Developmental need of children from ages 0-8 years Essay

Development is the process of learning new skills and abilities. A child’s development is the term given to the development of infants through childhood. Although all children will go through the same stages of development, not all of them will go through these stages at the same time. Childs development can be measured by the five key stages of development which are emotional, social, physical, language and intellectual. A child will go through these stages of development in the first eight years of their lives. Child’s development relies heavily on their growth through their growth their developmental stages evolve significantly. Physical Development: 0-2 years: After a baby is born physical contact begins when they lie on their backs, they are also inclined to turn their heads to sounds and movements. By six months when they hear their name they turn around to see who is around, they can touch their toes and discover their fingers, smile at familiar faces. They are able to put things in their mouth. As the child grows older they become more agile and will be able to crawl and shuffle around and may even attempt to walk unaided, raise their arms to be lifted, able to reach and hold food in their hands. At two they should be in the early stages of walking and feeding themselves. They become very independent at this age. 3-5 years: Within the ages of 3 to 5 the stages of child development get stronger. At this point they will have been able to walk up and down the stairs, catches a gently thrown ball, learns how to paint and names of colours, identifying them. At the age of four a child with have mastered pedalling their bikes, they are aware that this is how it is manoeuvred. They will be able to throw with aim. By the age of five the child will be able to copy shapes and letters, have more self control with their writing instruments. 5-8 years: By the time the child is between the ages of five and eight they will have developed immensely. Their concentration levels will have developed. They become more accustomed to discipline within an educational setting, their skills for drawing will have enhanced now knowing to colour between the  lines and their drawing will more resemble the objects they are trying to create. Intellectual Development: 0-2 years: Within the early months a child will make eye contact and focus on objects, they will also learn the sound of their mother’s voice. By six months the will be developing their co-ordination they will be reaching out with their hands to grasp an object offered to them. By twelve months they shall be developing their memory and will have the ability to remember thing such as a familiar face a favourite toy or comforter. They will also express emotions crying and laughing if others around do so they will express their emotions without knowing why. At the age of two a child will be amusing themselves with ‘pretend’ play with favourite toys they have and will adapt to making sounds from a variety of instruments. 3-5years: At the age of three a child will develop the stage of pretend play and become more complex. Their concentration span will increase; their memory will be developing very quickly. They will then be able to relate and understand past and future. By the age of five they will have a great understanding of numeracy and literacy, learning to count confidently. At this age they tend to become very curious and inquisitive and ask endless question, always needing to know about things. 5-8 years: By the time a child reaches this age they will be very independent. Their reading and writing skills will have progressed and advanced immensely. They will have developed in their drawings now resembling objects they want, they will be developing intellectually every day adjusting to education in a stronger sense than in their earlier years. Language Development: 0-2 years: Babies are only capable of expressing their language through crying, cooing and gurgling within the first 3 months, as they get older they become more expressive, responding to sound, laughing and imitating other sounds or noises. Although only and infant and unable to form sentences yet babies will begin mimicking animal noises or saying singular words such as (mama or  dada). By the time a child is two it is thought that they have a vocabulary of almost 50 words. Children of this age will begin to talk at a rapid speed and are said to enjoy taking part in conversations. 3-5 years: Children from the age of three shall now be able to speak in sentences expressing their vocabulary using past and present tenses without understanding that they are doing so. They enjoy hearing stories and listening to music at this age. By the time they are four they are likely to become very inquisitive asking a variety of questions about different things. 5-8 years: The child’s vocabulary will have increased significantly. They are very confident speakers and will have a great understanding of many words although they may not always use them. By eight years old they will be able to give accurate descriptions and should be able to recognise similarities. Emotional Development: 0-2 years: Within the first few months of an infant’s life they will show many expressions and shall be able to identify their mother and fathers voice. They thrive through interaction and are very trusting and they enjoy the contact with others. By the time a child is a year old it will be used to familiar faces and will become extremely wary of unfamiliar faces and may become distressed in their company. They also imitate the feelings of other people not knowing the reason why they are copying their reactions. When the child is two they develop fears and phobias such as fear of the dark or spiders. The child sense of identity progresses rapidly at this point. 3-5 years: They are more aware of their feelings and emotions at this stage; they are able to express how they feel. Increase in imagination. They are accepting to other people’s feelings and capable of concealing their own emotions. By the age of five as child will be very good at controlling their emotions. 5-8 years: Showing signs of competitiveness. Arguments emerge through competitiveness, either with siblings or students which will make the child more stubborn and demanding. Mood changes start to appear by the age of eight. Less arguments as they become more mature. Children depend greatly on peer approval; becoming accepted is highly rated at this age. Social Development: 0-2 years: Babies are very sociable. They like to know and participate in what’s going on around them. They enjoy company immensely. They may also begin to feed themselves as their social skills begin to develop. By the time a child is a year old they will have become less dependent on interaction as they will have learned to play alone. At the age of two they will be very independent and will insist on dressing and feeding themselves. 3-5 years: Capable of making friends and learning how to share and take turns. At this age they will resort to tantrums if they do not get their own way. Enjoy socialising. Forge friendships. By the age of five they will have made a number of friends. They will have a great understanding of what’s right and wrong. 5-8 years: May become less sociable and may wish to spend more time alone. May have a vast number of friends to whom they may fall in and out of company with. Prefer to surround themselves with trusted companions. As their confidence grows they will find their place in the social circle to which they are comfortable with.

