Management Through , By and For Account and Finance

How to change Windows XP administator password

2009-12-11T00:26:00.001+05:30

Change User Passwords. (Windows XP)

First reboot Windows XP in safe mode by re-starting the computer and pressing F8 repeated as the computer starts up. Then (in safe mode) click Start and then click Run. In the open box type "control userpasswords2" without the quotes - I have just used quotes to differentiate what you have to type.
You will now have access to all the user accounts, including the administrators account and will be able to reset the lost password.
Just click the administrators user account, and then click Reset Password.
You will need to add a new password in the New password and the Confirm new password boxes, and confirm by clicking OK.
All done, you have recovered the lost administrators password!

Swiss Bank Account information

2009-06-25T06:50:00.001+05:30

It is very hot topic during elections in India and Indian government has acted fast to remove this topic from opposition list. Indian government has signed bilateral agreement with Swiss government for sharing information about banking transactions. (Which should be tax evasion transaction)

Before, concluding anything, we should understand some basic issues.

Why everyone is relying on Swiss Banks ?

It is big myth that it is only place to hide money. There are other places also to do the same. But, it was easiest target for USA to force their own law which bring the matter in lime light. IBL (International Bank of Lebanon) is one of the other banks who provide secured bank account. USA is also aware that Saddam Hussain, Osama Bin Laden and other terrorist groups are operating with these account. But USA is unable to do anything with it. So, it has become heaven for all tax evasions in USA. As per sources, money is remitted in country in containers.

These banks are secured because once you have completed account opening formalities, everything is available online. Even, if you visit branch, they will provide you system to complete your transaction.

No human interaction in whole banking process.

Procedure of account opening

It is the easiest procedure to open bank account. You should have one valid passport copy only. They do not even bother to check the authenticity of passport. Assume, if I have to open bank account for tax evasion. I will get one fake passport in the name of my servant in just INR 1000.00. Now I can go to any branch and open an account. How simple is it.

*Do not forget to carry $10,000.00

Operation of account

You will be provided one welcome kit, which will carry lot of documents, one access card and one Electric Card Holder . They will request you to Swap access card in their machine for first time and generate 4 digit pin for yourself. Now, it was last visit to branch and you will not required to visit branch again in your life and hardly require to call on call centre number.

Magic of Electric Card Holder

It is new thing for users. To make any login, you have to go bank website, then enter your contact no. It will generate input no. You have to insert access card in card holder, enter pin which you have generated (Can be changed any time). Then insert this input no. Holder will provide you eight alphanumeric code, enter this code to bank website.

Now normal banking can be done. Isn’t it too much secured ?

Recording of transactions

All transactions are recorded in numeric value. Only user is able to see text of transaction, not even bank employees. User can open n number of sub accounts. It creates more problem for anyone to watch transaction.

Problems for Indian Taxation Authorities.

If all IT Deptt will get information of all Indian passport holder. They will face no. of following problems

1. Most of declared Indians would not be Indian, as any French national can spend INR 10,000.00 and can get fake Indian passport. How will they segregate this ?

2. Most of persons will not have provided their original passport, how will IT deptt find those persons?

3. It is agreement for the purpose of get rid off tax evasion, which means that IT department have to provide transaction details with customer no. and enough evidence to prove tax evasion transaction. I suppose whole IT deptt and CBI will require at least 100 years to provide these information about top 10 tax evasion cases.

4. What is benefit of all these things? As government will charge high rate of tax and imprisonment also. If, I will be caught by deptt. I will forget that money. So, no further transaction and government of Swiss will enjoy the money. In this case, I will be saved from government proceedings and imprisonment by both countries.

Conclusion

If, we are unable to secure our money. No one can help us. All these measures are like fucking for virginity. More we force Swiss government, they will find new ways of securing their banking system. We are requesting tiger to protect the calf. Let us see how many days it will be protected.

Face Book Applications flaw

2009-06-17T09:47:00.001+05:30

We all are using facebook and its applications. We get very interesting results which are part of our discussion of FB. I found big problem in FB applications.

Please understand same with this example. All links are valid and can be copied and used.

First select following application -

Which Crazy Writer Are You?

Then go to application.

Allow it to access your profile

Now you can see all questions. and your URL is http://apps.facebook.com/diwhichcrazywrit/quiz/questions?_fb_fromhash=3c83b64bc9ebc53e4be82c0f7388d64d&auth_token=749b70f7461dabe1d79761ae5452d154&installed=1

Now, if you want result without answering questions, you have to do some changes in URL. See bold part in above URL.

