Memorandum. Compliance with the GAAP Principles Coursework

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INSTRUCTIONS:

Answered | Verified A-average Rating

The purpose of this assignment is to analyze and review company report specifications. You will apply what you have learned in past principles of practice by completing one of the following options. The instructor will assign you a scenario that includes a corporation’s pertinent financial information.
Using your corporation’s information and what you have learned in this course, develop a memo to your client, using the outline presented. The memo should be 500-750 words and must include the following information:
1. Explanation of the taxpayer’s business and issue at hand (heading: Facts).
2. Explanation of the IRS rules regarding the matter (also part of Facts).
3. Tax laws and applicable court cases to support the deductions, where applicable (heading: Analysis).
4. Conclusion as to the recommendations to the company (heading: Conclusion).
The organization of the memo should present the headings in the following order: Facts, Conclusion, Analysis. The response should be formatted as a professional business memo to the client. Please save your assignment as a Word document with the filename: LastnameFirstInitial.ACC460.M.docx, where the M refers to Memo.
Option 1
Problem: Adapted from I.11-66 in the textbook.
Sonny Corporation has never been audited before the current year. An audit is now needed by a CPA because the company is expanding rapidly and plans to issue stock to the public. A CPA firm has been doing preliminary evaluations of the Sonny Corporation’s accounts and records. One major problem involves the valuation of inventory under GAAP. Sonny Corporation has been valuing its inventory under the cost method and no write-downs have been made for obsolescence. A review of the inventory indicates that obsolescence and excess spare parts in the inventory are two major violations of Accounting Periods and Methods. The CPA states that for GAAP the company will be required to write down its inventory by 25% of its stated amount, or $100,000, and charge this amount against net income from operations for the current period. Otherwise, an unqualified (i.e., a “clean opinion”) will not be rendered. The company controller asks your advice regarding the tax consequences from the obsolescence and spare parts inventory write-downs for the current year and the procedures for changing to the lower-of-cost-or-market (LCM) method for tax purposes. Sonny Corporation uses a calendar year for both book and tax purposes, and the date of your contact with the company is December 1 of the current year.
A partial list of research sources includes:
446 and 471
Secs. 1.446-1(e)(3), 1.471-2 and 1.471-4
American Liberty Pipe Line Co. v. CIR, 32 AFTR 1099, 44-2 USTC ¶9408 (5th Cir., 1944)
Thor Power Tool Co. v. CIR, 43 AFTR 2d 79-362,79-1 USTC ¶9139 (USSC, 1979)

CONTENT:

Answered | Verified A-average Rating

Memorandum
To:
From: Your Name
Cc:
Date: December 7, 2020
Subject: Compliance with the GAAP Principles

Facts
Sony Corporation’s business focuses on the production of electronic devices. It has a production line that focuses on various electronics, like smartphones and appliances. Accordingly, the main issue at hand involves the company’s inventory valuation under the GAAP. It was found out that rather than utilizing write-down processes for the valuation of its inventories, the company uses a cost method that could affect its financial reports, especially in obsolescence cases. It is also worth noting that the company uses the calendar year for its booking and taxation purposes.
Based on an initial review of its financial methods, it seems that it has two significant violations related to its methods and accounting period. Thus, addressing these so that the company can acquire an unqualified opinion is the primary purpose of this memorandum.

Analysis

An analysis of the case provided above shows that the best way to address the situation is by changing its methods to be in line with the Regulation Sections. Specifically, I would advise the company to shift its method of recording its inventory to the lower-of-cost-or-market (LCM) method for tax purposes. Under the law,

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Undergraduate
Instructions:
Philosophy Essay 2 Prompt: Explain your analysis on Descartes philosophy Explain what Methodological skepticism is (Use skepticism; doubt to explain things) (I don’t know the truth about anything) Explain Cogito ergo sum (I think) Solipsism (only my mind exists) Contents of the (his) human mind (imagination? finitude?) Why his idea of God is different (the idea of God cannot be separate from the existence of God) (How does Descartes explain the divine) Freedom (to think)+ ethics (how to think)+ will (natural moves)/inclination/habitual behavior Induction: The inference of a general law from particular instances. Uniformity of nature. Problem of induction= prejudice = Presupposition that a sequence of events in the future will always occur as they have in the past. Use Descartes Meditations on First Philosophy Meditation I: On What Can Be Called into Doubt Meditation II: On the Nature of the Human Mind, Which Is Better Known Than the Body Meditation III: On God’s Existence Meditation IV: On Truth and Falsity Meditation V: On the Essence of Material Objects and More on God’s Existence Meditation VI: On the Existence of Material Objects and the Real Distinction of Mind from Body Look up reference to these meditations online
6 pages / approx 1650 words
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APA
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Literature & Language
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Term Paper
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Undergraduate
Instructions:
Following the reading of the articles provided the discussion board, answer the following questions: 5a. In your opinion, what are the motivations to apply Artificial Intelligence (AI) in the field of healthcare? 5b. https://youtu(dot)be/hbqDknMc_Bo Describe 3 examples of data types that have been analyzed by AI systems 5c. Discuss two examples of mechanisms/devices that enable AI systems to generate clinical meaningful results 5d. Describe two disease types that the AI communities are currently tackling. 5e. Identify several future challenges in the implementation of AI in healthcare. * Provide academic or industry source to support your answers. *** Respond to one classmate, provide a substantial comment, and remember to address classmates by their first name.
2 pages / approx 550 words
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APA
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English (US) 🇺🇸
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Essay
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Health, Medicine, & Nursing
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Undergraduate
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