Replacing fixed assets in the construction industry

Article Abstract:

A model is presented that is used to help a heavy construction company make decisions about replacing fixed assets such as construction equipment. The model was created to answer two separate questions about capital investment decisions: when should new equipment be purchased, and when should existing assets be disposed? The model yields a net present value based on differential operating costs, tax shields, purchase-overhaul costs, salvage values, revenue, and flows discounted at the chosen cost of capital. Three problem areas involve establishing purchase versus salvage values, repair and maintenance costs, and machine productivity. Two different indices are used to estimate differential costs and revenues, a repair cost index and a productivity index. These indices make it possible to establish a ceiling price for equipment bids at auctions.

Construction industry, Accounting and auditing, Depreciation, Fixed assets, Managerial accounting

---

Let's stop pretending all accountants are alike

Article Abstract:

Several professional organizations believe that the undergraduate accounting education system needs to be reformed. The Accounting Education Change Commission believes that one of its problems in providing adequate training is that the undergraduate accounting program attracts students who are capable of solving structured problems, but accounting practice involves solving unstructured problems. One proposal for improving the curriculum is the use of a program consisting of six credit hours of financial accounting, six hours of intermediate accounting, three hours of managerial accounting, and three hours of auditing and accounting systems, which would leave 12 hours for specific training.

Colleges and universities, Universities and colleges, Curricula, College curriculum, column

---

A tale of two networks

Article Abstract:

Growth in a company often renders a single-user computerized accounting system impractical. An expanding company can choose between installing a local area network (LAN) or running several terminals from a Xenix-operated microcomputer. Lan-based systems can be practical for companies that are already operating several AT compatible microcomputers. They are however costly to operate and maintain since many of their hardware components are manufactured by different suppliers. The Xenix system is superior in performance, reliability, and cost.

Analysis, Evaluation, Software, Database administration, Local area networks

Similar abstracts:

• Abstracts: Regulation, deregulation, and free market: the food manufacturing industry in Zimbabwe. How critical is internal customer orientation to market orientation?
• Abstracts: Industrial relations in the future. Managerial strategies and 'styles' in industrial relations: a comparative analysis
• Abstracts: Strategic considerations for unaudited account values in analytical review
• Abstracts: Planning quality cost expenditures. Running actual costs vs. standard costs. A government cost control program for private industry
• Abstracts: 'World class' down on the farm. Bringing world-class manufacturing and accounting to a small company. Preventing computer fraud

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