This website uses cookies to ensure you have the best experience. Learn more

Trademark Inc. 03 05 Essay

976 words - 4 pages

Re: Case 03-05, Accounting Issues

Background
Trademark, Inc., a public and growing global corporation, creates, assembles, and disburses their products through four main divisions of their corporation: Greeting Cards and Stationery, Calendars, Party Goods, and Specialty Gifts. Their core business comes from their customers in drug stores and supermarket chains. In the early to mid 1990’s, Trademark saw significant growth in response to their IPO issuance in 1992, however, since 1994, they have seen a flat and ultimate declining growth in their product.

Issue

Recently, Trademark, Inc. has realized an overstatement in their return of damage goods and are considering halting their ...view middle of the document...

Also, according to 605-15-25-1-F, it is acceptable that future amounts be reasonable estimated. Secondly, the difference between actual and estimated returns is less than 5%, (FASB ASC 250-10-S99-1) therefore, according to GAAP the difference is immaterial and the accounting procedure is permissible. Lastly, the estimated cost of keeping detailed records for each product line of each division may outweigh the benefits of accurate rates of returns.
Option #2: Trademark, Inc., after responding to complaints and the high rate of returns, relationships with customers increased and they received less returns. Trademark, Inc.’s ability to make a reasonable estimate of future returns was impaired because they altered their shipping method, but did not change how they estimated for the return of damaged goods. According to FASB ASC 605-15-25-3, the ability to make a reasonable estimate of future returns may be impaired if there have been changes in the selling entities policies or relationships with customers. Since Nancy has created a reasonable and acceptable estimate factoring in the impact of new packaging materials, Trademark, Inc. should follow Nancy’s guidance. Furthermore, according to 605-15-45-1, for any sales made with a right of return in which the criteria in paragraph 605-15-25-1 are met revenue and cost of sales reported in the income statement shall be reduced to reflect estimated returns. The difference between management’s estimate and the high end of the range was $923.077, which indicates that Trademark will have to change their income statement by this difference. Therefore, Trademark, Inc. should use the 22% return rate as the new estimate.
Conclusion
In conclusion, Option #2 is the proper solution. Trademark, Inc. should follow the 22% return rate of damaged goods as the estimate.

(2) Other Returns
Trademark, Inc. was previously allowing customers to return slow-moving merchandise for full credit. Customers do not have the legal right of return on merchandise; the returns...

Other Papers Like Trademark Inc. 03-05

Country Situation Essay

1834 words - 8 pages . The above figures do not include extensive exterior renovations. SUBWAY® is a registered trademark of Doctor’s Associates Inc. ©2011 Doctor’s Associates Inc. REGIONS of ASIA, LATIN AMERICA and MIDDLE EAST (Excluding Mexico and India) Effective: 05/2011 SIBV US Dollars Franchise Capital Requirements Traditional Restaurants GENERAL BREAKDOWN FOR : LOWER COST MODERATE COST HIGHER COST METHOD/ WHEN DUE INITIAL FRANCHISE FEE REAL PROPERTY

Apple Inc Essay

1739 words - 7 pages that Apple is the owner of that trademark and promising that you will not interfere with Apple’s rights in the trademark, including challenging Apple’s use, registration of, or application to register such trademark, alone or in combination with other words, anywhere in the world, and that you will not harm, misuse, or bring into disrepute any Apple trademark. Apple Inc. is an American multinational technology company that designs, develops

Tat Corus

7708 words - 31 pages : DJ Sector: DJ Industry: Company Status: Scaling Factor : 1000000 INR BALANCE SHEET 3/31/2006 - 3/31/2002 ASSETS 03/31/06 03/31/05 03/31/04 03/31/03 IRON AND STEEL FORGINGS Active Source: ThomsonFinancial Currency: INR 03/31/02 BOM IND CUSIP: DCN: T080399284 ISIN: INE081A01012 Price 3/22/2007 442.00 Symbol: (C000009156) Mkt Cap (th) 249,690 Shrs Out (th) 580,000 PE Ratio 6.54 Tot Ret 1Yr 6.01 Beta #N/A Cash And ST

International Finance

2820 words - 12 pages contracts on € – see FT quotes) Though the growth rate has accelerated Copyright © 2007 by The McGraw-Hill Companies, Inc. All rights reserved.  Currency futures markets are dwarfed by OTC  7-9 5 9/25/2010 The Chicago Mercantile Exchange  Expiry cycle: March, June, September, December.  Delivery date: 3rd Wednesday of delivery month, CLS (since 03-06).  Last trading day Two business days before the delivery

Dairy Business in Uae

4196 words - 17 pages -research.html [Accessed 20 10 2014]. MSCI.com, 2014. MSCI Inc.. [Online] Available at: http://www.msci.com/products/indexes/market_classification.html [Accessed 05 11 2014]. Newenham, P., 2014. Vincent Cleary and Gerard Cleary, Glenisk. [Online] Available at: http://www.irishtimes.com/business/sectors/agribusiness-and-food/vincent-cleary-and-gerard-cleary-glenisk-1.1806794 [Accessed 20 10 2014]. Uaeinteract.com, 2014. Political System

Ethical Systems Table

2181 words - 9 pages distribution? Copyright University of Phoenix® is a registered trademark of Apollo Group, Inc. in the United States and/or other countries. Microsoft®, Windows®, and Windows NT® are registered trademarks of Microsoft Corporation in the United States and/or other countries. All other company and product names are trademarks or registered trademarks of their respective companies. Use of these marks is not intended to imply endorsement, sponsorship, or affiliation. Edited in accordance with University of Phoenix® editorial standards and practices.

