COVER STORY

Intangible Assets : An Introduction

-- Archana Dinesh Mehta and Pankaj M Madhani

This article is an introduction to intangible assets and focuses on their definition, measurement and management. It differentiates between tangible and intangible assets and provides broad categories of intangible assets under International Accounting Standard Board (IASB). It also highlights the emerging importance of intangible assets in the world economy and discusses several valuation methods.

© 2008 IUP . All Rights Reserved

FINANCIAL REPORTING

Measuring Financial Health : A Z-Score Analysis

-- YV Reddy and Annie Rodregues

This article deals with the meaning of financial distress, its effects and also some of the indicators of financial distress. Financial distress, if not tackled on time, will lead to bankruptcy. This article aims at using bankruptcy prediction model developed by Edward Altman, Professor of Finance, Stern School of Business, New York University, i.e., the application of Z-Score method to Geno Pharmaceutical Company Ltd., for the purpose of predicting its financial health.

© 2008 IUP . All Rights Reserved

FINANCIAL REPORTING

Financial Performance Appraisal of TISCO

-- Mritunjay Kumar Pandey

The financial health of any organization decides its future. By analyzing ratios-effects relationship, an organization's future can be predicted. For better understanding of these ratios, their cause and effect on relationship are also discussed. An attempt has also been made to make it a comprehensive study with an example of steel giant TISCO.

© 2008 IUP . All Rights Reserved

FINANCIAL REPORTING

Dividend Distribution Tax (DDT) in India : A Critical Review

-- Pradeep Kumar Singh

Dividend Distribution Tax (DDT) is imposed on the domestic companies when they declare and pay dividends out of the current year profits or accumulated profits or reserves. It is a specific tax, on payment of dividend for the previous year, even when a company has no profits during the current financial year. This article highlights the origin of DDT, the rationale behind it and provides a critical evaluation of the policy during the last 10 years.

© 2008 IUP . All Rights Reserved

BUSINESS ENVIRONMENT

Capitalization of Borrowing Cost : Murky Waters Ahead

-- Zacharias Enslin

In August 2007, the revised International Accounting Standard (IAS 23) Borrowing Costs become a reality for South African GAAP (the International Accounting Standard was issued in March 2007).

© 2008 This article was first published in February 2008 issues of Accountancy SA (www.accountancy.org.za), a South African Institute of Chartered Accountants (SAICA) publication. Reprinted with permission.

BUSINESS ENVIRONMENT

Infusing Hedge Fund Investors with Confidence

-- Kevin H Connelly

Hedge fund investments are coming under increased scrutiny due to the current global financial climate. This article looks at how automated reconciliation can provide hedge funds with improved internal controls that mitigate risk, reduce errors, increase financial transparency and ensure accurate and timely reporting.

© 2008 This article was originally published in gtnews.com on January 24, 2008. Reprinted with permission.

ACCOUNTING STANDARDS

Accounting for Intellectual Property Rights

-- NM Khandelwal

Intellectual Property Rights (IPR) and their accounting have attracted a special attention after World Trade Organization (WTO) has come into existence. The WTO has stressed on the need for protection of IPR. Indian Accounting Standard (AS26) and International Accounting Standard (IAS 38) are related to IPR Accounting. This article is a piece of conceptual and theoretical research in the emerging field by IPR Accounting.

© 2008 IUP . All Rights Reserved

SPPECH

A Focus on Section 404 of the Sarbanes-Oxley Act : Address by the US Securities and Exchange Commissioner in London

-- Kathleen L Casey

SEC adopted new guidelines along with Public Company Accounting Oversight Board (PACOB) to reduce costs and burden of Section 404 of the Sarbanes-Oxley Act. The commission has a proposal of extending the deadline for small issuer compliance with the audit requirement of 404(b) and implementation issues. As per 2005 road map, the SEC approved the elimination of the reconciliation requirement to the US GAAP for foreign private issuers.

© 2008 US Securities and Exchange Commission (www.sec.gov). Speech by Kathleen L Casey, Commissioner, Conference Co-sponsored by the Public Company Accounting Oversight Board in London, England, March 6, 2008. Reprinted with permission.