Sunday, October 14, 2012

LIFO or FIFO? Which one is preferable?

In the inflationary situation which method of inventory valuation would you prefer, LIFO or FIFO? 

In the accounting procedure of a firm’s inventory valuation there are two well known methods, which are widely used. The methods are LIFO shortened for “Last in first out” and FIFO elaborated as “First in first out”. The consideration of any of these methods in the inventory valuation process affects not only the value of inventory but the entire procedure from the value of inventory to the income tax calculation is influenced.

What are the disclosures required for marketable securities?

For the marketable securities the following disclosures are required – 

  • Aggregate cost and market value of the separate portfolios as of the balance sheet date, with identification as to which is the carrying amount.
  • Gross unrealized gains or losses related to market value over cost or cost over market value for all marketable equity securities in the portfolio.
  • Net realized gain or loss included in income determination, the basis on which cost was determined and the change in the valuation allowance that has been included in the equity section of the balance sheet during the period and, when a classified balance sheet is presented, the amount of such change included in the determination of net income.

State the disclosures about fair value of financial instruments?

As part of its overall consideration of financial instruments, the FASB issued SFAs 107 (1991) on disclosures about the fair value of financial instruments. It requires that - 
Disclosure about fair value of financial instruments

“An entity shall disclose, either in the body of the financial statements or in the accompanying notes, the fair value of financial instruments for which it is practicable to estimate that value. An entity also shall disclose the method(s) and significant assumptions used to estimate the fair value of financial instruments.” 
For trade receivables and payables, no disclosure is required when carrying amount approximates fair value.

If you need you can find out who are the users of Financial Statements...

Who are the users of financial statements?

What are the objectives of financial statement analysis? OR,

Why is financial statement analysis important?

Financial statement is the art and science of detailed examination of different items. In the financial statements mainly balance sheet and income statements. The main objectives of financial statement analysis are to have an in-depth understanding of the financial information presented in different financial statements for decision making.

Wednesday, July 25, 2012

Formulas for Return of Securities

To compute the Holding period return, holding period yield, expected rate of return, annual HPR, arithmatic mean, geometric mean, standard deviation for historical returns as well as future returns we have extracted some formulas from Reilly/Brown's "Investment Analysis and Portfolio Management". These formulas are as follows -

Tuesday, July 10, 2012

Reconciliation of Variable and Absorption costing

You might have idea about prepartion of income statement under Variable costing and Absorption costing. If you are seeking the format for reconciliation of the net operating income under variable and absorption costing then you should have a look at below image -


Income Statement Under Variable Costing

I think you have passed the process of Unit Product Cost calculation. Therefore if you are keen to know about variable costing approach to prepare income statement then you should look at the image below -


Income Statement Under Absorption Costing

If you know How to compute Unit product cost? Then you should be looking for the format of calculating Income statement under Absorption Costing approach. Therefore you can look at the below image to have the format of the Income statement under Absorption costing method -

Format for computing Unit Product Cost

If you are looking for the format of computing Unit Product Cost of any product then you can have a look at the following format where we have arranged the format for both Variable costing method and Absorption costing method -


Sunday, June 24, 2012

Techniques to avoid interview mistake

Most often it is seen that people do some simple mistakes in interviews even though they did not know that they are making mistakes. But these mistakes can be avoided if interviewees follow some techniques. The techniques that might be helpful for the interviewees to avoid making mistakes in the interviews are as follows –
  • Arrogant Attitudes: Be especially careful about arrogance when you're interviewing with someone younger than you or if you're interviewing for positions that are a step or two down from your last role.

Tuesday, June 19, 2012

Techniques of Interviewing

If you are going to face the interview for the first time you might not know some basic things that are very much important to get a good job. So that in order to get a job you need to do well in the interview and this can be done by following some techniques. Let us see some of the best techniques that might help you to get good job in brief –

5 stages of interviewing process

Interview is very much important in case of selection of an employee of any organization again on the other hand it becomes important or the candidates to give interview because the organization they are applying for a job require it. Therefore for the sake of both sides of importance of interview both the parties need to know the process of interview. 

Here are the 5 Stages of the Interviewing Process:

State the purposes of Interview

The interview is one of the most important phases of the job search process. Your resume and cover letter are simply tools to get you to the interviewing stage. The interview is your opportunity to convince an employer that you are the right person for the job.
As the interviewee, the main purposes of the interview are to:

  1. Communicate information about yourself, your experience and your abilities,
  2. Seek further information about the position and the organization,
  3. Evaluate the match between your needs and what the job offers

Types of Interview described in 10 ways

Types of an interview that can be defined in 10 different ways
  1. Structured Interview: Here, every single detail of the interview is decided in advance. The questions to be asked, the order in which the questions will be asked, the time given to each candidate, the information to be collected from each candidate, etc. is all decided in advance. Structured interview is also called Standardized, Patterned, Directed or Guided interview. Structured interviews are preplanned. They are accurate and precise. All the interviews will be uniform (same). Therefore, there will be consistency and minimum bias in structured interviews.

Tuesday, June 12, 2012

What is Interview?

A somewhat formal discussion between a hirer and an applicant or candidate, typically in person, in which information is exchanged, with the intention of establishing the applicant’s suitability for a position.
  • An interview is a conversation between two or more people (the interviewer and the interviewee) where questions are asked by the interviewer to obtain information from the interviewee.”
– Wikipedia.org 

Process to make a test program effective

If we look for a simpler process for developing a test program for selection then I would like to consider the following process to be effective –
  1. Based on an overall quality risk management strategy, select a subset of test suites from the test cohort for this test cycle.
  2. Assign the test cases in each test suite to testers for execution. 
  3. Execute tests, report bugs, and capture test status continuously, 
  4. Resolve blocking issues as they arise. 
  5. Report status, adjust assignments, and Reconsider plans and priorities daily. 
  6. Manage the test cycle end game, eliminating unrealizable tests in reverse priority (lowest first, highest last) order, 
  7. Report test cycle findings and status

Definition of Selection Ratio.

