Management Accounting for Business Decisions Essay

Management Accounting for Business Decisions - Essay Example In the case of CoolSchool and Scrubs, differences in operations present the greatest challenges to the whole merger. The new company resulting from the merger will have new dynamics and set of accounting challenges which must be addressed in order to ensure success (Bierman 2010). CoolSchool supplies school uniforms at the beginning of the school year and the number of uniforms is based on the previous year’s enrollment. It is important to note that despite the merger, there will still be an important need to ensure that uniforms are supplied to the schools every year and on time. In addition, it is difficult for schools to provide the exact number of uniforms they shall need. In this respect, it becomes necessary for the company to continue its present production method which uses estimates from the previous year. However, this can be further improved to enhance accuracy. Since CoolSchool has supplied uniforms to schools for a number of years, it has records on the supply for every year. By using the record, the new merged company can extrapolate and estimate the enrolment rate in the coming year. Production of uniforms will then be based on the extrapolated figure which will be fairly accurate than using the enrolment for the previous years (Brush 20 08). Regarding hospital uniforms, the new company will easily predict the number based on the staff numbers previously used by Scrubs. Considering the accurate production in this regard, it is important that the new company produces a large amount of uniforms for 8 months. Producing large numbers of uniforms on a single occasion helps the company to enjoy the economies of scale associated with large scale production. In addition, hospitals will always require new uniforms and the company should not therefore worry about any excess inventory (Gleich 2010). Producing a large amount of hospital uniforms at one time will help the company in creating

Legal Framework of Business Essay Example | Topics and Well Written Essays - 1500 words

Legal Framework of Business - Essay Example rities and Futures, Commission (SFC), the Office of the Commissioner of Insurance (OCI) and the Mandatory Provident Fund as the principal regulatory authorities and the legal bodies in Hong Kong to regulate banking, securities and futures, insurance and retirement schemes industries respectively and finally the Hong Kong's Prevention of Bribery Ordinance to check corruption in business transactions. There are, however, blames hurled on the legal systems not to prove adequate to support the image of Hong Kong to be the international center of commerce the major being the laws on labor that can't protect them from being exploited. Hong Kong is Asia's main trading hub and one of the world's most open economies.. There are simple legal framework, soft taxation, almost no customs duties and no non-tariff barriers. ... (Hong Kong Business) by Christine Genzberger - 1994 Legal Framework for e-commerce: Electronic Transactions Ordinance in 2000 was promulgated to provide legal framework to e-commerce in Hong Kong.1. This ordinance was aimed to promote the legal framework and trusted environment for the conduct of electronic transactions in the country.. (PP89 90AIC Research and Public Policy Series) Internet fraud is becoming a common problem today. Legal problem comes while tackling this issue because of multiplicity of rules present in various jurisdiction and also that these rules are complex contradictory and not clear to be interpreted easily. Hong Kong has its own criminal laws pertaining to misuse of computers under section 85 of the Crime Ordinance (cap.200).2 Offence of falsification of bank computer records carries a penalty of life imprisonment. 10 year sentence may be imposed for the offence committed for false accounting by falsifying computer records under section 19 of the Theft Ordinance (cap 210).3. There are other provisions of thes e laws to cover damage to computers and unlawful interference with computers ( Urbas 2001) PP89 90 AIC Research and Public Policy Series) Voluntary recognition system: Hong Kong is the only country in Asia to have voluntary recognition system applicable on all Certification Authorities (CAs). Only those who have achieved certain objective standards are recognized. Activities of CAs and their relationship with their clients are, however, governed by common law. The director of Information Technology services has power to revoke or suspend the recognition of a CA if it fails to operate in accordance with the 'certification practice statement' or fail to