{"product_id":"controllership-isbn-9780470481981","title":"Controllership","description":"Today's controllers are no longer seen as technicians who process transactions; they are now seen as business executives with a wide-ranging knowledge of total business operations, best practices, and corporate strategy. Providing a comprehensive overview of the roles and responsibilities of controllers in today's environment, this Eighth Edition of \u003ci\u003eControllership\u003c\/i\u003e continues to provide controllers and vice presidents of finance with all aspects of management accounting from the controller's perspective, including internal control, profit planning, cost control, inventory, and financial disclosure. \u003cp\u003eAbout the Author xvii\u003cbr\u003e\u003cbr\u003e Preface xix\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart I the Broad Management Aspects of Controllership 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 1 Accounting in the Corporation 3\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eTasks of the Accounting Function 3\u003c\/p\u003e \u003cp\u003eRole of the Accounting Function 5\u003c\/p\u003e \u003cp\u003eRole of the Controller 6\u003c\/p\u003e \u003cp\u003eImpact of Ethics on the Accounting Role 7\u003c\/p\u003e \u003cp\u003eEvolving Role of Accounting 10\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 2 Controller’s Responsibilities 13\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eVariations on the Title 13\u003c\/p\u003e \u003cp\u003ePlanning Function 14\u003c\/p\u003e \u003cp\u003eControl Function 15\u003c\/p\u003e \u003cp\u003eReporting Function 15\u003c\/p\u003e \u003cp\u003eAccounting Function 16\u003c\/p\u003e \u003cp\u003eAdditional Controller Functions in Smaller Companies 17\u003c\/p\u003e \u003cp\u003eController’s Job Description 19\u003c\/p\u003e \u003cp\u003eRelationship of the Controller to the Chief Financial Officer 21\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 3 Cost Accounting and Costing Systems 23\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003ePurpose of Cost Accounting Information 23\u003c\/p\u003e \u003cp\u003eInput: Data Collection Systems 24\u003c\/p\u003e \u003cp\u003eProcessing: Data Summarization Systems 27\u003c\/p\u003e \u003cp\u003eProcessing: Job Costing 29\u003c\/p\u003e \u003cp\u003eProcessing: Process Costing 34\u003c\/p\u003e \u003cp\u003eProcessing: Standard Costing 38\u003c\/p\u003e \u003cp\u003eProcessing: Direct Costing 40\u003c\/p\u003e \u003cp\u003eProcessing: Throughput Costing 43\u003c\/p\u003e \u003cp\u003eProcessing: Activity-Based Costing 48\u003c\/p\u003e \u003cp\u003eProcessing: Target Costing 50\u003c\/p\u003e \u003cp\u003eOutputs: Cost Variances 52\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 4 Ratio and Trend Analysis 57\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eHow to Use Ratios and Trends 57\u003c\/p\u003e \u003cp\u003eA Caveat 58\u003c\/p\u003e \u003cp\u003eMeasures for Profitability 60\u003c\/p\u003e \u003cp\u003eMeasures for the Balance Sheet 62\u003c\/p\u003e \u003cp\u003eMeasures for Growth 66\u003c\/p\u003e \u003cp\u003eMeasures for Cash Flow 68\u003c\/p\u003e \u003cp\u003eMeasures for Nonfinancial Performance 70\u003c\/p\u003e \u003cp\u003eInterrelationship of Ratios 85\u003c\/p\u003e \u003cp\u003eSetting Up a System of Ratios and Trend Analyses 85\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 5 Internal Control Systems 89\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eObjectives 