Free Essays on Viking Conflicts

No matter what point in time, whether it be the first days of man’s existence or the present day, conflict and dispute has always existed between fellow man. Throughout time, improvements have been made in the methods of settling their disputes. Medieval Icelandic society exemplifies some of the various methods that have been used to settle conflicts through its unique legal system. Depending on the situation and those involved, the settlements ranged from savage blood feuds to ordered sentences of compensation or outlawry by members of an ordered assembly called The Althing. There are many examples of these conflicts incorporated into the three Viking sagas: The Tale of Thorstein Staff-Struck, The Saga of Hrafnkel Frey’s Godi, and The Saga of the People of Laxardal.   Ã‚  Ã‚  Ã‚  Ã‚  Surprisingly, medieval Iceland contained a well-organized legal system. This was comprised of a decentralized self-government including free farmers with positions of chieftains, thingmen, and their slaves. Early Iceland was divided into several districts, each containing three chieftains. The Althing, a general assembly that was held every year, contained people of every district and every position and discussed various cases, their settlements, laws, legal codes, etc.   Ã‚  Ã‚  Ã‚  Ã‚  Disputes that were settled legally followed certain guidelines and rules that were determined at The Althing. A previously and well prepared case was presented in front of the general assembly, composed of chieftains and thingmen, by an individual chosen to defend the accused and one to prosecute the accused. Basically, each side had to give reasons and provide witnesses to convince the jury to punish or request compensation from the accused, or to dismiss the entire case. The court then made a ruling and decided a sentence or amount of compensation. In Hrafnkel, Sam presents a case against Hrafnkel in front of The Althing to avenge his cousin Einar’s killing. Sam presents his c... Free Essays on Viking Conflicts Free Essays on Viking Conflicts No matter what point in time, whether it be the first days of man’s existence or the present day, conflict and dispute has always existed between fellow man. Throughout time, improvements have been made in the methods of settling their disputes. Medieval Icelandic society exemplifies some of the various methods that have been used to settle conflicts through its unique legal system. Depending on the situation and those involved, the settlements ranged from savage blood feuds to ordered sentences of compensation or outlawry by members of an ordered assembly called The Althing. There are many examples of these conflicts incorporated into the three Viking sagas: The Tale of Thorstein Staff-Struck, The Saga of Hrafnkel Frey’s Godi, and The Saga of the People of Laxardal.   Ã‚  Ã‚  Ã‚  Ã‚  Surprisingly, medieval Iceland contained a well-organized legal system. This was comprised of a decentralized self-government including free farmers with positions of chieftains, thingmen, and their slaves. Early Iceland was divided into several districts, each containing three chieftains. The Althing, a general assembly that was held every year, contained people of every district and every position and discussed various cases, their settlements, laws, legal codes, etc.   Ã‚  Ã‚  Ã‚  Ã‚  Disputes that were settled legally followed certain guidelines and rules that were determined at The Althing. A previously and well prepared case was presented in front of the general assembly, composed of chieftains and thingmen, by an individual chosen to defend the accused and one to prosecute the accused. Basically, each side had to give reasons and provide witnesses to convince the jury to punish or request compensation from the accused, or to dismiss the entire case. The court then made a ruling and decided a sentence or amount of compensation. In Hrafnkel, Sam presents a case against Hrafnkel in front of The Althing to avenge his cousin Einar’s killing. Sam presents his c...

