1) Global Business Network LLC, is a Oman based consultancy firm in Muscat. The company has the following cases related to the financial reporting; a) Omantel company showed an increase in earnings per Share (EPS) from OMR. 0.350 to OMR. 0.650 in 2019. However, the company forgot to disclose this information in its annual report.
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- ) Global Business Network LLC, is a Oman based consultancy firm in Muscat. Thecompany has the following cases related to the financial reporting;a) Omantel company showed an increase in earnings per Share (EPS) from OMR. 0.350to OMR. 0.650 in 2019. However, the company forgot to disclose this information in itsannual report.b) Oman Flour Company provides its top managers with bonus on the basis of reportedprofit. During 2018 the management showed a decline in the final profit. In order tocontinue paying bonus the company attempt to adopt different accounting policies thatresulted in higher profits.c) In 2019, Zain Oil company was being sued for damages the seaside because itschemical material dropped to the sea. The settlement of which could threaten thefinancial stability of the company. The company decided to choose non-disclosure withthe hope that its lawyer may win the case at court.d) In 2018 AXA Company faced serious liquidity problems. Management decided towindow dress the…Brodaddy LLC is a leading software solutions company in Oman, established in the year 2013. The company has branches in Dubai, Qatar and Malaysia. The company has received "the Malaysia best employer award" in the year 2020. Moreover, the company has reported 3% growth in their consolidated income during the first quarter of 2021. However, the internal auditing department of the company has raised concerns about the Business and financial risk of the companies. As a result, the board of directors has instructed Mr. Aslam Ahmed to analyse the operating, financial and combined leverages of the company to take necessary steps to minimize the overall risk. Data Extracted from the financial reports of the companies are given below Item Amount / Quantity Sales 150,000 OMR Unit Sold 1000 Nos Variable cost 70 OMR Fixed Cost 30,000 OMR Interest Expenses 10,000 OMRFollowing business details of Al Maha Corporation for the year 2015 is given in the below table: Business Details Staff salary for the month of December 4,000 due OMR 1,500 Tax due on 31s December 2015 Loss of goods by theft Sales order received from a customer 2,200 which need to be delivered on 15th March 2016 Purchase of goods How much amount of income a manager can transfer from the future period to the current period, which would benefit the manager to have higher commission? a) OMR 7,000 b) OMR 4,000 c) OMR 6,20O d) OMR 7,700 500 800
- Wipro technologies LLC is a software developing company. The company publishes its annual reports at the end of every year (i.e., 31st December) based on international accounting standards. Due to unusual changes in the organization structure and chief executives, the Wipro Company waited to report its interim results until nine months after the accounting period. Considering the above situation, which one of the following qualitative characteristics is ignored by Wipro Technologies LLC in post-2020 financial reporting? A- Understandability B- Comparability C- Timeliness b-VerifiabilitySoftech LLC is a leading software solutions company in Oman, established in the year 2005. The company has branches in Dubai, Qatar and Malaysia. The company has received “the Malaysia best employer award” in the year 2020. Moreover, the company has reported 5% growth in their consolidated income during the first quarter of 2021. However, the internal auditing department of the company has raised concerns about the Business and financial risk of the companies. As a result, the board of directors has instructed Mr. Musharraf Ibrahim to analyse the operating, financial and combined leverages of the company to take necessary steps to minimize the overall risk. Data Extracted from the financial reports of the companies are given below Item Amount / Quantity Sales 100,000 OMR Unit Sold 1000 Nos Variable cost 40 OMR Fixed Cost 27,000 OMR Interest Expenses 3,000 OMR Additional Information The corporate tax applicable for the previous assessment year…Mr. Ahmed is a fresh accounting graduate. He has been employed by a big industrial company in the country; (Prime Company). The company is specialized in manufacturing primary care equipment for various entities in the country. The company is focused on the local market with about 90% of the sales are made for local entities. The company is listed on the local securities market. It is the end of 2019 and Mr. Ahmed was asked to calculate the basic and diluted earnings per share figures for the company. Given the importance of the earnings per share figure to the company and the market, as a performance measure, Mr. Ahmed was keen to do the job properly. Therefore, he started gathering relevant information to be able to calculate these two figures. The following is a summary of the information he gathered: 1. There were 2,500,000 shares outstanding at the beginning of 2019. 2. The company has preference share capital of $6,000,000 at the beginning of 2019. These were 9%, cumulative,…
