ICBC ordered to pay back millions to motorists, Accounting Error of over $100 million

Posted by & filed under Accounting Principles.

Accounting error B.C. Transportation Minister Todd Stone says he is “angry” after learning that an ICBC (British Columbia Insurance Corporation) computer mistake led to billing errors totalling an estimated $110 million in optional insurance coverage. The Crown corporation estimates it owes its customers $36 million and an additional $3 million in interest for overcharging them…. Read more »

SeaWorld stock makes a splash in 1st day of IPO

Posted by & filed under Advanced Accounting, Financial Accounting, Intermediate Accounting.

Stock rises 19.6 per cent in Friday afternoon trading on New York Stock Exchange SeaWorld Entertainment Inc. made a splash Friday in its first day of trading on the New York Stock Exchange. Shares of the owner of theme parks famous for water shows featuring killer whales and dolphins jumped $5.29 US, or 19.6 per… Read more »

Changes to the QST System in 2013

Posted by & filed under Canadian Economy, Taxation & Planning.

New method for calculating the QST As of January 1, 2013, the QST will be calculated on the selling price not including GST. However, to ensure the total taxes payable remain the same, the QST rate will be increased to 9.975%. Calculating the Taxes Currently, GST and QST are collected on most goods and services… Read more »

Donated Inventory

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Intermediate Accounting, Video Updates.

Over the next five years, Wal-Mart plans to donate about 1.1 billion pounds of food to food banks and provide $250 million to help them buy refrigerated trucks, improve storage and develop better logistics. The plan to contribute $2 billion in cash and food to the nation’s food banks is considered to be one of… Read more »

Financial Instrument Accounting

Posted by & filed under Accounting Principles, Advanced Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Intermediate Accounting.

On Wednesday, May 26, 2010, the FASB released an exposure draft for the purposes of improving accounting for financial instruments. The new rules, projected to take effect in 2013, incorporate both amortized cost and fair value information about financial instruments held for collection or payment of cash flows. Questions: 1. According to the article, how… Read more »

A New Twist for Job Seekers

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, IFRS, Intermediate Accounting, International Accounting, Managerial Accounting.

Unemployed Individuals can increase their attractiveness to prospective employers by knowing about  certain tax breaks that employers can secure by hiring them. One group , National Tax Credit Group, LLC, is promoting this advantage by creating a “Tax Credit Card” which they issue to prospective employees after screening them for hiring credit eligibility. This article… Read more »

Tighter Regulations on Swipe Fees

Posted by & filed under Accounting Principles, All Articles, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Intermediate Accounting.

On May 13, 2010, retailers won a victory over the fees they pay to banks for credit cards. An amendment by Sen. Richard J. Durbin is just one more element of the financial regulation overhaul currently underway the Senate.  The measure allows stores to give customers discounts for paying with cash or using cards with cheaper… Read more »

Accounting for Security Deposits

Posted by & filed under Accounting Principles, All Articles, Financial Accounting, Financial Reporting and Analysis, Intermediate Accounting, Video Updates.

A security deposit is money paid by the tenant to the landlord. This deposit protects the landlord if the tenant vacates without making required payments or damages the rental property. If the tenant gives proper notice and vacates without owing any rent or damages, the landlord must return the security deposit to the tenant in… Read more »

Payroll Fraud

Posted by & filed under All Articles, Fraud Accounting.

Paul McKunes, owner of M & M Equipment Services, in Ashland, Massachussets, pleaded guilty on January 15, 2010, to falsifying payroll records at his business so he could pay less in workers’ compensation insurance and taxes.  According to records, McKunes owed the state’s Unemployment Assistance program $21,180 in unpaid assessments and failed to withhold more… Read more »

First Twitter, Now Credit Card Exchanges for Everyone

Posted by & filed under All Articles, Financial Accounting.

First, Jack Dorsey co-founded Twitter in 2006 and now he wants to change the way we exchange money. Dorsey is leading a startup company called Square that is a tiny credit card terminal that plugs into an iPhone (and soon it will work on Google Android software), allowing small vendors and even individuals to complete… Read more »