Calculating a Confidence Interval for a Mean

Calculating a Confidence Interval for a Mean Inferential statistics concerns the process of beginning with a statistical sample and then arriving at the value of a population parameter that is unknown. The unknown value is not determined directly. Rather we end up with an estimate that falls into a range of values. This range is known in mathematical terms an interval of real numbers and is specifically referred to as a confidence interval. Confidence intervals are all similar to one another in a few ways. Two-sided confidence intervals all have the same form: Estimate  ± Margin of Error Similarities in confidence intervals also extend to the steps used to calculate confidence intervals. We will examine how to determine a two-sided confidence interval for a population mean when the population standard deviation is unknown. An underlying assumption is that we are sampling from a normally distributed population. Process for Confidence Interval for Mean With an Unknown Sigma We will work through a list of steps required to find our desired confidence interval. Although all of the steps are important, the first one is particularly so: Check Conditions: Begin by making sure that the conditions for our confidence interval have been met. We assume that the value of the population standard deviation, denoted by the Greek letter sigma ÏÆ', is unknown and that we are working with a normal distribution. We can relax the assumption that we have a normal distribution as long as our sample is large enough and has no outliers or extreme skewness.Calculate Estimate: We estimate our population parameter, in this case, the population mean, by use of a statistic, in this case, the sample mean. This involves forming a simple random sample from our population. Sometimes we can suppose that our sample is a simple random sample, even if it does not meet the strict definition.Critical Value: We obtain the critical value t* that correspond with our confidence level. These values are found by consulting a table of t-scores or by using the software. If we use a table, we will need to know the number of degrees of freedom. The number of degrees of freedom is one less than the number of individuals in our sample. Margin of Error: Calculate the margin of error t*s /√n, where n is the size of the simple random sample that we formed and s is the sample standard deviation, which we obtain from our statistical sample.Conclude: Finish by putting together the estimate and margin of error. This can be expressed as either Estimate  ± Margin of Error or as Estimate - Margin of Error to Estimate Margin of Error. In the statement of our confidence interval it is important to indicate the level of confidence. This is just as much a part of our confidence interval as numbers for the estimate and margin of error. Example To see how we can construct a confidence interval, we will work through an example. Suppose we know that the heights of a specific species of pea plants are normally distributed. A simple random sample of 30 pea plants has a mean height of 12 inches with a sample standard deviation of 2 inches. What is a 90% confidence interval for the mean height for the entire population of pea plants? We will work through the steps that were outlined above: Check Conditions: The conditions have been met as the population standard deviation is unknown and we are dealing with a normal distribution.Calculate Estimate: We have been told that we have a simple random sample of 30 pea plants. The mean height for this sample is 12 inches, so this is our estimate.Critical Value: Our sample has a size of 30, and so there are 29 degrees of freedom. The critical value for confidence level of 90% is given by t* 1.699.Margin of Error: Now we use the margin of error formula and obtain a margin of error of t*s /√n (1.699)(2) /√(30) 0.620.Conclude: We conclude by putting everything together. A 90% confidence interval for the population’s mean height score is 12  ± 0.62 inches. Alternatively, we could state this confidence interval as 11.38 inches to 12.62 inches. Practical Considerations Confidence intervals of the above type are more realistic than other types that can be encountered in a statistics course. It is very rare to know the population standard deviation but not know the population mean. Here we assume that we do not know either of these population parameters.