89\u003c\/p\u003e \u003cp\u003eResponsibility for Internal Controls 90\u003c\/p\u003e \u003cp\u003eExamples of Internal Controls 92\u003c\/p\u003e \u003cp\u003eWhen to Eliminate Controls 102\u003c\/p\u003e \u003cp\u003eTypes of Fraud 104\u003c\/p\u003e \u003cp\u003ePreventing Fraud 105\u003c\/p\u003e \u003cp\u003eHow to Deal with a Fraud Situation 109\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 6 Internal Audit Function 113\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eReporting Relationships 113\u003c\/p\u003e \u003cp\u003eRole of the Audit Committee 116\u003c\/p\u003e \u003cp\u003eInternal Audit Objectives 117\u003c\/p\u003e \u003cp\u003eInternal Audit Activities 119\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 7 Recruiting, Training, and Supervision 123\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eRecruiting Sources 123\u003c\/p\u003e \u003cp\u003eFactors to Consider when Recruiting 125\u003c\/p\u003e \u003cp\u003eFactors to Consider When Promoting 127\u003c\/p\u003e \u003cp\u003eImportance of Reduced Turnover 128\u003c\/p\u003e \u003cp\u003eImportance of Developing Career Plans for Employees 132\u003c\/p\u003e \u003cp\u003eHow to Motivate Employees 134\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 8 Controller’s Role in Investor Relations 137\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eObjectives of the Investor Relations Function 137\u003c\/p\u003e \u003cp\u003eCommunication Vehicles for Investor Relations 138\u003c\/p\u003e \u003cp\u003eInvestor Relations Message Recipients 138\u003c\/p\u003e \u003cp\u003eInformation Needs of the Financial Analyst 139\u003c\/p\u003e \u003cp\u003eInformation Needs of Other Groups 141\u003c\/p\u003e \u003cp\u003eProviding Guidance 141\u003c\/p\u003e \u003cp\u003eForward-Looking Statements 144\u003c\/p\u003e \u003cp\u003eOrganization Structure for Investor Relations 146\u003c\/p\u003e \u003cp\u003eRole of the Controller and Other Principals 147\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart II the Planning Function of Controllership 151\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 9\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eBusiness Plans and Planning: Interrelationship of Plans, Strategic Planning 153\u003c\/p\u003e \u003cp\u003eBusiness Planning Defined 153\u003c\/p\u003e \u003cp\u003eFramework for Business Planning 154\u003c\/p\u003e \u003cp\u003eTime as Related to Planning 154\u003c\/p\u003e \u003cp\u003ePlanning Period: How Long Is “Long Range”? 155\u003c\/p\u003e \u003cp\u003eSystem of Plans 156\u003c\/p\u003e \u003cp\u003eStrategic Plan: An Overview 156\u003c\/p\u003e \u003cp\u003eCorporate Development Plan 157\u003c\/p\u003e \u003cp\u003eOperations Plan 158\u003c\/p\u003e \u003cp\u003eBasic Elements in Any Plan 158\u003c\/p\u003e \u003cp\u003ePlanning Process 159\u003c\/p\u003e \u003cp\u003ePlan Frequency 161\u003c\/p\u003e \u003cp\u003ePlan Guidelines 162\u003c\/p\u003e \u003cp\u003eSupplemental Planning: Alternative Scenarios 162\u003c\/p\u003e \u003cp\u003ePlanning Timetable or Schedule 163\u003c\/p\u003e \u003cp\u003eStrategic Planning: An In-Depth Review 163\u003c\/p\u003e \u003cp\u003eEnvironmental Analysis 165\u003c\/p\u003e \u003cp\u003eCritical Success Factors 167\u003c\/p\u003e \u003cp\u003eBusiness Mission or Purpose 168\u003c\/p\u003e \u003cp\u003eLong-Range Business Planning Objectives 170\u003c\/p\u003e \u003cp\u003eDeveloping Strategies 174\u003c\/p\u003e \u003cp\u003eStrategies and the Planning Period 177\u003c\/p\u003e \u003cp\u003eRole of the Controller 177\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 10 \u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eFinancial Impact of the Strategic Plan: Long-Range Financial Plan 181\u003c\/p\u003e \u003cp\u003eKey Elements of a Strategic Plan 181\u003c\/p\u003e \u003cp\u003eCapital Investments 182\u003c\/p\u003e \u003cp\u003eRisk Analysis 183\u003c\/p\u003e \u003cp\u003eObjectives of the Long-Range Financial Plan 184\u003c\/p\u003e \u003cp\u003eConsolidation and Testing Process 185\u003c\/p\u003e \u003cp\u003eIllustrative Financial Exhibits in the Plan Presentation 186\u003c\/p\u003e \u003cp\u003eRole of the Controller 193\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 11 Profit Planning: Annual Plan 201\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003ePurpose of Budgeting 201\u003c\/p\u003e \u003cp\u003ePlanning Benefits 202\u003c\/p\u003e \u003cp\u003eCoordination Benefits 203\u003c\/p\u003e \u003cp\u003eControl Benefits 205\u003c\/p\u003e \u003cp\u003eProblems with the Annual Plan 205\u003c\/p\u003e \u003cp\u003eAnnual Planning Cycle: Illustrative 206\u003c\/p\u003e \u003cp\u003eSupportive Financial Statements and Budgets 208\u003c\/p\u003e \u003cp\u003eSales Budget 209\u003c\/p\u003e \u003cp\u003eProduction Budget 210\u003c\/p\u003e \u003cp\u003ePurchases Budget 210\u003c\/p\u003e \u003cp\u003eDirect Labor Budget 211\u003c\/p\u003e \u003cp\u003eManufacturing Expense Budget 211\u003c\/p\u003e \u003cp\u003eInventory Budget 212\u003c\/p\u003e \u003cp\u003eOperating Expense Budget 212\u003c\/p\u003e \u003cp\u003eCapital Expenditures Budget 213\u003c\/p\u003e \u003cp\u003eCost of Goods Sold 213\u003c\/p\u003e \u003cp\u003eStatement of Estimated Income and Expense 214\u003c\/p\u003e \u003cp\u003eCash Budget 214\u003c\/p\u003e \u003cp\u003eStatement of Estimated Financial Condition 216\u003c\/p\u003e \u003cp\u003eApproval of Budget 218\u003c\/p\u003e \u003cp\u003eLinking the Bonus Plan to the Budget 218\u003c\/p\u003e \u003cp\u003eController’s Role: A Key Player 219\u003c\/p\u003e \u003cp\u003eManagement Approval of the Plan 223\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 12 Profit Planning: Supporting Financial Analysis for the Annual Plan 225\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eGeneral Comments on the Cost-Volume-Profit Relationship 225\u003c\/p\u003e \u003cp\u003eBreakeven Chart 226\u003c\/p\u003e \u003cp\u003eChanges in Sales Revenue 228\u003c\/p\u003e \u003cp\u003eChanges in Sales Mixture 228\u003c\/p\u003e \u003cp\u003eChanges in Sales Price 230\u003c\/p\u003e \u003cp\u003eChanges in Costs 231\u003c\/p\u003e \u003cp\u003eAnalysis by Product 232\u003c\/p\u003e \u003cp\u003eApplication of Cost-Volume-Profit Analysis 235\u003c\/p\u003e \u003cp\u003eSelecting the Most Profitable Products 236\u003c\/p\u003e \u003cp\u003eIncreased Sales Volume to Offset Reduced Selling Prices 236\u003c\/p\u003e \u003cp\u003eMost Profitable Use of Scarce Materials 237\u003c\/p\u003e \u003cp\u003eAdvisability of Plant Expansion 238\u003c\/p\u003e \u003cp\u003eSome Practical Generalizations 239\u003c\/p\u003e \u003cp\u003eProgram Evaluation Using Discounted Cash Flow 240\u003c\/p\u003e \u003cp\u003eFinancial Analysis of Unacceptable Operating Results 243\u003c\/p\u003e \u003cp\u003eMore Sophisticated Analyses 258\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 13 Taxation Planning 