The Differences Between Public and Private Accounting Research Paper

The Differences Between Public and Private Accounting - Research Paper Example According to Eisen, accounting refers to the â€Å"art of organizing, maintaining, recording, and analyzing financial activities† (1). The work of an accountant is to convert the accounting information into meaningful terms that are understandable and thus can be used by interested parties. An accounting system can use a simple check register or use the Microsoft Office Accounting which is more appropriate. Although accountants follow the same procedure as bookkeepers, an accountant can design a system that will capture all the necessary details that are needed in a business (Snyder Microsoft.com). Accounting systems are there to serve the control, management, and planning purposes of public finance administration. There are many reasons why accounting is said to be very vital. Just like the language of business, every business owner should be able to know the importance of accounting. Accounting is important as it helps in interpretation of companies operations and finances. Another reason why accounting should be considered important is the fact that it is usually considered as the guiding force to good management decisions in a particular company. No company management team can make sound decisions without knowing how the company finances are. It is important because it helps people to move to a next level in their plans for business. For example, with accounting, a business owner is able to avoid fraud that can cause the downfall of his or her businesses. 2. Differences between Private Accounting and Public Accounting There are many ways of classifying accounting and accountants but the most common method is whether it is private or public. Most college students get stranded on whether to start their career in private accounting or public accounting. Lecturers and university professors are of the opinion that public accounting is the best path to a successful accounting career. The advantage of following this route (public accounting) is there are hi gh salaries involved, more interesting and diverse work which gives an accountant the chance to get exposed to many other companies because his or her work is not limited to a particular company. For example, a public accountant performs three to four audits in different companies in one year, while the private accountant is usually stuck monitoring ledges for a year in one company (Vault Editors 91). Differences between the two types of accounting arise from the differences that exist in payments and accountants training, experience, working environment, social skills, and certification. 2.1 Payments Public accountants are paid directly for providing their services to businesses or individuals. According to Pride, Hughes and Kapoor, â€Å"a public accountant works on a fee basis for clients and may be self-employed or be the employee f an accounting firm† (446). In other words, the payment is made to the accountant himself and not via a company (Vault Editors 90). Private ac countants on the other hand are not paid directly as it happens in public accounting. Payments are made via the company a private accountant is attached to. Direct payment is not possible in this type of accounting (â€Å"What is the difference,† accountingtools.com). 2.2 Training A public accountant is trained on how to evaluate of accounting systems, gather evidence and make assessments to find out whether statements are correct (â€Å"

Cigars :: essays research papers

Cigars There are signs everywhere that cigars are becoming popular again. For example, you can't pass a magazine stand without seeing two or three new magazines glorifying the subject, and restaurants all over the country are devoting entire nights to "smoke dinners." So why is the cigarette still considered offensive and is generally scorned by all? This seems strange since cigars and cigarettes have so many things in common: both are made of tobacco, both are rolled into tube-like shapes, and both are smoked. However, it must be the differences that make the cigar so much more popular. Cigars are made from better quality tobaccos, cigars are hand rolled, and cigars have a more pleasing aroma. Both cigars and cigarettes are constructed of tobacco, but the care used in raising fine cigar tobacco is second to none. Only the finest leaves of the plant are selected. The drying and fermenting process is long (nine months for filler leaves and up to two years for wrapper leaves) and closely watched. Cigarette tobacco is grown for quantity; not necessarily for quality. No regard is given to the aroma and smoke of the different types of tobacco. The only type of tobacco grown is fast-maturing strains they can get to the market quickly. Careful and attentive raising is non existent. The leaves are quickly dried and thrown into boxes for shipment to the rolling factory. Fine cigars are hand rolled, whereas all cigarettes are machine rolled. Including the type and quality of the leaf, rolling is the ultimate judge of whether a cigar is good or bad. Cigar companies go to great pains to be sure they hire only the best "Torcedores" (cigar rollers). If a cigar is underfilled it will burn hot and harsh; if it is overfilled it is "Plugged" and will not draw. To be sure that the cigars are of the best quality, one out of ten is inspected (that's two out of each box). On the other hand, cigarette tobacco is first jammed into cutting machines where the leaves are shredded. Second, they go into the rolling machines where the shreds are perfectly measured out, rolled, and wrapped in paper. The only humans who come in contact with the tobacco, at this point, are the monitors who sweep up the debris and add it back to the hopper. Since machines are doing the work, there is very little quality control. Only one out of a thousand is checked (that's one cigarette out of fifty packs). Cigar smoke is savored and appreciated, while cigarette smoke is considered nasty and smelly.

