Web Development Terminology
How to create a secret book?
All secrets are created by the following methods.
1. The valuation of assets. Times below cost or market value of their shares in such investments, trade, etc..
2. By not writing the value of assets at prices which have disappeared permanently. up.
3. By creating too much for bad debt reserves and doubtful or discount on sundry debtors.
4. By that, too much deterioration in fixed assets.
5. The goodwill write-down to less.
6. By omitting some of the assets from the balance sheet total.
7. The change in capital expenditure and income accounts make the show. Value of the assets will be lower than their true value.
8. By overvaluing liabilities.
9. The total debt to lie.
10. The show is a debt obligation that occur.
Object Creation secret reserves.
1. We reserve the secret financial support. Concern of the loss can be made good by not disclose the place of shareholders and others. This will allow concerns remain strong despite the financial period of the illness.
2. May be best for equalization of dividends, thereby maintaining its financial stability.
3. Margin will be used for payment of dividends. Remain in business and increased working capital of the Company.
4. All confidential data is created to hold the progress of the company from competitors. If as a practical expression of the possibility that companies may have more competition in the field and bring it into competition with it.
Earnings.
Disruption. All for secret.
1. Balance sheet does not show a true and fair view of the financial affairs of private concern, if book building and maintaining. At the same time profit and loss account is not the correct result from excessive provision for depreciation or reserve may be made to create it.
2. Secret reserve may be utilized by management to conceal the weakness of their term of mismanagement. May conceal losses caused by mismanagement or negligence or even hedge risk.
3. If fixed assets are undervalued and to create a secret reserve power if the company can not claim the full value of assets as insurance companies. Will pay the book value of assets destroyed or damaged and therefore cause the loss of the company. .
4. By creating secret reserves and reducing dividends. Directors may indulge in speculation in its shares.
5. Shareholders of the Company as dividends, less blood in your account to create secret reserves.
6. Because creating secret reserves in stock market value of the minimum.
The author is an engineering graduate, B.E.(Hons), and is managing his own software development firm, HiTech Computer Services, that mainly deals in accounting, billing and inventory control software for traders, industries, business houses, hotels, hospitals, medical stores, newspapers, magazines, petrol pumps, automobile dealers, commodity brokers and other business segments, website and web application development for business. The software are available both for intranet and internet. These software are available for download from the website:
Evaluation version accounting software download is available at http://www.hitech-on-web.com/p10.asp
Copy of the article and full Financial Accounting Primer or Tutorial is available at http://www.hitech-on-web.com/Secret_Reserves.asp
Visit HiTech Computer Services at http://www.hitech-on-web.com/
CIS 195 Mid-term Review Part 2 of 3
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