Wireless Electricity

5928 words - 24 pages file • Special pages • Permanent link • Cite this page Print/export • Create a book • Download as PDF • Printable version Languages • العربية • Български • Català • Deutsch • Español • فارسی • Français • Hrvatski • Latviešu • 日本語 • Русский • Srpskohrvatski / Српскохрватски • 中文 • This page was last modified on 20 October 2010 at 05:05. • Text is available under the Creative Commons Attribution-ShareAlike License; additional terms may apply. See Terms of Use for details. Wikipedia® is a registered trademark of the Wikimedia Foundation, Inc., a non-profit organization. • Contact us • Privacy policy • About Wikipedia • Disclaimers • •

Contracts and Property Law

754 words - 4 pages  Contracts and Property Law Team A LAW/531 December 03, 2013 Contracts and Property Law Today in global business, law contracts and property law are fundamentally responsible for shaping the overall success and market saturation of companies, regardless of their size and other environmental factors. More specifically, “business contracts are the basis of many daily activities and they provide the means for individuals and

Fdi Decrease in Malaysia

3439 words - 14 pages -says-low/ Taking a stand against illegal cigarette trade, (n.d.). Japan Tobacco Inc Malaysia. Retrieved from http://www.jti.com/our-company/where-we-operate/asia-pacific/malaysia/english/focus/taking-stand-against-illegal-cigarette-trade/ Udomkerdmongkol, M., Görg, H., & Morrisey, O. (2006). Foreign direct investment and exchange rates: A case study of U.S. FDI in emerging market countries (Discussion Paper No. 06/05). Retrieved from

Dinosaurs

757 words - 4 pages was updated on 05-Aug-11. http://www.digitalhistory.uh.edu/database/article_display.cfm?HHID=471 [ 3 ]. “The Farmers’ Plight” This site was updated on 05-Aug-11. http://www.digitalhistory.uh.edu/database/article_display.cfm?HHID=471 [ 4 ]. Steinbeck,John. The Grapes of Wrath. Centennial Edition ed. Viking, 2002. Chapter 1 Page 3 [ 5 ]. Divine,Robert A.. America Past & Present. 8th ed. II, Pearson Education, Inc., 2007. Page 758 [ 6 ]. "The

Signing State

958 words - 4 pages issue signing statements. Since the founding of the United States the role of the Executive Branch has changed in numerous ways with the power of the signing statement as only a minor part of the changes. "Veto? Who Needs a Veto?." New York Times 05 MAY 2008 05 MAY 2008 . Dellinger, Walter E.. "THE LEGAL SIGNIFICANCE OF PRESIDENTIAL SIGNING STATEMENTS." MEMORANDUM FOR BERNARD N. NUSSBAUM, COUNSEL TO THE PRESIDENT. 03 NOV 1993. Assistant Attorney General on the Department of Justice. 05 May 2008 . "Signing statements (United States)." Wikipedia. Wikimedia Foundation, Inc. 05 May 2008

Related Essays

Bussiness Essay

3968 words - 16 pages CARGO BODY TYPE/NOT APPLICABL 02 - BUS/ VAN (9-15 SEATS, INC DRIVER) 03 - BUS (16+ SEATS, INC DRIVER) 04 - VEHICLE TOWING ANOTHER VEHICLE 05 - LOGGING 06 - INTERMODAL CONTAINER CHASIS 07 - CARGO VAN/ENCLOSED BOX 08 - GRAIN, CHIPS, GRAVEL 1 HM CLASS NUMBER 09 - POLE 10 - CARGO TANK 11 - FLAT BED 12 - DUMP 13 - CONCRETE MIXER 14 - AUTO TRANSPORTER 15 - GARBAGE /REFUSE 99 - OTHER/UNKNOWN 1 HIT / SKIP UNIT NON-MOTORIST LOCATION

Course Information Essay

4215 words - 17 pages behavior on attitudes. CheckPoint Confirmation Bias Discuss how confirmation bias can influence perceptions and how some beliefs can actually generate their own confirmation in 200 to 300 words. Provide relevant examples to support your explanation. Follow the Writing Guide. 05/03/12 30 Individual Attitudes and Behaviors Assume you are a counselor and have just had a break through with one of your clients. It seems your client is just

Hum Hain Rahi Pyaar Ke Essay

1172 words - 5 pages Yagnik 07:40 4 "Woh Meri Need Mera Chain Mujhe" Sadhana Sargam 05:03 5 "Bambai Se Gayi Poona" Alka Yagnik 04:23 6 "Chikni Soorat Tu Kahan Tha" Kumar Sanu 04:24 Awards[edit source] The awards shown in bold are those that were won, and those not shown in bold are nominations: Filmfare Best Film Award Filmfare Best Actress Award - Juhi Chawla Filmfare Best Lyricist Award - Sameer National Film Special Jury Award - Mahesh Bhatt National Film

Welcome To Bsa/310 Essay

2548 words - 11 pages . Include types of information systems and required security for Riordan Manufacturing.Complete the final paper and project presentation. | 01/23 | 20 (15 + 5) | Copyright University of Phoenix® is a registered trademark of Apollo Group, Inc. in the United States and/or other countries. Microsoft®, Windows®, and Windows NT® are registered trademarks of Microsoft Corporation in the United States and/or other countries. All other