- Dolente Ltd is a small company which designs, manufactures and sells innovative electronic instruments. The directors of the company have discussed the financial statements prepared for the year ended 31st March 2020 and have made the following remarks.“We are surprised to see that we have a loss for the year as our bank balance seems to be healthy and has increased from the 2019 figure”.The following are the financial statements of Dolente Ltd for the two years ended 31st March 2020. Required: Prepare a cash flow statement for Dolente Ltd for the year ended 31st March 2020.Muffins LLC is a leading software solutions company in Oman, established in the year 2003. The company has branches in Dubai, Qatar and Malaysia. The company has received “the Malaysia best employer award” in the year 2020. Moreover, the company has reported 3% growth in their consolidated income during the first quarter of 2021. However, the internal auditing department of the company has raised concerns about the Business and financial risk of the companies. As a result, the board of directors has instructed Mr. Miras Ahmed to analyse the operating, financial and combined leverages of the company to take necessary steps to minimize the overall risk. Data Extracted from the financial reports of the companies are given below Item Amount / Quantity Sales 200,000 OMR Unit Sold 1000 Nos Variable cost 70 OMR Fixed Cost 30,000 OMR Interest Expenses 10,000 OMR Additional Information The corporate tax applicable for the previous assessment year was…Muffins LLC is a leading software solutions company in Oman, established in the year 2003. The company has branches in Dubai, Qatar and Malaysia. The company has received “the Malaysia best employer award” in the year 2020. Moreover, the company has reported 3% growth in their consolidated income during the first quarter of 2021. However, the internal auditing department of the company has raised concerns about the Business and financial risk of the companies. As a result, the board of directors has instructed Mr. Miras Ahmed to analyse the operating, financial and combined leverages of the company to take necessary steps to minimize the overall risk. Data Extracted from the financial reports of the companies are given below Item Amount / Quantity Sales 200,000 OMR Unit Sold 1000 Nos Variable cost 70 OMR Fixed Cost 30,000 OMR Interest Expenses 10,000 OMR Additional Information The corporate tax applicable for the previous assessment year was…
- Here is the question Massa Company, which has been operating for three years, provides marketing consulting services worldwide for dot-com companies. You are a financial analyst assigned to report on the Massa management team’s effectiveness at managing its assets efficiently. At the start of 2019 (its fourth year), Massa's T-account balances were as follows. Dollars are in thousands. Transactions for 2019: Provided $59,700 in services to clients who paid $48,800 in cash and owed the rest on account. Received $5,800 cash from clients on account. Received $520 in cash as interest revenue on investments. Paid $36,000 in wages, $12,900 in travel, $6,800 in rent, and $1,300 on accounts payable. Received $1,200 in cash from clients in advance of services Massa will provide next year. Received a utility bill for $690 for 2019 services. Declared and immediately paid $370 in dividends to stockholders. The T-account balances were as follows. (see attached 1) Here is the question: Calculate…Refer to the company’ operating results reflected in Table 1. Prepare a brief report (not more than 250 words) to AEC’s senior management to explain the fluctuations in net operating income from 2019 to 2021.Mathys Inc. has recently hired a new independent auditor, Karen Ogleby, who says she wants “to get everything straightened out.” Consequently, she has proposed the following accounting changes in connection with Mathys Inc.'s 2020 financial statements. 1. At December 31, 2019, the client had a receivable of $820,000 from Hendricks Inc. on its balance sheet. Hendricks Inc. has gone bankrupt, and no recovery is expected. The client proposes to write off the receivable as a prior period item. 2. The client proposes the following changes in depreciation policies. a. For office furniture and fixtures, it proposes to change from a 10-year useful life to an 8-year life. If this change had been made in prior years, retained earnings at December 31, 2019, would have been $250,000 less. The effect of the change on 2020 income alone is a reduction of $60,000. b. For its new equipment in the leasing division, the client proposes to adopt the sum-of-the-years'-digits depreciation method. The…