259\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAccumulated Earnings Tax 260\u003c\/p\u003e \u003cp\u003eCash Method of Accounting 261\u003c\/p\u003e \u003cp\u003eInventory Valuation 262\u003c\/p\u003e \u003cp\u003eMergers and Acquisitions 262\u003c\/p\u003e \u003cp\u003eNet Operating Loss Carryforwards 263\u003c\/p\u003e \u003cp\u003eNexus 264\u003c\/p\u003e \u003cp\u003ePassive Activity Losses 265\u003c\/p\u003e \u003cp\u003eProject Costing 266\u003c\/p\u003e \u003cp\u003eProperty Taxes 267\u003c\/p\u003e \u003cp\u003eS Corporation 267\u003c\/p\u003e \u003cp\u003eSales and Use Taxes 268\u003c\/p\u003e \u003cp\u003eTransfer Pricing 269\u003c\/p\u003e \u003cp\u003eUnemployment Taxes 271\u003c\/p\u003e \u003cp\u003eManagement of the Taxation Function 272\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart III Planning and Controlling Operations 275\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 14 General Discussion of Standards 277\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDefinition of Standards 277\u003c\/p\u003e \u003cp\u003eAdvantages of Standards 278\u003c\/p\u003e \u003cp\u003eRelationship of Entity Goals to Performance Standards 280\u003c\/p\u003e \u003cp\u003eTypes of Standards Needed 281\u003c\/p\u003e \u003cp\u003eTrend to More Comprehensive Performance Measures 285\u003c\/p\u003e \u003cp\u003eBenchmarking 287\u003c\/p\u003e \u003cp\u003eSetting the Standards 289\u003c\/p\u003e \u003cp\u003eUse of Standards for Control 291\u003c\/p\u003e \u003cp\u003eProcedure for Revising Standards 293\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 15 Planning and Control of Sales 295\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eSales Management Concerns 295\u003c\/p\u003e \u003cp\u003eController’s Assistive Role in Sales Management Problems 296\u003c\/p\u003e \u003cp\u003eController’s Independent Role in the Planning and Control of Sales 299\u003c\/p\u003e \u003cp\u003eSales Analysis 300\u003c\/p\u003e \u003cp\u003eSales Planning: Basis of All Business Plans 304\u003c\/p\u003e \u003cp\u003eSteps in Developing the Near-Term Sales Plan\/Budget 305\u003c\/p\u003e \u003cp\u003eMethods of Determining the Sales Level 308\u003c\/p\u003e \u003cp\u003eUseful Sources of Forecasting Information 311\u003c\/p\u003e \u003cp\u003eForecasting the Business Cycle 312\u003c\/p\u003e \u003cp\u003eSales Standards 318\u003c\/p\u003e \u003cp\u003eSales Reports 322\u003c\/p\u003e \u003cp\u003eProduct Pricing: Policy and Procedure 328\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 16 Planning and Control of Marketing Expenses 339\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDefinition 339\u003c\/p\u003e \u003cp\u003eFactors Increasing the Difficulty of Cost Control 341\u003c\/p\u003e \u003cp\u003eMarketing Expense Analysis 341\u003c\/p\u003e \u003cp\u003eTypes of Analyses 342\u003c\/p\u003e \u003cp\u003ePlanning Marketing Expenses 353\u003c\/p\u003e \u003cp\u003eSpecial Comments on Advertising and Sales Promotion Expense 354\u003c\/p\u003e \u003cp\u003eMarketing Expense Standards 360\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 17 Planning and Control of Manufacturing Costs: Direct Material and Direct Labor 367\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDirect Material Costs: Planning and Control 372\u003c\/p\u003e \u003cp\u003eLabor Costs: Planning and Control 379\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 18 Planning and Control of Manufacturing Costs: Manufacturing Expenses 