Animated Coca Cola Powerpoint Template 01

Animated Coca Cola Powerpoint Template 01

• 1.
  Managerial Finance P ro v i d e d b y G r o u p B 1 . I b ra h i m R a a fa t Wa l y 2 . A h m e d A b d e l ra h m a n 3 . E n g y A b d e l ra h m a n 4 . E s ra a E l s ay e d 5 . M o h a m e d H a m d y S o l i m a n 6 . A m a ny M o h a m e d
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  Introductions 2 • Cost ofequity new property project calculation • Average Beta calculation • Variance for EGX30 • Co-Variance for Palm hills, Sodic, Madenat NASR, Masr Elgededa • Risk-free rate after tax • Market return
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  Variance for EGX30 usingthe below function for the change % row EGX30 3
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  FR 4 CO variance forprojects change of price % and the % change of price of EGX30 using the below function Palmhills Sodic Madenet nasr Misr Elgededa Var EGX30 COVAR PHDC COVAR OCDI COVAR MNHD COVAR HELI 0.00016765 0.000192 0.0000789 0.000184316 0.000231602 Beta 1.144391 0.470491906 1.09940905 1.381462655
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  FR 5 Beta calculation perproject • Beta = COVAR/ VAR • Palmhiills = 1.144390774 • Sodic = 0.470491906 low risk • Madenet Nasr = 1.09940905 • Masr Elgededa= 1.381462655 High Risk
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  FR Techniques of creative accounting Creativeaccounting is actively applied in six areas. The first area is regulatory flexibility, whereby changes in accounting policy are permitted by accounting regulation. For example, IAS permits carrying non- current assets can be recovered at either revalued amount or depreciated historical cost in asset valuation. The Second area is the dearth of regulation by which some accounting treatments might not be fully regulated as there are few mandatory requirements. The third area is management has a large extent of estimation in discretionary areas, such as assumption in bad debts provision. Fourthly, some transactions can be timed to show the desired appearance in accounts. For example, the manager is free to choose the timing to sell the investment just to increase earnings in the accounts. Fifthly, to manipulate balance sheet amounts by using artificial transactions. Last but not least, by reclassification and presentation of financial amounts through balance sheet manipulation in order to smooth financial ratios and also based on a cognitive reference point in financial numbers’ presentation. 6
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  FR Using of CreativeAccounting Creative accounting is a method used to make or interpret accounting policies falsely to misuse the accounting techniques and standards being set by the accounting bodies. It is an exploitation of loopholes in our accounting system and audit system after the accounts are finalized. Creative accounting plays a significant role in financial reporting but it has been negatively correlated which means more managers involved in it may decrease the value of financial information, this study aims to shed light on the impact of creative accounting ethics techniques on the reliability of financial ... 7 Misstating revenue Messaging expense Concealing bad news Misstating assets Methods of creative accounting
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  FR Advantages of CreativeAccounting • Creative accounting helps a business to set the required parameters, which is practically impossible. The business can show a smooth and good growing graph. In order to attract investors, the management adopts this technique to show steady profits and good revenue. 8 • Creative accounting is a set of opportunistic accounting practices deliberately developed by Management in order, without altering the composition of the Equity, to issue Financial Statements that provide an image of the company similar to that desired by Management, taking advantage of the explicit or implicit flexibility that allows accounting regulations. • Reduce assets such as inventories, customers or fixed assets with excessive depreciation or provisions. • Reduce inventory with changes in valuation criteria. • Reduce reserves and/or the result for the year. • Hiding sales or raising expenses to reduce profit.
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  FR Disadvantages of CreativeAccounting 9 • Reputational risk: In the long run, in case if this is disclosed that the company does a creative accounting practice, then the expectation from the company by their clients will also be at risk; thus, the company may lose its business and dearly earned a reputation • Creative accounting plays a significant role in financial reporting but it has been negatively correlated which means more managers involved in it may decrease the value of financial information, this study aims to shed light on the impact of creative accounting ethics techniques on the reliability of financial
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  FR 10 Conclusion Creative accounting isan accounting practice that helps the company deviate from the profits and revenues for the year by following rules and regulations. It is a skill that experts use to manipulate company accounts. The experts best handle the loopholes in the system, and the method should be ethical; otherwise, it can be a severe problem for the company’s management. The most important thing here is that investors should be cautious while choosing investment companies. They should know the financial arrangements, which are possibly done by understanding the notes to the accounts. The management should ask about any suspicious item, and if the management cannot answer the query, the investor should not invest their money in these bogus companies.
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  FR 11 Examples of CreativeAccounting Booking less expense Wrong estimation of inventory in stores Manipulating revenues and sales figures Failures to make proper contingent liabilities Lowering personal liabilities of company
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