Just do remove all these and write results.

http://apps.facebook.com/diwhichcrazywrit/quiz/results

Congrats, You got result so easily. Why to answer all question, if results are on random basis only.

Some new Financial Terms.

2009-06-11T23:47:00.001+05:30

It is for fun only.

Standard and Poor (S&P): Good times and bad
Broker: Poorer than you were last year.
Broker: What my financial planner has helped me become
Brokee: Someone who buys stocks on the advice of a stock broker.
Stock Broker: End of day market report
Bond Broker: That guy who puts up court money to get you out of jail.
Buy High, Sell Low: Market advice for the little guy
Value Investing: The art of buying low and selling lower.
Momentum Investing: The fine art of buying high and selling low.
Bull Market: A random market movement causing investors to mistake themselves for financial geniuses.
Bear Market: A 6-to-18-month period when the kids get no allowance, the wife gets no jewelry, and the husband gets no sex.
Bull: What your broker uses to explain why your mutual funds tanked during the last quarter.
Cash Flow: The movement your money makes as it disappears down the toilet.
P/E Ratio: The percentage of investors wetting their pants as the market keeps crashing.
Recession: A mild downturn in the economy where some friends and neighbors become jobless.
Depression: A mild downturn in the economy when you are jobless along with friends and neighbors.
201/K: What used to be your 401/K.
Poison Pill: What investors want to take when they see their 201/K balance.
Discounted Stock: A stock that is less expensive than last month and more expensive than it will be next month.
Financial Adviser: Bookie.
Hedge Fund: The money, jewelry, and silver coins you buried in your back yard under the hedge
Analyst: Your proctologist’s trainee.
Pension plan: A plan to keep you working because the market crashed.
Economist: An expert who will know tomorrow why the things he predicted yesterday didn’t happen today.
Financial Planner A person whose phone has been disconnected.
Social Security: A federally mandated pyramid scheme.
52-Week Low: How you feel each new day when you get home.
TARP: What you sleep under after you lost your job, car, and house.
Foreclosure: The time that the stock market stops dropping each day.
CEO: Chief embezzlement officer.
CFO: Chief fraud officer.
EBIT: Earnings before irregularities and tampering.
EBITDA: Earnings before I tricked the dumb auditor.
EPS: Eventual prison sentence.
FRS: Fantasy reporting standards.
IRS: I’m really sexy
Fair Value: What you give up when you buy stock
Unfair Value: What you receive when you sell stock.

Main difference in IAS (IFRS) and Indian AS – Part I

2009-06-11T23:31:00.001+05:30

Topic	IFRS	Indian AS
Presentation	Specific requirement for all items, do not have any impact on accounting.	In most cases Schedule VI has overriding requirements.
Inventories	Inventory held by broker trader is exempted from IAS.
	Interest for period of deferred settlement period is treated as interest exp.	Added to cost of material unless interest is specified in contract sales
	Net realisable value is calculated in every year. Increase in value of inventory is permitted.	Increase in value of inventory held from previous year can be done through prior period changes only.
Cash Flow statements	All cash and equivalents are integral part of cash management	Bank overdrafts are considered as financing activities.
	Cash flow from extra ordinary item is not permitted.
Changes in accounting policies	Retrospective application of changes. Opening balances are changed as if new accounting policies had always been applied.	Disclosure of material effect in financial statements, material effect on later period is also require disclosure.
Changes in accounting estimates and Errors	Same as above	Disclosure in statement in such a manner that impact can be perceived.
Dividends	Liability is created in the period when it is declared.	Recorded as liability before approval of financial statements
Deferred Tax	Computed for temporary difference between carrying amount in statement and tax base. (Some exemptions on business combinations)	Computed for timing difference P/L for financial purpose and for income tax purpose.
Fringe Benefit tax	Does not meet definition of income tax, added in cost.	Disclosed after P/L as separate item.
Replacement cost of fixed assets.	Capitalise if meets recognition criteria	Expensed when occurred
P&M – Compensation for impairment.	Recognised in P/L when it become receivable	Offset against replaced P &M.
P&M residual value, Life and Depreciation	Annual Assessment is required	No annual assessment
Lease – interest in leasehold land	Recognised as operating expense unless land is classified as investment	Leasehold land is classified as fixed asset.
Initial direct cost other than dealer or manufacturer in financial lease	Recognised as financial lease receivable and reduced from amount recognised over lease term.	Immediately in P/L
Initial direct cost of dealer or manufacturer in financial lease	As expense when selling profit is recognised	As expense at the inception of lease.
Determining of arrangements	Can be considered as lease on the basis of use of asset and right to use of asset	No provision, treated as expense only.
Lease incentive	Treated as reduction of rental income / Cost.	No provision
Concessions arrangements – Recognition	On the basis of nature of transaction, treated as operating or financial lease	No provision
Revenue	Amount collected from third party is not included at all.	Amount collected for third party i.e. Excise are shown as reduction
Revenue Measurement	Net of interest, calculated for deferred sale	Calculated as nominal amount.
Exchange transaction	Gain or loss is recognised in case of exchange of dissimilar assets.	No provision
Employees benefit – Actuarial valuation	Valuation at the end of each period	Valuation is carried out once in three year
Actuarial Gain or Losses	Optional to deferred gain above 10% of total value.	No option available.
Employee Benefit – Discount Rate	Market yields on high quality corporate bonds.	Market yields on government bonds.
Effects of change in foreign exchange rate on monetary items	Recognised as gain or loss immediately.	Foreign currency translation reserve is created.
Translation in the consolidated financial statements	Non – integral approach is available	Integral approach is additional