Chinese Manufacturer Opens Assembly Plant in Europe

When I was looking for car manufacturers that have opened up assembly plants in Eastern Europe, I stumbled upon some very interesting articles with information I haven’t heard about before. The article of Spiegel, which is a highly reputable German newspaper, is about the Chinese car manufacturer ‘’Great Wall Motors’’ which has opened an assembly plant in Bahovitsa, Bulgaria recently in 2012. When I read this, I immediately realized that this process normally is the other way around, European car manufacturers who move their assembly plants to China due to lower labor costs.But in this article it depicts upon the opening of an assembly plant in Europe by a Chinese car manufacturer. As I kept reading the article I more or less understood why the Chinese manufacturer is making this move. Great Wall Motors is not the first Chinese car manufacturing company that wanted to open up assembly plants in Europe. There were several others; however they have fai led to meet stringent European safety standards.Other Chinese carmakers are also expanding into Europe, as they are buying assembly plants of European car manufacturers to improve the quality of their cars and therefore to meet the stringent European safety standards. This is a way for those Chinese car manufacturers to make progress in quality. So first of all, why in Europe? By producing in Europe, the cars that are produced no longer have to be exported from China to Europe and thus Great Wall Motors is circumventing EU import taxes and tariffs.Therefore, the cars that are produced in Europe are meant to be sold in the European market. This saves Great Wall Motors a lot of money. But then a second question arises; where in Europe? Great Wall Motors did not choose Bulgaria as location for their assembly plants because of its geographical location, but rather for their cheap labor. Bulgaria is the poorest country in the European Union, and therefore is the most attractive location to open an assembly plant because it also has the lowest wages and taxes.However, the labor force is considered as well educated and therefore ensures high productivity levels and operational performance. Another factor that made Great Wall Motors to relocate to Europe, is the fact that wages in China for factory workers have been rising the last few years, and that other car manufacturers have been relocating their assembly plants to countries in Eastern Europe to gain a more competitive edge in the European market. At first, they plan to sell its cars in Eastern Europe and expand later on into other EU countries.Another factor they do not mention in the Article but in my opinion is also highly relevant for this topic is the EU economic crisis. Due to the economic crisis, many people have lost their jobs and therefore have less money to spend. This can be seen as another reason why Great Wall Motors went to Europe because this is a way they can market their cheaper cars to the Euro pean consumers who are very price sensitive due to the economic crisis. This is an opportunity for foreign car manufacturers in general.To conclude, the tables have turned as it used to be European car manufacturers opening up assembly plants in China, and now it is the Chinese car manufacturers opening up assembly plants in Europe. This article resembles the reasons why this change has occurred and why Great Wall Motors has moved their production to the European continent. Article http://www. spiegel. de/international/business/cheap-labor-in-bulgaria-chinese-open-first-car-plant-in-europe-a-816851. html

The Economic Recession Of Italy - 1703 Words

Italy is a country governed by a Constitutional Republic and has a diversified industrial economy with developed infrastructure. The economy consists of a vast majority of small and medium sized businesses, with few large corporations; and according to the United Nations, citizens of Italy enjoy the 26th highest HDI (human development index), indicating that the country overall is healthy. And while Italy is the 8th largest economy in the world by GDP, at $2.129 Trillion, its economy has been sluggish since 2000 with real GDP growth rate of less than 1.5% every year, and shrunk almost 7% between 2007-2011. The country has seen its debt increase from 113 to 132 (% of GDP), as a result of an increase in doubt over the government’s ability to manage the economy. The Italian Government needs to enact fiscal reform to erase the need for deficit spending, increase the country’s growth rate, and advance their economy in the long run. The global economic recession of 2008 sho ok economies all around the world. Some of the largest countries saw a massive reduction in their GDP, and Italy saw its economy shrink 3%. Italy still hasn’t recovered from the hit it took in 2008, and it is still causing problems for the country. Italy’s debt actually isn’t their problem, but it is the root problem. Italy has carried debt to GDP ratios well above 100% for over 20 years, but only now are they having serious economic issues. The real problem has been GDP growth. Back in the booming 1990’sShow MoreRelatedA Brief Note On The United States, Italy, France, And Italy1158 Words   |  5 PagesFrance, and Italy. Especially Italy is well-known as a shelter for stateless refugees. Conversely, Syria is a well-known region where more than four million people are displaced from. 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