Posted by & filed under Accounting Careers, Marketing & Strategy, Student life.

Description: Bell has announced that starting next month, shows customers have recorded on their PVRs will disappear after 60 days. With the move to cloud storage, Bell clients have benefited by being able to watch their recorded shows on mobile devices. But, of course, all that cloud storage comes at a cost, and, it appears that Bell is looking to reduce this impact on its bottom line.

Date:  April 5, 2024

Source:  msn.com

 Link: https://www.msn.com/en-ca/news/other/pvr-pullback-bell-to-delete-viewers-saved-tv-shows-and-movies-after-60-days/ar-BB1l6W4x

Discussion points:

1) Do you and your friends at university make much use of the pvr? If so, will the move by Bell impact you?

2) If you were an accountant employed by Bell, and you were asked to calculate the potential savings of this new “60-day delete” policy, how would you approach it?

3) Page 1-3 of Wiley’s Financial Accounting: Tools for Business Decision-Making tells us of a number of Canadians who have studied as accountants and then gone on to broader careers. Which accountant listed there has a significant position with Bell Canada?

Posted by & filed under Data security, Student life.

Description: The University of Winnipeg has been the victim of a cyber attack, forcing it to cancel some classes and exams. The university reports that the attackers probably stole data from students – both current and former – as well as faculty and staff. The hackers may have targeted such details as social insurance numbers, addresses, and banking information. University of Winnipeg users have been warned to keep a tight watch for such things as another party trying to open a credit account with stolen information.

Date:  April 4, 2024

Source:  ctvnews.ca

 Link: https://winnipeg.ctvnews.ca/university-of-winnipeg-reveals-student-faculty-data-stolen-in-cyber-attack-1.6834039

Discussion points:

1) Are you a student at the University of Winnipeg who was impacted by this breach? If not, do you know a student or employee who may have been touched by this?

2) What can you do to protect your information from hackers?

3) On page 6-7 of Wiley’s Understanding Financial Accounting you will read of five limitations of internal control. Though the University of Winnipeg would have a system of internal control, including controls to protect data, which of these limitations do you think would have been the most likely to have permitted the data breach?

Posted by & filed under Managerial Accounting, Student life.

Description: The price of chocolate is heading up, adding particular pain to some Canadians as they mark the rising food prices in their budgets. Chocolate is made from cocoa, and the major growing region of West Africa suffered from drought and disease, reducing crop yields while essentially tripling the price. Olive oil is another case where bad weather sent harvests downward and prices up.

Date:  March 28, 2024

Source:  cbc.ca

 Link: https://www.cbc.ca/news/business/climate-change-inflation-1.7155668

Discussion points:

1) How many of the students in your class are chocolate lovers? How many have felt the cocoa crisis in their own spending?

2) Have you changed any of your shopping habits to deal with inflation of food prices?

3) Page 2-3 of Wiley’s Managerial Accounting: Tools for Business Decision-Making introduces us to the three broad classifications of manufacturing costs. If you were a chocolate producer, which of these three classifications would you record your cocoa purchases in?

Posted by & filed under Canadian Economy, Financial Reporting and Analysis, Student life.

Description: Carolyn Rogers of the Bank of Canada says Canada needs to improve its productivity, or we could be bracing for a tough period of inflation. Canada lags behind other parts of the world in our investments in plant and equipment, in addition to our comparative deficits in intellectual property. Scotiabank vice-president Derek Holt says that “because essentially workers are getting paid more for producing less, the combined effects . . . are inflationary.”

Date:  March 26, 2024

Source:  cbc.ca

 Link: https://www.cbc.ca/news/business/bank-of-canada-carolyn-rogers-productivity-1.7155832

Discussion points:

1) Were you familiar with Canada’s productivity problem? Does what you just read concern you as someone soon to graduate?

2) What can Canadians do to reverse the trend?

3) Chapter 13 of Wiley’s Financial Accounting: Tools for Business Decision-Making discusses the Statement of Cash Flows. Which section of the Statement of Cash Flows shows a company’s investments in both tangible and intangible assets?

Posted by & filed under Financial Accounting, Marketing & Strategy, Student life.

Description: On Tuesday McDonald’s announced they would be bringing Krispy Kreme’s tasty products to its American restaurants by 2026. It wasn’t long though before Canadian consumers found out it was no sweet deal here. Krispy Kreme has only 14 locations in Canada, so one may surmise that this would have been an excellent way to expand the market in this country. The article offered no explanation as to why this “doughnut deal glazes over other countries,” like Canada.

Date:  March 21, 2024

Source:  ctvnews.ca

 Link: https://www.ctvnews.ca/business/glazed-over-krispy-kreme-doughnuts-not-coming-to-mcdonald-s-in-canada-1.6826281

Discussion points:

1) How many students in your class have tried Krispy Kreme doughnuts? What were their overall impressions?

2) Why do you think McDonald’s made a strategic decision to “glaze over” other countries like Canada?

3) Pages 8-29 to 8-32 of Wiley’s Understanding Financial Accounting deal with accounting for intangible assets, including franchise rights that an owner of a local McDonald’s or Krispy Kreme would need to operate their business. How would you record these franchise rights on the financial statements?

Posted by & filed under Marketing & Strategy, Personal Tax, Student life.