389\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eProper Departmentalization of Expenses 389\u003c\/p\u003e \u003cp\u003eVariations in Cost Based on Fixed and Variable Costs 390\u003c\/p\u003e \u003cp\u003eVariations in Cost Based on Direct Labor 392\u003c\/p\u003e \u003cp\u003eVariations in Cost Based on Batch Size 394\u003c\/p\u003e \u003cp\u003eVariations in Cost Based on Overhead 396\u003c\/p\u003e \u003cp\u003eVariations in Cost Based on Time 398\u003c\/p\u003e \u003cp\u003eCost Estimation Methods 399\u003c\/p\u003e \u003cp\u003eNormal Activity 404\u003c\/p\u003e \u003cp\u003eAllocation of Indirect Production Costs 405\u003c\/p\u003e \u003cp\u003eBudgetary Planning and Control of Manufacturing Expenses 407\u003c\/p\u003e \u003cp\u003eSecuring Control of Overhead 409\u003c\/p\u003e \u003cp\u003eControl with Throughput Analysis 415\u003c\/p\u003e \u003cp\u003eRole of the Controller 416\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 19 Planning and Control of Research and Development Expenses 425\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eR\u0026amp;D Activities in Relation to Corporate Objectives 425\u003c\/p\u003e \u003cp\u003eOrganization for the R\u0026amp;D Financial Functions 425\u003c\/p\u003e \u003cp\u003eElements of R\u0026amp;D Costs 426\u003c\/p\u003e \u003cp\u003eRole of the Financial Executive in R\u0026amp;D 429\u003c\/p\u003e \u003cp\u003eDetermining the Total R\u0026amp;D Budget 429\u003c\/p\u003e \u003cp\u003eEstablishing the R\u0026amp;D Operating Budgets 430\u003c\/p\u003e \u003cp\u003eDetailed Budgeting Procedure 438\u003c\/p\u003e \u003cp\u003eOther Control Methods 438\u003c\/p\u003e \u003cp\u003eEffectiveness of R\u0026amp;D Effort 442\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 20 Financial Planning and Control in a Service Company 447\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eData Classification 447\u003c\/p\u003e \u003cp\u003eCost Accounting in a Service Organization 449\u003c\/p\u003e \u003cp\u003ePlanning System 454\u003c\/p\u003e \u003cp\u003eStrategic Planning 459\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 21 Planning and Control of General and Administrative Expenses 461\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eComponents of G\u0026amp;A Expense 461\u003c\/p\u003e \u003cp\u003eControl over G\u0026amp;A Expenses 462\u003c\/p\u003e \u003cp\u003eReducing G\u0026amp;A Expenses 468\u003c\/p\u003e \u003cp\u003eSpend Management Systems 473\u003c\/p\u003e \u003cp\u003eBudgeting G\u0026amp;A Expenses 474\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 22 Payroll 477\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eImproving the Payroll Process 479\u003c\/p\u003e \u003cp\u003eCompensation 485\u003c\/p\u003e \u003cp\u003eFederal Income Taxes 489\u003c\/p\u003e \u003cp\u003eSocial Security Taxes 491\u003c\/p\u003e \u003cp\u003eMedicare Tax 491\u003c\/p\u003e \u003cp\u003eState Income Taxes 491\u003c\/p\u003e \u003cp\u003ePayroll Taxes for Employees Working Abroad 492\u003c\/p\u003e \u003cp\u003eRemitting Federal Taxes 492\u003c\/p\u003e \u003cp\u003ePayroll Deductions for Child Support 494\u003c\/p\u003e \u003cp\u003ePayroll Deductions for Unpaid Taxes 495\u003c\/p\u003e \u003cp\u003eUnemployment Insurance 496\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart IV Planning and Control of the Balance Sheet 499\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 23 Planning and Control of Cash and Short-Term Investments 