Government is Eyeing on new way of managing fiscal Deficit

2009-05-14T07:59:00.001+05:30

The Comptroller and Auditor General of India (CAG) plans to move from cash to accrual basis accounting in government within a five year time frame.

Reasons for transformation :

The accrual based financial statements are expected to provide more appropriate presentation of financial performance and position of the government. The Union and States would have a common format of financial statements that would include a Balance Sheet, a Statement of financial performance and a Cash flow statement. The framework for the accrual accounting shall be Indian Government Financial Reporting Standards (IGFRS) issued by GASAB. IGFRS are harmonized with International Public Sector Accounting Standards (IPSAS), the international standards for governments.

Methodology :

Stage 1 : The country’s priceless assets will carry a negligible price in the first of its kind valuation attempt, even as the government rejigs its accounting system and plans to put a value on all the assets it holds.

Stage 2 : Value would be assigned to the identified assets.

Basic Issues and Assumptions:

It was decided that all buildings and heritage sites that are in existence for more than 25 years and whose historical cost is not available would be given a notional value

Buildings that are less than 25 years old, the actual cost of construction will be provided, said G Srinivas, director with the GASAB secretariat.

Final decision on how to value the forests and lands owned by the Centre is yet to be taken. However, it has been decided that all acquired assets, including the land acquired under the Land Acquisition Act, would have to be provided upfront

Accounting Effect :

Implication of accrual-based accounting is for providing non-cash items like depreciation and bad debts. Based on the total value of assets, the government will decided on a appropriate rate of depreciation over the useful life of the asset.

Under liabilities, the government cannot keep certain liabilities outside its balance sheet. For example, off-Budget items like oil bonds issued to state-run refiners would have to be accounted for.

Economic Effect :

During last two decades, government is able to cover Fiscal deficit by capital receipts (most of them is through sale of government land and IPO of government companies. But it is not long term solution because government will become insolvent after few decades.

Now, CAG has come up with innovative solution that for first five years, government will make up all previous assets. So, high Capital Receipts will cover fiscal deficit for next 10 years. (Because it will give huge asset surplus. Do not forget that forest, railways, defence will be capitalised) No one will care for liability part. It will be left under logical incrimination approach of government officials.

Government Budget Extract

Result :

Government will allocate revenue expenditure into capital initial years, will decide low depreciation rate to same revenue losses, which is quite logical as all government assets are for very long term use. After 20 years we will reach to same problem again as logic of development government accounting will be exposed. (Provision and Depreciation will match capital expenditure, may be go higher).

But, we need not to worry because, we are creative and innovative, we will find some other method to overcome from that problem.

Resources :

Following can be read for details.

The Hindu ; Tax Guru ;Business Standard

Oil prices in India

2009-05-12T09:03:00.001+05:30

Latest crude oil price is $ 58.18per bbl, if we will convert it in indian terms, it is INR 18.30 per litre, which is very affordable to us. To calculate market value of finished product we have to add refining, distribution cost and profit of refinery.

To arrive on this figure we should rely on government companies data. If we analyse cost of production of these companies, we will find that these companies are not required to spend any money on refining these products. Their investment and infrastructure is giving them leverage to refine crude oil on loss, because their income from other sources are more than their profit.