Sales Channels in Retail Industry Case Study Example | Topics and Well Written Essays - 3000 words

Sales Channels in Retail Industry - Case Study Example 2.2 Carrefour The Fournier and Defforey families created the Carrefour Company in 1959. They opened the first supermarket in 1960 in Annecy, France. Promodes was created in 1961 by the group and the first supermarket 'Promodes' was opened in the year 1962. A new concept of the hypermarket was invented in 1963 by the Carrefour group. The first hypermarket was opened in Sainte Genevive des Bois. In 1969 Carrefour opened a store abroad in Belgium. With a move into Belgium in 1969, Carrefour began its internationalization. tThe group Promodes adopted many banner names in the 1970s such as Shopi and Continent. We can say therefore that Carrefour was an important brand with the aim of growing and expanding its operations into new countries. By the end of 1971, the company was operating 16 wholly owned stores, had an equity interest in five stores operated as joint ventures, and had franchise agreements with seven additional stores. The idea of the hypermarket stressed mass sales, low delivery cost and discount everyday to achieve high rotation. by1999; it had 681 hypermarkets, 2,259 supermarkets, 3,124 hard discount stores, and 1,921 convenience stores and other formats selling under its banner. The stores were located mostly in France but also throughout Europe, Asia, and Latin America. Carrefour internationalized much faster than Wal-Mart. 3.0 Product Sector The Carrefour Group mostly deals with consumer goods and services. These include convenience goods such as food products, which are sold by all formats of retail stores, and shopping goods and services (household appliances, electronic devices) which are sold by hypermarkets only. For Wal-Mart, the major merchandise lines include house wares, consumer electronics and... As the paper declares Wal-Mart was founded in 1962 by Sam Walton and his brother James â€Å"Bud† Walton. They first started with a single discount store in Rogers, Arkansas. The Discount store consisted of servicing small and middle-sized towns at prices equal to or lower than prices in nearby cities. The company has registered a unique success story in the history of retail industry credited to the leadership of Sam Walton. The company internationally came off the ground by opening its first store abroad in Mexico City in 1991. The company then extended its international presence to Puerto Rico, Canada, China, Brazil, Argentina, South Korea and Germany and today operates more than 600 stores in international arena. According to the research findings the Carrefour Group mostly deals with consumer goods and services. These include convenience goods such as food products, which are sold by all formats of retail stores, and shopping goods and services (household appliances, electronic devices) which are sold by hypermarkets only. For Wal-Mart, the major merchandise lines include house wares, consumer electronics and groceries or food products. The two therefore deal with consumer goods and services hence are competitors as the products are similar. Wal-Mart differentiated business departments to thereby serving different market segments. Wal-Mart’s success is built on the practice of a lowest price everyday strategy that significantly reduces searching cost.

Research Essay Proposal Example | Topics and Well Written Essays - 3750 words

Essay - Research Proposal Example Graphics, not words, typically announced the name of a place of business within the towns and villages which were conveniently given names such as the â€Å"Golden Lion† or the â€Å"Boar’s Head.† This seemingly primitive use of symbols to provide a quick and easy message to customers continues to be used today in the form of company logos. Study of these various means of expression has provided historians with much information about the social issues and available technology of the time in which they were created. While graphic design has thus had a long and uninterrupted history, â€Å"the turn of a century precipitates introspection† (Meggs, 2005) and causes us to take a new look at the graphic art of our own world to ascertain what it is saying about our world. â€Å"As shapers of messages and images, Graphic Designers have an obligation to contribute meaningfully to a public understanding of environmental and social issues. Graphic designers have a r esponsibility to adapt new technology and to express their zeitgeist by inventing new forms and new ways of expressing ideas† (Meggs, 2005). The insights that the depth and variety of 20th century graphic design provides regarding the profound changes happening in today’s graphic design industry are revealed in the various art forms that have developed over time. Contemporary graphics are designed to be more functional and effective in response to social issues and technology which has helped designers to be more efficient in working today. The roots of what today’s researchers identify as the modern period are generally recognized to be twined about the natural forms and artistic investigations of the Arts and Crafts Movement of the 1860s and the Art Nouveau movement of the 1890s. William Morris is the acknowledged founder of the Arts and Crafts Movement in direct response to the ever-encroaching and dehumanizing standardization of

Globalization of Starbucks Case Study Example | Topics and Well Written Essays - 750 words

Globalization of Starbucks - Case Study Example Not only would the shop serve coffee, but also sell pastries, cakes and tea in an environment that provides a memorable experience. This transformation of the Italian coffee experience to the Starbucks of America tells us that ideas can be used across borders to strengthen the foundations of international business. If an Italian idea can appeal so strongly to an American, the same experience can very well indeed touch the lives of millions of coffee consumers in Asia, Africa or Australia. 2. What drove Starbucks to start expanding internationally? How is the company creating value for its shareholders by pursuing an international expansion strategy? Starbucks achieved phenomenal success in the United States of America, with over seven hundred stores all across the country by the year 1995. Being a country that is home to multitudes of multiethnic crowds all over the world, the success of Starbucks in America was an indication that the Starbucks experience was enjoyed by all, regardle ss of race, gender or ethnicity. This became the encouragement for Starbucks to venture into the international market. By spreading its operations globally, the company is not only minimizing risk, but also maximizing profits, both of which add increased value for the shareholders of the company (Rappaport). Additionally, dealing in the global market adds the value attached to dealing with foreign exchange, which implicitly results in a stronger portfolio for the individual who chooses to invest in a multinational company. 