Lights! Cameras! ... Accountants?
Article Abstract:
Walt Disney Studios' Buena Vista Visual Effects (BVVE) minimizes the risk of cost overruns by employing a project team structure, producing accurate budgets and having an effective management reporting and control system. Visual effects production is characterized by fixed-price contracts so the preparation of an accurate bid is critical. BVVE has developed standard costs for certain visual effects as benchmarks for reliable budgeting. The original budget process involves those key individuals who are ultimately responsible for the making and cost of the effects. The contract bid that is presented to the client contains a description of the effects shot, the techniques used to produce the effect and the price of each show. Per-shot costs are also compared to costs of similar shots from past works to facilitate the comparison of bids among competitors. An online job reporting system is employed for flexible and efficient monitoring of costs.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1996
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A countertrade primer: a look at a growing trend that demands management accountants' attention
Article Abstract:
Countertrade may account for half of all trade transactions by the year 2000. According to the IMF and the World Bank, this trading arrangement that permits the reciprocal exchange of goods and services with little or no exchange of funds will one day account for a significant component of world trade. Hence, the need for management accountants to begin developing guidelines for the treatment of countertrade deals. Since such guidelines do not currently exist, it is in the interests of the profession to encourage greater levels of disclosure for all countertrade transactions. These deals generally fall into one of ten categories: barter, offset trade, buyback, counterpurchase, cooperative venture, bilateral clearing, switch trading, evidence accounts and blocked currencies. Important accounting issues that need to be resolved include valuation and recognition of revenue.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1995
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