501\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eObjectives of Cash Planning and Control 501\u003c\/p\u003e \u003cp\u003eDuties of the Controller versus the Treasurer 501\u003c\/p\u003e \u003cp\u003eThe Cash Forecast 502\u003c\/p\u003e \u003cp\u003eCash Collections 514\u003c\/p\u003e \u003cp\u003eCash Disbursements 520\u003c\/p\u003e \u003cp\u003eInternal Control 521\u003c\/p\u003e \u003cp\u003eReports on Cash 524\u003c\/p\u003e \u003cp\u003eCash Flow Ratio Analysis 526\u003c\/p\u003e \u003cp\u003eVariations in Cash Requirements by Industry 528\u003c\/p\u003e \u003cp\u003eInvestment of Short-Term Funds 529\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 24 Planning and Control of Customer Credit and Receivables 533\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eCredit Procedures and Systems 533\u003c\/p\u003e \u003cp\u003eCollection Procedures and Systems 542\u003c\/p\u003e \u003cp\u003eMeasurement of Accounts Receivable 548\u003c\/p\u003e \u003cp\u003eThe Bad Debt Forecast 549\u003c\/p\u003e \u003cp\u003eBudgeting for Accounts Receivable Balances 550\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 25 Planning and Control of Inventories 553\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eCosts and Benefits of Carrying Inventory 553\u003c\/p\u003e \u003cp\u003eRole of the Controller 555\u003c\/p\u003e \u003cp\u003eMaterial Requirements Planning Systems 557\u003c\/p\u003e \u003cp\u003eJIT Manufacturing Systems 558\u003c\/p\u003e \u003cp\u003eInventory Purchasing 561\u003c\/p\u003e \u003cp\u003eProduction Issues Impacting Inventory 563\u003c\/p\u003e \u003cp\u003eInventory Quantity Management 565\u003c\/p\u003e \u003cp\u003eObsolete Inventory 567\u003c\/p\u003e \u003cp\u003eInventory Cutoff 570\u003c\/p\u003e \u003cp\u003eBudgeting for Raw Materials 572\u003c\/p\u003e \u003cp\u003eBudgeting for Work-in-Process 577\u003c\/p\u003e \u003cp\u003eBudgeting for Finished Goods 578\u003c\/p\u003e \u003cp\u003eSignificance of Proper Inventory Valuation 582\u003c\/p\u003e \u003cp\u003eSelection of the Cost Base 582\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 26 Accounting and Reporting for Selected Investments and Employee Benefit Plans 585\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eImproving the Investment Decision Process 585\u003c\/p\u003e \u003cp\u003eRole of the Controller 586\u003c\/p\u003e \u003cp\u003eAccounting Records for Selected Investments 587\u003c\/p\u003e \u003cp\u003eFinancial Reports on Selected Investments 587\u003c\/p\u003e \u003cp\u003eAccounting and Disclosure Requirements and Practices for Employee Benefit Plans 590\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 27 Planning and Control of Plant and Equipment or Capital Assets 601\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eController’s Responsibility 601\u003c\/p\u003e \u003cp\u003eCapital Budgeting Process 603\u003c\/p\u003e \u003cp\u003eInformation Supporting Capital Expenditure Proposals 604\u003c\/p\u003e \u003cp\u003eMethods of Evaluating Projects 605\u003c\/p\u003e \u003cp\u003ePayback Method 606\u003c\/p\u003e \u003cp\u003eOperators’ Method 607\u003c\/p\u003e \u003cp\u003eAccountants’ Method 608\u003c\/p\u003e \u003cp\u003eDiscounted Cash Flow Methods 609\u003c\/p\u003e \u003cp\u003eCash Flow Modeling Issues 614\u003c\/p\u003e \u003cp\u003eHurdle Rates 615\u003c\/p\u003e \u003cp\u003eCost of Capital—A Hurdle Rate 616\u003c\/p\u003e \u003cp\u003eThroughput Method 617\u003c\/p\u003e \u003cp\u003eClassifying