3. Why do you think Starbucks decided to enter the Japanese market via a joint venture with a Japanese company? What lesson can you draw from this? It was through penetrating the Japanese market that Starbucks set out on its first venture in to the international arena. Though confident of its success within America, the company could not be entirely sure of a similar success in other parts of the world. To reduce the risks of a prospective failure, Starbucks chose to commit to a joint partnership, in which the local Japanese retailer, Sazaby Inc., would share both the profits and losses of the joint venture. This was a wise and long sighted step on part of Starbucks, which showed that the prospect of loss should never be underestimated in the world of business. Apart from the financial aspect involved in making such a decision, the social and cultural aspects involved must also be taken into consideration. As an American company setting up business in Japan, Starbucks chose to hire Japanese employees working in its outlets, thus reducing a sense of alienation in the coffee experience Starbucks wished to sell. 4. Is Starbucks a force for globalization? Explain your answer. Starbucks has indeed proved itself to be one of the pioneers in the world of modern international commerce. Beginning with a humble start in Seattle, the company’s rise to success is inspiring to say the least. The success of Starbucks has taken the route of globaliz ation to reach this stage, and today, the word Starbucks has become symbolically synonymous to a laid back coffee experience in a uniquely relaxing ambiance. This is indeed one of the many effects of globalization, where a good or service can mean the same thing, regardless of their ethnic or geographic origin. On the other hand, the downside of globalization has also followed Starbucks, often in the form of international competitors, who duplicate the Starbucks coffee experience and offer it to

Significance of Departmental Accounting

Significance of Departmental Accounting This report has done on wide research of financial accounting. This report has five parts. First part includes departmental accounting and its significance. Second part shows a calculation for a given question. Third part includes four fundamental accounting concepts such as going concern, matching concept, prudence and consistency with examples. Forth part includes users and uses of financial accounting and statements. Finally fifth part shows a significance of local community for businesses and corporate social governance, how it began and its importance. 1.0 Departmental Accounts Departmental accounts may be stated as a procedure of book-keeping and accounting, the reason of which is to find how much profit (or loss) is made by each section or department of a business. In this context the term department means an income making department, as dealing outcomes will not be obtained for non-revenue making department for example maintenance, trading or management, etc. (Pendlebury Groves, 2004). If an enterprise comprise of five independent activities, or is divided into five departments, for carrying on separate functions, its management is generally involved in finding out the working outcomes of each department to ascertain their relative efficiencies. This can be made likely only if departmental accounts are prepared. Departmental accounts are of great help and assistance to the managements as information for commanding the enterprise more intelligently and effectively, since thereby all kinds of waste either of material or of cash are readily detected; furthermore attention is drawn to inadequacies or inefficiencies in the working of departments or units into which the enterprise may be divided (Pendlebury Groves, 2004). Significance of Departmental Accounts Preparation of Departmental accounts is helpful to the business in the following respects: Easy to comparing the performance of each departments Departmental accounts enable the businesses to compare the performance of one department with another department. It also helps an organisation to rank departments using their earning values. The overall profit on sales, namely RM 490,000 on a turnover of RM 2,730,000 is probably quite satisfactory; yet in the absence of departmental accounting the loss incurred by Department C and D would not be revealed. Easy to evaluate departmental growth Departmental accounting helps an organisation to evaluate each departmental growth separately on the basis of trading results over period of time. An endeavour may be made to push up the sales of the department which is earning maximum profit. To explain it further here is an illustration: The above table shows an individual product growth of ABC organisation for three years. Product D is a continuous loss making product whereas other products such as profit for product C is continuously decreasing over a period of time. Using departmental accounting for this organisation became easier for management to evaluate the performance of these products. Decision making Departmental accounting makes it simplier for management to make conclusions if they are having more than one product, they can actually forecast the future performance of a product. Most of the time decision includes some questions such as whether a product is profitable or not, if the product is not profitable whether they should continue to produce that product or just eliminate it, what would be consequences of eliminating a product. Here is a further interpretation using illustration 2. Management can actually decide whether they should continue to produce these five products based on their growth over a period of time. Let say product D as this product is continuously making loss since 2009, it became easier for management to decide whether they should produce product D or they should eliminate this product. Furthermore they can rank the product based on their profits. For example Product B is the most profitable product. Easy to prepare