Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
MEASURING INCOME FOR A LONG-HAUL TRANSPORT FIRM. Canadian National Railway Company (CN) spans Canada and mid-America and provides freight transport services from the Atlantic Ocean to the Pacific Ocean and to the Gulf of Mexico. It is currently the largest private rail system in Canada and was privatized by the Canadian government when it was considered one of the worst rail transport companies in North America. CN has been a success story since its privatization and is now considered one of the strongest and most efficient rail freight transport companies. Its success is partly due to a fundamental change in the way it offers freight services to customers. CN runs what the firm refers to as a scheduled railroad. Similar to rail passenger service, as much as possible CN maintains a fixed operating schedule and a fixed freight-car fleet movement across the conti- nent. Thus, customers know what shipment options are available to them and know with a high degree of accuracy when shipments will arrive at designated locations.
Typically, a customer contracts a fixed fee with CN to ship its freight from the point of origination (for example, the Port of Halifax) to the point of destination (for example, the Port of Vancouver). CN provides the entire transport (that is, CN does not contract out a portion of the shipment to other rail transport companies), and the length of time taken to deliver the freight depends on the distance and the type of service (fast delivery versus nor- mal delivery, for example) purchased by the customer. In a recent annual report, CN suc- cinctly states its policy on recognizing revenue: "Freight revenues are recognized on services performed by the Company, based on the percentage of complete service method. Costs associated with movements are recognized as the service is performed."
Required:
Discuss the appropriateness of the revenue recognition techniques employed by CN for recognizing freight revenues.
Explain three ways in which the income statement and the balance sheet are connected in a pro-forma type forecasting of financial statement and a company's expected future cash flow.
You have found three investment choices for a one-year deposit: 10.5% APR compunded monthly,
TDA each year to the legal maximum of $12,000 and move funds from the money market to cover the resulting shortfall in studebaker spendable income. how much money will he need to transfer each year from the money market?
Glow-Rite Lighting Company had earnings for 2006 of $740,000. Determine the basic earnings per share for Glow-Rite.
The budget rate, the lowest acceptable dollar per pound exchange rate, was therefore established at $1.70 per British pound. Any exchange rate below would result in Dayton actually losing money on the transaction.
How much money would your bank loss or gain because of the forward contract you quoted based on the given rate and exchange rate scenarios each with an equal probability of occurrence
What is the cost of new equity to the firm? What are the advantages and disadvantages of issuing new equity in the capital structure?
Describe how the acceptance of large, high-risk audit customers for relatively high audit fees may threaten an audit company's de factor and perceived independence.
Find the the best to invest and Discuss and explain each company using fundamental analysis or technical analysis and select the best one (using current information).
Define and contrast idiosyncratic and systematic risk and the risk premium required for taking each on. Can beta be helpful in this instance? Explain your answer.
your grandmother just died and left you 132500 in a trust fund that pays 6.5 interest. you must spend the money on your
McCormac Co. wishes to maintain a growth rate of 6 percent a year, a debt-equity ratio of 0.43, and a dividend payout ratio of 50 percent. The ratio of total assets to sales is constant at 1.34.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd