New rules for package design costs

Article Abstract:

The IRS has established new guidelines regarding the treatment of package design costs. These guidelines allow packaging costs to be accounted through the capitalization method, design-by-design capitalization amortized over a 60-month period and the pool-of-cost method amortized over a 48-month period. The capitalization method requires that the costs of developing or modifying any package designs are capitalized and amortized ratably for its useful life from the month when the design or modification is put into service. In the design-by-design method, taxpayers should capitalize all package design costs and/or modification costs for each design and amortize them for 60 months starting from the year the design or modification is put into service. In pool of cost method, taxpayers capitalize design costs for a year and then amortize total costs for the year for a duration of 48 months.

Glass containers, Paperboard Containers and Boxes, Laws, regulations and rules, Packaging industry

---

Off-the-shelf software creates custom reports

Article Abstract:

Truck dealer Waters Truck and Tractor Co. has one of the most attractive computer systems in its industry. Originally installed, its Pentium-based system NCR 3430 can perform in-house accounting and connect the truck dealership to the factory but proved to be inflexible to meet the company's other accounting requirements. To overcome the local-information shortcoming of the main system, management decided to add compatible hardware and software systems such as Microsoft Windows, Quattro Pro for Windows, Q&A, Monarch and dBASE. As a result, Waters Truck and Tractor can now obtain historical information for external financial reporting and legal requirements; historical and projected information for management planning, budgeting and evaluation; abstract information for quick management decisions; and immediate and accurate information for correcting variances at the operational level.

Motor Vehicle Dealers, Motor Vehicle and Parts Dealers, New and used car dealers, Truck industry, Information management, Automotive dealers, Waters Truck and Tractor Company Inc.

---

Picking the perfect software package

Article Abstract:

Firms selecting a computer software package for their accounts receivables should first identify their needs, specify the minimum requirements to meet the needs, and use outside surveys to identify those software packages that meet those needs. Inferior software packages should be eliminated though a comparison of the features of the packages under consideration. Information on the packages should be gathered from various sources, including magazines, vendors, and users. A weighted average score should be developed for packages, and high scores should be evaluated against trade-offs to meeting needs when making a purchasing decision.

Managerial accounting

Similar abstracts:

• Abstracts: Beware the software police! A buyer's guide to custom software. Beware the logo magic: buy the right software
• Abstracts: Preparing for a changing insurance market. Tax rates in small and large firms
• Abstracts: The value of self-reported costs in repeated investment decisions. part 2 Cost manipulation incentives under cost reimbursement: pension costs for defense contracts
• Abstracts: Wide group of companies join project to develop superfast computer network. A creaky computer system
• Abstracts: Cellular phone firms mull counterpunch. Phone talk; Anne Bingaman, antitrust chief at the Justice Department, has her own ideas on where the telecommunications market ought to be going

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.