and Ranking Proposed Capital Projects 620\u003c\/p\u003e \u003cp\u003eProblems with the Capital Budget Approval Process 621\u003c\/p\u003e \u003cp\u003eUsing Expected Commercial Value for Project Ranking 622\u003c\/p\u003e \u003cp\u003eBoard of Directors’ Approval 624\u003c\/p\u003e \u003cp\u003eProject Authorization 628\u003c\/p\u003e \u003cp\u003eAccounting Control of the Project 630\u003c\/p\u003e \u003cp\u003ePostproject Appraisals or Audits 630\u003c\/p\u003e \u003cp\u003eOther Aspects of Capital Expenditures 632\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 28 Management of Liabilities 637\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eObjectives of Liability Management 637\u003c\/p\u003e \u003cp\u003eDirect Liabilities 638\u003c\/p\u003e \u003cp\u003ePlanning the Current Liabilities 639\u003c\/p\u003e \u003cp\u003eStandards to Measure and Control Current Liabilities 642\u003c\/p\u003e \u003cp\u003eCorrective Action 644\u003c\/p\u003e \u003cp\u003eSome Benefits from Debt Incurrence 644\u003c\/p\u003e \u003cp\u003eStandards for Debt Capacity 645\u003c\/p\u003e \u003cp\u003eLeverage 648\u003c\/p\u003e \u003cp\u003eManaging Liabilities: Some Practical Steps 649\u003c\/p\u003e \u003cp\u003eManagement of Accounts Payable 652\u003c\/p\u003e \u003cp\u003eAccounting Reports on Liabilities 656\u003c\/p\u003e \u003cp\u003eInternal Controls 656\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 29 Management of Shareholders’ Equity 659\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eRole of the Controller 659\u003c\/p\u003e \u003cp\u003eGrowth of Equity as a Source of Capital 660\u003c\/p\u003e \u003cp\u003eReturn on Equity as Related to Growth in Earnings per Share 661\u003c\/p\u003e \u003cp\u003eGrowth in Earnings per Share 661\u003c\/p\u003e \u003cp\u003eCost of Capital 663\u003c\/p\u003e \u003cp\u003eComponents of Cost of Capital 664\u003c\/p\u003e \u003cp\u003eCalculating the Cost of Debt 665\u003c\/p\u003e \u003cp\u003eCalculating the Cost of Equity 666\u003c\/p\u003e \u003cp\u003eCalculating the Weighted Cost of Capital 669\u003c\/p\u003e \u003cp\u003eDividend Policy 670\u003c\/p\u003e \u003cp\u003eOther Transactions Affecting Shareholders’ Equity 672\u003c\/p\u003e \u003cp\u003eLong-Term Equity Planning 673\u003c\/p\u003e \u003cp\u003eShort-Term Plan for Shareholders’ Equity 678\u003c\/p\u003e \u003cp\u003eOther Considerations 680\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart V Financial and Related Reports 683\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 30 Internal Management Reports 685\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eRules of Reporting 685\u003c\/p\u003e \u003cp\u003eStatus Reports 688\u003c\/p\u003e \u003cp\u003eMargin Reports 690\u003c\/p\u003e \u003cp\u003eCash Reports 694\u003c\/p\u003e \u003cp\u003eCapacity Reports 695\u003c\/p\u003e \u003cp\u003eSales and Expense Reports 696\u003c\/p\u003e \u003cp\u003ePayroll Reports 698\u003c\/p\u003e \u003cp\u003eGraphical Report Layouts 703\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 31 External Reporting 705\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003ePurpose of the Annual Report to Shareholders 705\u003c\/p\u003e \u003cp\u003eController and the Annual Report 706\u003c\/p\u003e \u003cp\u003eGeneral Contents of the Annual Report 706\u003c\/p\u003e \u003cp\u003eImportance of Form 709\u003c\/p\u003e \u003cp\u003eOther Reports to Shareholders 711\u003c\/p\u003e \u003cp\u003eDisclosure Issues 