departmental budget Departmental budgeting assists an organisation to prepare budgets for each department. A budget ensures that an organisation can pay for costs for all products and dont have risk of going into debt to keep business running. To construct a complete budget, an enterprise must understand how to set aside finances for each department and understand how each department works simultaneously to make up the full-scale plan. ABC organisation can actually evaluate whether they can afford these departments or not. If we compare Department B and Department C, then B is a profitable department whereas C is loss making department. Now the management have to decide whether they can afford expenses for Department C in next year or not because they are not sure whether it can generate profit or not in next. 3.0 Four Fundamental Accounting Concepts 3.1 Going Concern Concept The going concern concept assumes that business will persist with its business activities in the foreseeable future; thus the accountant will not suppose that there is a desire to cut back on business operations or an intention to liquidate. The significance of this concept is that items should be valued not at their break-up value but at their net book value, based on the estimation of the cost of the depreciation provision. Without this assumption, preparation of the balance sheet would be much more difficult (Pizzey, 2001). Examples of going concern concept The RM 2.6 billion inventory for Sara Ltd in 2012 is reported at the cost originally paid to purchase the inventory. This is a reasonable figure because, in the normal course of business, Sara Ltd can expect to sell the inventory for this amount, plus some profit. But if it were assumed that Sara Ltd would go out of business tomorrow, the inventory would suddenly be worth a lot less. The going concern concept allows the accountant to record assets at what they are worth to a company in normal use rather than what they would sell for in a liquidation sale (Pizzey, 2001). Another example is fixed assets, we show fixed asset at cost less depreciation to rather their current value in the second-hand market, because they are held by the firm not for immediate resale, but to be used by the business until their working life is over. This is clearly an assumption on which the balance sheet is based (Pizzey, 2001). Before the accounts are certified as showing a true and fair view, the auditor must be satisfied that the company is a going concern and that it will continue to function successful in the future (Pizzey, 2001). This the profit measurement calculation is insulated from fluctuations in the value of fixed assets, and the spread of the capital cost of an asset over the years of its useful life, by depreciation, is supported by this principle (Pizzey, 2001). 3.2 Matching concept This is sometimes called the accruals principle. Its purpose is to match effort to accomplishment by setting the cost of resources used up by a certain activity against the revenue or benefits received from that activity. When a profit statement is compiled, the cost of the goods sold should be set against the revenue from the sale of those goods, even though cash has not yet been received. Expense and revenue must be matched up so that they concern the same goods and time period, if a true profit is to be computed. Costs concerning a future period must be carried forward as a prepayment and charged in that period, and not charged in the current profit and loss account. Expenses of the current period not yet entered in the books must be estimated and inserted accruals (Pizzey, 2001). Example of matching concept Jason pays rent for his guest house of 1000 RM per year, in a lump sum at the end of the year. If he did not use the accruals concept, accounts would show zero rent expenses for the first eleven months of operation and then a heavy rent expense at the end of the 12th month. In order to show more realistic and accurate monthly profit and loss accounts, he should accrue the sum of RM 1000/12 and then adjust for any differences at the end of the year. 3.3 Prudence Concept The prudence concept is often referred to as the conservatism concept. The preparation of accounts requires judgements to be made about the future and because of the uncertainties associated with this a prudent or cautious approach is required profit determination. Under this concept all expected losses should be taken into account immediately they are known about, whereas expected gains are not recognised until actually realized. An example of the widespread use of the prudence concept is closing stock valuation. The normal rules is that closing stock should be valued at cost but if the market value of the stock falls below cost then the market value should be used. This is the lower of cost or net realizable value that is generally applied to stock valuations (Pendlebury Groves, 2004). The prudence concept is clearly useful in terms of preventing over-optimistic calculations of profit to be reported. Overstatement of profit might lead excessive dividend payments being made or to incorrect investment decision being taken. However, the concept of prudence should not be taken to excess because the understatement of profit which would result might be just as misleading as overstatement and might discourage investment unnecessarily (Pendlebury Groves, 2004). 3.4 Consistency Concept In accounting there are often several acceptable ways of determining asset values and the proportion of the cost of assets that should be borne by each accounting period. The consistency concept requires there to be consistency if treatment of like items within each accounting period and from one period to the next. In other words once one of the generally accepted methods is chosen then the method should usually be used consistently from year to year (Pendlebury Groves, 2004). However, if there are compelling and justifiable reasons for changing the method of valuing a particular item. E.g. closing stock, then this is permitted under the consistency concept, but the impact of the change on current year profit and the impact the change would have had on accounts of the previous year should be reported to provide comparability (Pendlebury Groves, 2004). 4.0 Users and Uses of financial statements and accounting information There are different kinds of users of financial statements. The users of financial statements may be inside or outside the business. They use financial statements for a large variety of business purposes and their ability to understand and analyse financial statements helps them to succeed in the business world. 