Accounting assigment (Depreciation Memo) Assignment

Accounting assigment (Depreciation Memo) - Assignment Example To get the depreciation amount, subtract the scrap value from the cost of the machine and then divide it by the useful life of the machine (Weil, Schipper, and Francis, 2012). This method is simple to use. Its calculations are easy as the same amount of depreciation applies for each year. There is, therefore, no need for recalculating the value again unless there is a revaluation of the asset. It is also easy to forecast future income since you already know what your depreciation will be (Weil, Schipper, and Francis, 2012). The method tends to ignore the fact that assets lose value faster during the first years of use. Since the method applies uniform depreciation on the asset throughout its life, it may give a higher book value than the actual value. In later years, the asset may seem to offer more value than it gives. That is if depreciation is to form the basis of the assessment. Under this method, depreciation of an asset depends on the level of activity during that period. A period where the output level is high would record higher depreciation values comparative to years with low production. To get the amount of depreciation, divide the depreciable amount by the total expected units the machine would produce in its lifetime and then multiply the answer by the period’s production (Weil, Schipper, and Francis, 2012). The units-of-production method produces the closest estimate of depreciation to actual depreciation. Since it uses activity level as a basis for determination of depreciation, it fairly allocates depreciation to the periods as per the usage of the asset. In so doing, it matches the depreciation expense to revenue generated by the asset. In periods where there is no activity, there would be no depreciation. That is despite the fact that the asset would still lose value. The method may also not be applicable to assets whose relationship to production is not direct and hence will not depend on activity level. Assets such as

Club IT's Information Management Needs Essay Example | Topics and Well Written Essays - 750 words

Club IT's Information Management Needs - Essay Example To make it clear and execute effectively I visited the website of Club IT to get more information. It helped me to comprehend the basic structure of the informational technology resources available to them and to implement strategies that can attract more clients. With this in mind, I recollected the five strategies that companies use to achieve competitive advantage in their industries. They are, Cost Leadership strategy-produce products and services at the lower cost in the industry Differentiation strategy-It offers different products, services or products features Innovation strategy- introduce new products and services, put new features in existing products and service and develop new ways to produce them Operational effectiveness strategy: improved the manner in which internal business process is executed so that a firm performs similar activities. Customer-orientation strategy: It is to follow the basic principle of focusing on customers and be at the best.( Rainer & Turban, p . 52) After reviewing the place and its needs I have decided that the best strategy for competitive advantage for Club IT is to use the Customer-Orientation Strategy. The Club IT’s Mission is "We, Ruben and Lisa, offer you live music, DJ's, dance space and refreshments that suit your lifestyle. You are our friends, and we seek to build a community that meets regularly at Club IT" (â€Å"About Club It†, n.d.).This reflects that the club wants to provide friendly environment. The entertainment that they get from the live music and the dance space allows them to be a part of Club IT for a longer period of time. The primary clientele that I have come across is young aged to mid age like 20’s and 30’s.They are jubilant at the fun-filled place and mostly are music lovers with high spirits. It helped me to focus on this section and to enhance the IT resources that are available. The Club IT’s information include intranet resources and it can be well utili zed to the advantage of the clients. It can be managed by a Club In charge or a Manager who is well versed with the computer usage. I suggested that the software can be upgraded to upload the photos of the clients, e-mail address and so forth. It would be a good practice to enter the clients’ name and basic information at the entrance so that we can have track on the number of people visit daily and to give special preference to regular customers. This helps the management to avoid any discrepancy caused by under-aged drinkers. The best part would be to have track of the regular customer record and show them the gratitude and allow them to enter the place without any normal proceedings. They can have suggestions box in the website to get feedback once they visit the place. They can use around 2 to 4 computers as the place is small. The files have to be updated in an accurate manner. This type of software is a lifesaver for clubs, there is not much maintenance needed. The Cust omer-Orientation Strategy would be the right one to follow as its inclination is towards making the customer happy. The foremost step is to make the existing clients happy and to do so we can use the information that they provided and give them the details of the coverage of events through e-newsletters. The database that the club follows must have the information of the clients like the email