712\u003c\/p\u003e \u003cp\u003eSEC Forms 713\u003cbr\u003e Contents xv\u003c\/p\u003e \u003cp\u003e\u003cb\u003ePart VI Some Administrative and Special Aspects of the Con- Troller’s Department 719\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 32 Mergers and Acquisitions 721\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAcquisition Strategy 721\u003c\/p\u003e \u003cp\u003eThe Acquisition Process 723\u003c\/p\u003e \u003cp\u003eLocating Acquisition Targets 726\u003c\/p\u003e \u003cp\u003eDue Diligence 729\u003c\/p\u003e \u003cp\u003eValuing the Target 739\u003c\/p\u003e \u003cp\u003eLegal Documents 743\u003c\/p\u003e \u003cp\u003eAcquisition Integration 753\u003c\/p\u003e \u003cp\u003eTypes of Acquisitions 760\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 33 The Reporting Period and How to Close It 763\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eSelecting the Fiscal Year 763\u003c\/p\u003e \u003cp\u003eSelecting the Number of Interim Reporting Periods 764\u003c\/p\u003e \u003cp\u003eReasons for Accelerating the Closing Period 766\u003c\/p\u003e \u003cp\u003eHow to Achieve a Fast Close 766\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 34 Inventory Tracking 781\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDifferences between Perpetual and Periodic Inventory Systems 781\u003c\/p\u003e \u003cp\u003eSetting Up a Perpetual Inventory System 783\u003c\/p\u003e \u003cp\u003eAuditing and Measuring a Perpetual Inventory System 787\u003c\/p\u003e \u003cp\u003ePhysical Inventory Procedure 788\u003c\/p\u003e \u003cp\u003ePhysical Inventory Complications: The Cutoff 791\u003c\/p\u003e \u003cp\u003eReconciling Inventory Variances 792\u003c\/p\u003e \u003cp\u003eHow to Avoid the Inventory Tracking Problem 794\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 35 Tax Records and Procedures 797\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eTax Organization 798\u003c\/p\u003e \u003cp\u003eCentralized Tax Department 798\u003c\/p\u003e \u003cp\u003eFunctions Of the Tax Manager 800\u003c\/p\u003e \u003cp\u003eTax Communications 801\u003c\/p\u003e \u003cp\u003eTax Records in General 801\u003c\/p\u003e \u003cp\u003eTax Calendar 802\u003c\/p\u003e \u003cp\u003eTax Information Records 802\u003c\/p\u003e \u003cp\u003eTax Working Papers and Files 805\u003c\/p\u003e \u003cp\u003eInternal Revenue Code and Record Requirements 805\u003c\/p\u003e \u003cp\u003eProper Classification of Accounts 805\u003c\/p\u003e \u003cp\u003eOther Taxes 806\u003c\/p\u003e \u003cp\u003eIncome Taxes and Business Planning 806\u003c\/p\u003e \u003cp\u003eSpecial Tax Reports 806\u003cbr\u003e\u003cbr\u003e Index 807\u003c\/p\u003e \u003cb\u003eSteven M. Bragg\u003c\/b\u003e, CPA, CMA, CIA, CPIM, (Centennial, CO) has been the chief financial officer or controller of four companies, as well as a consulting manager at Ernst \u0026amp; Young and auditor at Deloitte. He is the author of over 25 books primarily targeted toward controllers and their needs. Bragg received a master's degree in finance from Bentley College, an MBA from Babson College, and a bachelor's degree in economics from the University of Maine.","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47988987986149,"sku":"NP9780470481981","price":215.0,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9780470481981.jpg?v=1761782329","url":"https:\/\/k12savings.com\/products\/controllership-isbn-9780470481981","provider":"K12savings","version":"1.0","type":"link"}