yearly depreciation would be expensed. By eliminating the repair expense of $125,000, the net income and retained earnings are increased, subsequently, and comply with the CFO’s objective. Since income maximization is the primary objective, it is vital to capitalize the equipment for $350,000 and record a depreciation expense of $35,000 annually. Even though for Athina, the alternative of expensing the repair would mean a lower net income and compliance with their objective, it is a poor managerial decision because the equipment has more value now due to its extended life, which occurred only because of the repair and this must be acknowledged (Refer to Appendix 3). ISSUE 5 On July 15 2017, Athina signed a ten-year contract for $200,000 (non-refundable fee) with J. Alexander Songs Plumbing Ltd. to run their plumbing department. Capitalizing this asset is inappropriate because according to IFRS, it has no future benefit hence should be recorded as revenue. This revenue could be recorded in two ways. The first option is to recognize the $200,000 all at once or recognize it as unearned revenue and recognize the revenue over the term of the contract. Both are valid options and follow the five revenue recognition criteria set by IFRS (refer to Appendix 4). The alternative that maximizes the net income and meets the primary objective is recognizing all of $200,000 at once. Once the contract has been signed and the $200,000, non-refundable fee has been handed over to Athina, risks and rewards of ownership are transferred to J. Alexander Songs Plumbing Ltd. The figure of the amount for revenue and cost is clear and collection of the fee has already occurred, also displaying Athina no longer having control over the department. The second alternative meets the same criteria but does not match primary objective as you record portions of the $200,000 ($20,000 each year=$200,000/10years) as it is earned. Since the main objective is to increase net income, and all five revenue recognition criteria have been met under IFRS, there is no constraint forbidding Athina to record it in 2017. This is not ideal for investors, as they now have to pay a larger 25% from the net income, but legal for the CFO to request of Athina to report the total amount all at once. To conclude, the net income before unusual or non- recurring items after the recommendations have been implemented is $1,240,000. The payout to the national chain is $ 310,000 (25%) as opposed to the previous $2,500 (Refer to Appendix 5). This benefits the national chain in two ways- first, the increase of their net income and cash complies with the CFO’s main objective of increasing net income and secondly, an increase in revenue due to the success of Athina will attract other investors to invest in Athina, continuously making it a growing and prosperous business. Appendix 1 Entries performed by Athina Management: Dr. Depreciation Expense 175,000 Cr. Accumulated Depreciation 175,000 To record the depreciation expense Dr. Net Income175,000 Cr. Depreciation Expense175,000 To close the depreciation account for the period ending 2017 Recommended Entries by IV Consulting Group: Dr. Depreciation Expense 175,000 Cr. Unusual/Non-recurring Items 175,000 To record depreciation expense Dr. Net Income175,000 Cr. Depreciation Expense175,000 To close the depreciation account for the period ending 2017 Adjusted Net Income Before Unusual/ Non- Recurring Items (December 31st, 2017) $1,240,000 Athina’s Final Net Income After Unusual/ Non- Recurring Items (December 31st, 2017) $1,065,000 $1,240,000-$175,000= $1,065,000 Appendix 2 Cost of Displays: $210,000 (assumed to be bought April 2013, â€Å"mid-2013†) Number of Useful Years: 10 years Conjecture Residual Value: $0 Conjecture Depreciation Method: Straight-Line Depreciation Expense, Year Ended 2017= ($210,000/10 years) x 5 years = $105,000 Unamortized Amount, Year Ended 2017 = $210,000 -$105,000= $105,000 Write off Expense for 2017= $0 Write-off for 2018 (regardless of additional revenue made prior April 2018) = $105,000 Appendix 3 Correct Entry: Dr. Equipment 350,000 Cr. Cash 350,000 Record Purchase of Equipment Incorrect Entry: Dr. Equipment 225,000 Dr. Repair Expense 125,000 Cr. Cash 350,000 Record purchase of equipment Appendix 4 Criteria provided by IFRS for identifying the critical event for recognizing revenue on sale of goods is: a Significant risks and rewards of ownership have been transferred from the seller to the buyer—performance b The seller has no involvement or control over the goods sold—performance c Collection of payment is reasonably assured—collectability d Amount of revenue can be reasonably measured—measurability e Period/Product costs of earning the revenue can be reasonably measured (Freidlan, 171)1 Appendix 5 Net Income (December 31, 2017) $510,000 Adjustments Revenue from Builders and Contractors $275,000 Revenue: non-refundable contract fee 200,000 Cost of Goods Sold (150,000) Depreciation Expense Reversal, considered a unusual or non-recurring item 175,000 Write-off Reversal 105,000 Repair Expense Reversal 125,000 Net Income Before Unusual or Non- Recurring Items (December 31, 2017) $1,240,000 Payout to National Chain (25% of Net Income) 310,000 Unusual or Non- Recurring Items Expense (175,000) Net Income After Unusual or Non- Recurring Items (December 31, 2017) $1,065,000