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7. Identify three areas of service provided by public accountants. What is the most common professional certification held by public accountants? What are the general requirements for attaining the certification.

8. What are the common duties performed by private accountants. What two types of professional certifications, other than CPA, are held by private accountants?

11. How do the percent of revenue method and the percent of receivables method to estimate uncollectible accounts expense differ?

12. What are two ways in which estimating uncollectible accounts improves the accuracy of the financial statements?

15. What special features make callable bonds attractive to an issuing corporation. Why would some bonds be classified as "secured bonds"? What is meant by bonds being issued at premium and at a discount.

16. Answer and discuss the following in at least a paragraph each:

a. Why does insider trading breach that duty?
b. In regards to the Martha Stewart case. Do you believe that shareholder interests were jeopardized? Why or why not?
c. How has this case affected society? How has this case affected the business community? Cite at least 2 outside sources to support your answers.

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7. Identify three areas of service provided by public accountants. What is the most common professional certification held by public accountants? What are the general requirements for attaining the certification.

Public accounting three service areas are audit (assurance services), tax, and consulting. The most common certification is CPA, certified public accountant, which enables them to sign audit reports. The general requirements vary somewhat from state to state but there is a national exam that must be passed, you need a college degree (any major), you need to have taken a certain number of upper-level accounting courses and non-accounting business courses, and you usually need one-to-two years of experience under a CPA supervisor.

8. What are the common duties performed by private accountants. What two types of professional certifications, other than CPA, are held by private accountants?

Private accountants maintain the general ledger, recording all the business activity in accordance with GAAP. They complete the adjusting entries needed and footnotes for the financial statements. They analyze potential investments, business decisions (such as make-or-buy a subassembly), and past performance. They prepare budgets and long range forecasts. They review and suggest accounting controls to secure assets and reduce misleading reporting or errors. They can be specialized, such as only working on sales and use taxes or conduct internal audits or be a general ledger accountant where it all comes together for reporting. Private accountants have a number of speciality certifications that they can pursue. CMA, certified management accountant and Certified Internal ...

Solution Summary

Your tutorial is 757 words plus six references and discusses certifications and accounting duties, accounting for bad debts, and the Martha Stewart insider case.

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The company of this research is Nike

The Company on this research is NIKE.....Everything on this research need to be from Nike the shoe company...

Write a very brief introduction indicating why you chose this particular company. Provide a brief summary of the company's history and the type of business and industry it is in. Analyze the company's operations and forecast for the next 3 to 5

a. fiscal years' sales and earnings AND STOCK PRICE.

Obtain each of the company's various reports. You can call the company's treasurer or investor relations office and ask for the reports. Read each report and briefly analyze the company on the basis of these reports. Available reports may include the Annual Report, 10K, Quarterly Report (10Q), Prospectus, Proxy Statement for Annual Meeting, Press Releases and Financial Analysts' Reports.

4. Obtain current reports in Value Line (basic & expanded volumes), Moody's S&P's and from a securities brokerage firm. Read and analyze each report. What is YOUR analysis of the company based on reading the reports? Does your opinion of the company differ from the reports? What accounts for the difference? Your conclusions based on your analysis is most important.

5. Keep daily or weekly stock prices on your company for nine weeks. Also keep track of a stock index--Dow Jones Index, NYSE Index or S&P 500 Index for the same period. At the end of the nine weeks, calculate the rate of return on the stock and on the Index over the period.

6. BE BRIEF, CONCISE, TO THE POINT. In order to make a forecast of next year's sales, earnings and stock price you will have to answer the following questions or consider the following issues AT A MINIMUM:

7. What is the company's RISK? What does the beta tell you

a. about the riskiness of the stock? How does the company's

b. beta compare to the beta of other companies in the industry?

c. Value Line?

8. What type of stocks, bonds, options and warrants does the

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b. rate, outstanding volume, authorized, etc. What are the

c. ratings of the bonds?

9. What kind of capital structure does the company have (Debt

a. to Equity %)? Can you tell whether it is typical of the

b. industry or different? Has the company ever been in a

c. Why, and what was the outcome?

d. What was the capital structure before and after Chapter 11?

10. Various ratios relate the internal performance of the firm

a. to the external judgment of the market place in terms of

i. value.

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c. What is the price-to-book ratio of the company?

i. What is the price-to-market ratio of the market?

ii. Check Value Line publication in library?

d. Do a trend analysis (five years) of at least five

1. important ratios.

ii. Analyze the company's liquidity and profitability position.

iii. Do a trend analysis (five years) of the sales, earnings & price of the company.

e. From the above, compare the most recent year's ratios

i. for your company to the ratios for the industry.

ii. How does the company compare? Is this good or bad?

11. Does the company pay a dividend?

a. If so, what has been the growth rate?

b. Does the company have a dividend reinvestment plan?

c. What is the company's past history of dividends?

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b. summarize the two articles in your report.

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