I can find nothing on this! It's making me crazy! I have a case study just like
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I can find nothing on this! It's making me crazy! I have a case study just like the last. I will upload the document you mad for me and the case study. Can you help me with the resources? The solution in my mind is: Because it is determined to be less than one percent, they total up the interest cost and accrue it pro rata by the years of the CD and make note on the financials, any adjustments are made in the following years financials with a subsequent note. But I don't know. The information is much more elusive than last time. Do you have time to do this by Friday?
Running head: RESEARCH CASE 2 1 Research Case 2 Kana Ng A&M CT RESEARCH CASE 2 2 Research Case 2 James Olds buys a four-year, $1,000,000 certificate of deposit from the Second National Bank. James will receive 5% interest in year 1; 5.5% in year 2; 6% in year three; and 6.5% interest in year 4. If James \"redeems\" this certificate before the maturity date, he would receive a cumulative 4.5% annual rate of interest of 4.5%. The Bank has ascertained that less than one percent of its depositors redeem their certificates before the maturity date. The bank asks its accountant how to accrue and measure such interest payment obligations. Kindly follow the guidelines in the same order. 1. Identify the issues: In this topic, you should explain about the actual problem faced by the company. Under this topic you have to first describe about the business nature that is \"Bo Broker Company charges a fee for bringing together the Acme Construction Company and the First Bank Company. The parties agree that Bo earns her fee when Acme and First \"agree\" to the terms of the construction mortgage\". The above mentioned point is essential to understand about the real issue. So mention in your own words about the nature of their business. Next explain about the revenue collection methods that is the four methods discussed in the case. Then mention about the problem that is the difficulty faced by the company in recording the revenue under each method briefly. All these points will cover the actual problem of the research. 2. Collect evidence: Under this topic first refer to the related accounting standards that is FASB, US GAAP related to the revenue recognition concept. Try to provide for some literary review that is some scholarly research paper about the revenue recognition. In this case, for each and every scenario first understands when the actual revenue is being generated and is being recognized accordingly provide for appropriate examples. In this case, you ensure that from auditor point of view that is which method will be appropriate under each scenario to record the revenues in the books. How it has to be mentioned? Try including the details to be mentioned in the notes (financial account notes). Try to search and get some companies who are into the same business line. Search for some brokerage firm. Analyse their financial recording practices that is how they are recognizing revenues and what method they are following. In this case, try to refer at least two to three companies from the same industry so that you will get an idea as how most of the company are recognizing the revenue. Provide in-text citation. 3. Evaluate the results and identifying the alternatives. Under this topic you have to evaluate each and every method of revenue recognition which was mentioned in the above topic. The previous topic will just provide for information about the recording method alone. In this you should analyse about both advantage and disadvantage of every recording method. This will enable you to understand which method will be more appropriate for the company to follow for its accounting purposes. If possible with your own understanding provide for some alternative methods for recognizing the revenue or new revenue collection method apart from the above mentioned four. Hint: In this case try to research about some company which has a different revenue collection and recognition method and mention that as your alternative method. In this case do not provide for in-text citation as this will be expected to be your own idea. (But this is for your benefit). Similarly, ensure that you don't mention about this company or method in the second topic. This should be completely new as you have asked to provide for an alternative. 4. Develop conclusion: Under this topic you have to make an elaborate discussion about the method which you will be recommending. In this case you should justify your answer as why you chosen this method? You have to discuss about the advantage of the method that you chose over the other methods. Try to justify the chosen method using the accounting standards that you discussed in the second topic. 5. Communicate results. Under this topic, narrate as what the company should do that is again mention the method that the company should follow, but do not copy paste the same sentence of topic four. Try to write the same point in a different manner. Explain as how the company has to make the final contract related to the revenue recognition so that it will be beneficial for the company. Finally, conclude by stating that \"My recommendation is....which will be beneficial for both business and will satisfy the accounting standard requirements\
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