4.1 Classification of Users of Financial accounting Information The five users of financial statements are classified and explained as follows: Investors Investors are concerned about risk and return in relation to their investments. They require information to decide whether they should continue to invest in a business. They also need to be able to assess whether a business will be able to pay dividends, and to measure the overall performance of the business management (Riley, 2012). Customers Customers require information about the ability of the business to survive and prosper. As customers of the companys products, they have a long-term interest in the companys range of products and services. They may even be dependent on the business for certain products or services (Riley, 2012). Employees Employees are seeking security of employment and a return for the work they do. Employees would therefore be looking for indications that the company is doing well enough to continue to trade into the future and is doing well enough to continue to employ them and is able to meet the salary and wages bill each month. If there is any profit or performance related component to the remuneration they will also be interested in the company performance and how close it is to triggering the bonus payments (Riley, 2012). Government There are many government agencies and departments that are interested in accounting information. For example, the IRCE needs information on business profitability in order to levy and collect Corporation Tax. For example: Various regulatory agencies (e.g. the Competition Commission and the Environment Agency) need information to support decisions about takeovers and grants (Riley, 2012). Bankers The banks are a common source of short term funds for an organisation, and the place where cash is deposited as it is received. If the bank gives loan to the company then they will be interested in the ability of the company to pay its interest and the loan amount back on the due dates. How profitable the company is and how good it is being managed will be important areas they will look at. In the case of small businesses this will revolve around the faith they have in the owner/manager (Riley, 2012). 4.2 Classification of uses of financial accounting information Accounting provides companies with various pieces of information regarding business operations. It is often conducted by a companys internal accounting department and reviewed by a public accounting firm. Small businesses often have significantly less financial information recorded during the accounting process. However, business owners often review this financial information to determine how well their business is operating. Accounting information can also provide insight on growing or expanding current business operations (Vitez, 2012). Performance Management A common use of accounting information is measuring the performance of various business operations. While financial statements are the classic accounting information tool used to assess business operations, business owners may conduct a more thorough analysis of this information when reviewing business operations. Financial ratios use the accounting information reported on financial statements and break it down into leading indicators. These indicators can be compared to other companies in the business environment or an industry standard. This helps business owners understand how well their companies operate compared to other established businesses (Vitez, 2012). Create Budgets Business owners often use accounting information to create budgets for their companies. Historical financial accounting information provides business owners with a detailed analysis of how their companies have spent money on certain business functions. Business owners often take this accounting information and develop future budgets to ensure they have a financial road map for their businesses. These budgets can also be adjusted based on current accounting information to ensure a business owner does not restrict spending on critical economic resources (Vitez, 2012). Business Decisions Accounting information is commonly used to make business decisions. Decisions may include expanding current operations, using different economic resources, purchasing new equipment or facilities, estimating future sales or reviewing new business opportunities. Accounting information usually provides business owners information about the cost of various resources or business operations. These costs can be compared to the potential income of new opportunities during the financial analysis process. This process helps business owners understand how current business operations will be affected when expanding or growing their businesses. Opportunities with low income potential and high costs are often rejected by business owners (Vitez, 2012). Investment Decisions External business stakeholders often use accounting information to make investment decisions. Banks, lenders, venture capitalists or private investors often review a companys accounting information to review its financial health and operational profitability. This provides information about whether or not a small business is a wise investment decision. Many small businesses need external financing to start up or grow. The inability to provide outside lenders or investors with accounting information can severely limit financing opportunities for a small business (Vitez, 2012). 