Description: The Canada Revenue Agency (CRA) has launched a unique service to help educate Ottawa residents how to avoid being defrauded. Inside the city’s St. Laurent Shopping Centre mall shoppers will find the the ‘Be Smart Scam Escape Room’ where they can move about three rooms, answering various challenges that will boost their knowledge about scams. After a run in Ottawa, the promotion will move on to Montreal to continue to educate consumers.

Date:  March 22, 2024

Source:  ctvnews.ca

 Link: https://ottawa.ctvnews.ca/scam-based-escape-room-seeks-to-educate-canadians-on-fraud-1.6819010

Discussion points:

1) Have you or your classmates ever been scammed? What was the nature of the trap?

2) Why do you think the CRA became a lead agency in educating consumers about scams?

3) Figure 3.4 on page 3-14 of Wiley’s Auditing: A Practical Approach illustrates the fraud triangle. How might an understanding of the fraud triangle help protect you from scams?

Posted by & filed under Personal Tax.

Description: Very affordable and easy to operate software has made tax season a lot less tougher than it used to be in the good old days. The Canada Revenue Agency (CRA) has even compiled a list of free or inexpensive software choices to help you along the way. The CRA website is also an excellent source of information organized to help you find answers to your taxing questions. But CPA Brian Quinlan advises to watch out for “lifestyle tax” – big changes such as birth, death, marriage, divorce, and starting a business – as possible indications of when you may need some expert advice.

Date:  March 18, 2024

Source:  thestar.com

 Link: https://www.thestar.com/business/tax-return-software-makes-filing-easy-but-knowing-when-to-hire-a-professional-is-key/article_4e352f12-c054-5654-a794-cc54ff2fda69.html?source=newsletter&utm_email=760BE779956395955CFBBA5C497D22A3

Discussion points:

1) How do you do your tax returns? Do you have a favourite tax software program?

2) Does your post-secondary institution offer a course on personal taxation?

3) The Accounting Matters inset box on the bottom of page 12-7 of Wiley’s Financial Accounting: Tools for Business Decision-Making talks about using a Tax-Free Savings Account (TFSA) for non-strategic investments by individuals. How much can a Canadian contribute to a TFSA each year?

Posted by & filed under Financial Accounting, Marketing & Strategy, Student life.

Description: In January, European officials slapped a $1.8 billion Euro fine on Apple for its practices in the music streaming space. Now the U.S. government is going after Apple for anti-competitive practices in its smartphone business. The Justice Department stated that “Apple undermines apps, products, and services that would otherwise make users less reliant on the iPhone, promote interoperability, and lower costs for consumers and developers.” As might be expected, Apple disagreed strongly, declaring that “we innovate every day to make technology people love — designing products that work seamlessly together, protect people’s privacy and security, and create a magical experience for our users.”

Date:  March 21, 2024

Source:  cbc.ca

 Link: https://www.cbc.ca/news/business/us-justice-dept-apple-1.7150800

Discussion points:

1) How many of the students in your class are iPhone users? How many use another type of smartphone?

2) Do you see Apple’s strategy as anti-competitive?

3) Page 9-30 of Wiley’s Financial Accounting: Tools for Business Decision-Making discusses the value of brand recognition and trademarks, including Apple’s. What was the most valuable brand at the time the text was written? Can you find which is the most valuable brand today?

Posted by & filed under Data security, Financial Accounting, Student life.

Description: Friday was a tough day for McDonald’s restaurants in several countries as system issues brought business to a standstill. Very early Friday morning Brian Rice, McDonald’s Chief Information Officer, reported the chain “experienced a global technology system outage, which was quickly identified and corrected.” Temporary shutdowns appeared to be required in countries such as Japan and Australia, for example.

Date:  March 15, 2024

Source:  cnn.com

 Link: https://edition.cnn.com/2024/03/15/business/mcdonalds-systems-failure/index.html

Discussion points:

1) Did anyone on your campus experience a McDonald’s shutdown?

2) Do you carry some cash with you so that you can deal with tech emergencies like this when shopping?

3) Problem 6.12 A on pages 6-54&55 of Wiley’s Financial Accounting: Tools for Business Decision-Making asks for a comparison of McDonald’s liquidity and profitability with its competitor Wendy’s. Can you solve this problem with a group of your classmates?

Posted by & filed under Accounting Careers, Auditing, Canadian Government, Financial Accounting, Marketing & Strategy.

Description: The Halifax Chronicle Herald is one of Canada’s oldest continuously publishing newspapers, but its future may be in jeopardy following news that its parent company, the Saltwire Network, is seeking creditor protection. Saltwire owes about $94 million, with about one third of that on the books of its largest creditor, Fiera Private Debt. Stephen Kimber, who teaches in the journalism program at Halifax’s University of King’s College, believes that Saltwire made a strategic mistake following a lengthy employee strike by using the Fiera financing to purchase a wide-swath of regional newspapers. Saltwire also owes money to its pension plan as well as millions to the government of Canada.

Date:  March 11, 2024

Source:  cbc.ca

 Link: https://www.cbc.ca/news/canada/nova-scotia/saltwire-creditor-protection-newspaers-atlantic-canada-nova-scotia-1.7140521

Discussion points:

1) Do you have a local newspaper in your university town?

2) How do you think the decline of local newspapers will influence our democracy?

3) Pages 14-8 to 14-10 of Wiley’s Auditing: A Practical Approach discusses the Going Concern issues an auditor must consider. If you were the audit partner responsible for Saltwire’s financial statement audit this year, what type of disclosures might you consider?