(IOCL P & L and BPCL Annual Report )

But we are paying above 45 per litre (varying state to state) for petrol. Here is the Second question of wastage in quantity. 60% of crude oil are converted into petrol and there is only 5 % wastage in whole process. Remaining 35 % is sold in the form of Diesel or other lubricant. Some of them are sold at price above petrol.

Final thing, purity in petrol. As per indian government policy, all companies sold 85% pure petrol ( Speed – 90 %). 15 % of ethanol is mixed in these products to save foreign currency. This is waste product of sugar and alcohol industry. Any company need not to pay any thing for it. Supplier also provide free of cost transportation to oil company to save his cost of cycling.

After adding all these things price of petrol should not be more than INR 25. (if we assume that 40 % portion of crude oil remain unsold, which is quite unrealistic assumption)

We are paying above 45. We are paying difference on account of various duties levied by governments. (Central and State)

Will our new government will do anything for this or will enjoy this money for their own ???

New ways of betting in Cricket

2009-05-12T07:13:00.000+05:30

Latest Valuation of Brand

Brand Finance plc releases its valuation of this year’s eight 20/20 cricket teams playing in the current IPL tournament in South Africa. The IPL brand alone has a value of over $311million and has generated huge economic value for its owner, the Board of Control for Cricket in India, and the eight team franchisees. The entire enterprise is valued at US$2.01billion. Brand Finance’s methodology takes into account the following revenue lines: broadcasting, IPL sponsorship, team sponsorship, merchandising and gate receipts as well as the effect of performance, the catchment population of the city, the capacity of the stadium and the presence of iconic players. With India’s huge passion for cricket and its growing economy, the IPL has become the Asia’s premier sporting showcase and attractor of revenue. “The ultimate proof of the success of the IPL Branded System will come when the franchisees decide to list their teams. This is a real possibility in the next 2-3 years,” commented Unni Krishnan, Managing Director of Brand Finance India. Despite propping up the bottom of this year’s edition of the IPL taking place in South Africa, the Kolkata Knight Riders (KKR) are the most valuable franchise brand at US$42.1million. Celebrity co-owner Shah Rukh Khan’s hard-selling of the KKR brand has counteracted the team’s poor on-field performance. Rajasthan Royal’s brand value of US$39.5million at 59% of its franchise fee of US$67million, makes the reigning champions – part-owned by Bollywood actor Shilpa Shetty – IPL’s most profitable investment. “When determining our brand ratings we have paid particular attention the ability of the franchises to generate advertising revenue, as well as the potential size of their support base. Rajasthan and Kolkata scored highly in these respective measures,” said Brand Finance’s sports analyst, Alexander Bird. “The success of each franchise will ultimately depend on its ability to attract and retain supporters who come to watch the team, and not just the players.”

For more information, please contact: Alexander Bird, Brand Finance, Sports Consultant
x.bird@brandfinance.com Telephone: + 44 (0) 208 607 0300

* Assumptions - IFRS 3

Ways to Market -

Now all owners will go to stock market to earn profit and raise further money. It will turn sport into finance game. More money, more glamour and more persons will be involve. Profit of company will vary with wins. Day traders will welcome this opportunity because they will get something to do after close of market also. Accounting part of these teams will be definitely interesting, but what about match fixing.

Finance person are very smart, they will change the name of match fixing and it will be known as insider trading.

Recession solution

2009-03-24T23:24:00.002+05:30

We are discussing on recession and trying to find different ways to get out of this. We should look our past to learn how we overcome from it previously.
If we recollect Great Depression of 1931, we will find that only preparation of world war II was able to save us form that. It can be easiest solution this time also. We have to loose millions to save billions.

I have this easy solution, others can have better solutions also.

Social Responsibily of Organisation

2009-03-07T22:32:00.000+05:30

Main aim of organization is not to serve society, but it is to serve its own stakeholders. Government is responsible to take care society. Main aim of organization is to serve its stakeholders. Our expectation from organization to serve society is like expecting cool light from sun. Duty of sun is to provide us heat and light. It is our duty to protect ourself from harmful effects of Sun heat.

We never blame government or Sun for heat, then why should we blame to companies. If we keep apart corporate veil for some time, we will find that all current and previous stakeholders are responsible for unethical practices. If we take example of Enron, Satyam, or Worldcom, we will find that all shareholders who are blaming others, have actually earned profit from stocks of these companies. All banks have provided finance on higher rates. All employees were withdrawing good salary from company. All suppliers had earned profit by providing services on higher rates. Customers were enjoying heavily negotiated contacts.