Definition of Selection ratio:
The term “Selection ratio” refers to the ratio of the number job positions to the number of job applicants and is used in the context of selection and recruitment.
It is typically assumed to be a number between 0 and 1 where a number closer to zero implies that there are many applicants for any one position.

What is Test? State different types of tests in selection procedure.


Definition of Test:
Employers often use tests and other selection procedures to screen applicants for hire and employees for promotion.
The use of tests and other selection procedures can be a very effective means of determining which applicants or employees are most qualified for a particular job. However, use of these tools can violate the federal anti-discrimination laws if an employer intentionally uses them to discriminate based on race, color, sex, national origin, religion, disability, or age (40 or older). Use of tests and other selection procedures can also violate the federal anti-discrimination laws if they disproportionately exclude people in a particular group by race, sex, or another covered basis, unless the employer can justify the test or procedure under the law.

Find out the differences between Test Validity and Test Reliability.


Test Validity vs. Test Reliability:

Whenever a test or other measuring device is used as part of the data collection process, the validity and reliability of that test is important.  Just as we would not use a math test to assess verbal skills, we would not want to use a measuring device for research that was not truly measuring what we purport it to measure.  After all, we are relying on the results to show support or a lack of support for our theory and if the data collection methods are erroneous, the data we analyze will also be erroneous.

What is Reliability Test? What are the sources of reliability test availalbe?

Reliability of test:

Reliability is synonymous with the consistency of a test, survey, observation, or other measuring device.  Based on the inconsistency of this scale, any research relying on it would certainly be unreliable.
A reliability coefficient is often the statistic of choice in determining the reliability of a test.  This coefficient merely represents a correlation, which measures the intensity and direction of a relationship between two or more variables.

What is Validity Test? What are the steps involved in Validity Test?

Validity test:

Test validity concerns the test and assessment procedures used in psychological and educational testing, and the extent to which these measure what they purport to measure. “Validity refers to the degree to which evidence and theory support the interpretations of test scores entailed by proposed uses of tests.”Although classical models divided the concept into various "validities," such as content validity, criterion validity, and construct validity, the modern view is that validity is a single unitary construct.

What are the two objectives of Selection? State the reasons behind conflict in them.

Two objectives of selection

As selection of proper candidates for any organization is very much important for the organization’s success, therefore every selection program should have its objectives. Actually the selection programs should have two objectives. The objectives are as follows –

Monday, June 11, 2012

Find out the relationship among selection, recruitment and job analysis.

Relationship among selection, recruiting and job analysis 

In the human resource planning discussion we can see that HR planning process determines the specific number of posts to be filled. We can also see that job analysis forms part and parcel of the HR planning process. Job analysis gives one a clear understanding of the nature and requirements of the post to be filled. This means that, before any advertising campaign can be put into operation, one has to make sure that the posts are properly analyzed to ensure that recruitment attempts are non-discriminatory and that recruiting takes place in line with the inherent requirements of the relevant post. Completion of the HR planning process and job analysis processes provide an overall impression of the post. In other words, one now has the job profile at one’s disposal. This job profile describes the post in terms of the task requirements and the requirement for the person filling the post. When you have this broader picture of the post, the recruitment process can begin.

Find the differences between Recruitment and Selection.

Differences between Recruitment and Selection:

Though recruitment and selection are the functions of Human Resource Management but there remain some differentiating factors that discriminate between these two terms. Here are some differences enlisted that differentiate recruitment and selection –

State the process of selection.

Process of Selection:

In order to recruit the best candidates in vacant jobs the human resource managers need to follow some step by step procedure. The selection processes across organizations differ greatly. Here is a typical selection process model presented below –

What is Selection?

In the normal sense we understand by selection the action or fact of carefully choosing someone or something as being the best or most suitable. We can also say that, Selection is a process of matching the qualifications of applicants with the job requirements; it is a process of weeding out unsuitable candidates and finally identifies the most suitable candidate. The objective of the selection decision is to choose the individual who can most successfully perform the job from the pool of qualified candidates.

Wednesday, May 09, 2012

Save the nature!

We have been thinking of providing lots of products and services for you out there. To minimize your time, cost and tasks. For this reason we have introduced a product few days back which included a Data Entry profile of more than 1000 entries. You can check them  back from here MCS C I. In our today's post we are back with a product that is completely heterogenious from the aforementioned product.

Our today's post offers you with a logo to save the nature. If you are a website or company related with environmental issues or working for environment savage then let me help you out with my creation here -


If you loved this product please do not forget to ping me @Email

Thanks for your time.

Thursday, May 03, 2012

Microgeneration Certification Scheme-Consumer-Installer

We have recently upgraded to a new service diverting our thoughts from only serving the student to the services providing for the businessmen, market analysts, production managers in the real world and other market related personnel's. This service of ours includes data entry in a spreadsheet including more than 1000 company's profiles. Our information will help you reach these companies through their contact persons and so on.

We have designed the pricing plan of this spreadsheet for only $25 where as if anyone goes for outsourcing these information then they will have to pay out at least $50-$75 therefore if you need these data entry just ping us at Email.

Here is the snapshot of the spreadsheet below -

Wednesday, January 04, 2012

Draw a diagram of different types of strategy.

Types of strategy
The strategy can be subdivided into lots of categories. The Professor Md. Mohiuddin, University of Dhaka has prepared a diagram dividing the strategies into different parts. Here is the diagram of different types of strategy drawn by Mohiuddin Sir -




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