5.0 Why community is important for an organisation A local community is a group of interacting people sharing an environment. In human communities, intent, belief, resources, preferences, needs, risks, and a number of other conditions may be present and common, affecting the identity of the participants and their degree of cohesiveness (Post, Lawrence, Weber, 1999). Business activity occurs within a community, and it is important that the community is considered in major business decisions. Businesses face community in different roles such as they could be potential employees and customers who can help the organisation be successfully. Without the community there would be no business. Community can influence business in different manners such as (Post, Lawrence, Weber, 1999) Customers as a community Community can decrease demand for an organisations product because customers are also a part of community. If businesses affect community in a negative manner such as providing low quality product, harming environment by pollution and so on, then customers as a part of community will start reducing their demand for that particular businesses product. If demand for their product will decrease then the company would be making a serious loss and without making profit, an organisation cannot survive (Taylorr, 2010). Employees as a community Employees are also a part of community and they also have a power to influence an organisation. If an organisation does not play a good role in community, then employees can actually strike or stop working in that organisation. Labour strike is a serious problem for an organisation because it can reduce the production. Reduction in production can also be a loss making situation for an organisation (Taylorr, 2010). Investors as a community Investors also play a role as a community for an organisation. By having a bad image in community, it stops investors to invest in particular businesses because investors are concern with their return on investments. If an organisation has a bad image on community, chances are high for decrease in stock value of an enterprise, which will effect investors decision of investing in a particular organisation (Taylorr, 2010). There are many other reasons which create a value of a local community for an organisation while making decisions. The best idea for survival of an entity is to have a good relationship with local community. 5.1 Corporate Social Responsibility Corporate social responsibility means that a corporation should be held accountable for any of its actions that affect people, their communities, and their environment; it implies that negative business impacts on people and society should be acknowledged and corrected if at all possible. It may require a company to forgo some profits if its social impacts are seriously harmful to some of its stakeholders or if its funds can be used to promote a positive social good (Post, Lawrence, Weber, 1999). 5.1.1 How corporate social responsibility began In the United States, the idea of corporate social responsibility appeared around the turn of the twentieth century. Corporation at that time came under attack for being too big, too powerful, and guilty of antisocial and anticompetitive practices. Critics tried to curb corporate power through antitrust laws, banking regulations, and consumer-protection laws. Faced with this kind of social protest, a few farsighted business executives advised corporations to use their power and influence voluntarily for broad social purposes rather than for profit alone. Some of the wealthier businesses leaders for example steelmaker Andrew Carnegie became great philanthropists who gave much of their wealth to educational and charitable institutions. Other like, automaker Henry Ford, developed paternalistic programs to support the recreational and health needs of their employees. The point to emphasize is that these business leaders believed that business had a responsibility to social that went beyond or worked in parallel with their efforts to make profits (Post, Lawrence, Weber, 1999). As a result of these early ideas about businesss expanded role in society, two broad principles emerged which are: The Charity Principle and The Stewardship Principle. These principles have shaped business thinking about social responsibility during the twentieth century and are the foundation stones for the modern ideas of corporate social responsibility (Post, Lawrence, Weber, 1999). 5.1.2 Importance of Social Governance in businesses An easy way to build its brand, reputation and public profile Being socially responsible creates goodwill and a positive image for an organisation. Trust and a good reputation are some of companys most valuable assets. In fact, without these, one wouldnt even have a business. One can nurture these important assets by being socially responsible (Taylorr, 2010). It is however, crucial that an organisation devise the right socially responsible program for their business. When used properly, it will open up a myriad of new relationships and opportunities. Not only will an association success grow, but so will companys culture. It will become a culture which an entity, its staff and the wider community genuinely believe in (Taylorr, 2010). It attracts and retains staff Socially responsible companies report increased employee commitment, performance and job satisfaction. By attracting, retaining and engaging staff, doing well for others reduces an organisations recruitment costs and improves work productivity (Taylorr, 2010). It attracts more customers Branding business as socially responsible differentiates it from competitors. The Body Shop and Westpac are companies who have used this to their advantage. Developing innovative products that are environmentally or socially responsible add values and gives people a good reason to buy from that organisation (Taylorr, 2010). It attracts more investors Investors and financiers are attracted to companies who are socially responsible. These decision-makers know this reflects good management and a positive reputation. Businesses should not underestimate this influence; it can be just as important as a companys financial performance. In fact, it may be the deciding factor in choosing to support company (Taylorr, 2010). It encourages professional and personal growth Employee can develop their leadership and project management skills through a well-designed corporate social responsibility program. This may be as simple as team building exercises, encouraging employees to form relationships with people they would not normally meet (Taylorr, 2010). It helps to cut business costs Environmental initiatives such as recycling and conserving energy increase in-house efficiency and cut costs. Introducing a corporate social responsibility program gives an organisation a good reason to examine and improve on its spending (Taylorr, 2010). 6.0 Conclusion After conducting this report we have learn that departmental accounting is compulsory for an organisation with more than one department because it make business activities more effective. Another thing we have learn is it very important for a survival in a local community to perform corporate social responsibilities, without doing right for community its hard for an organisation to survive in long term. Furthermore we have learnt that it is compulsory for businesses to apply fundamental concepts while preparing financial statements.