Financial Activity: A Comprehensive Guide to Finance and Financial Entities
Financial Activity (Law 26702)
Finance
Finance, derived from economics, involves obtaining and managing money, resources, or capital by individuals or organizations. It encompasses how resources are acquired, spent, invested, or monetized.
Private Financial Activity
Private financial activity refers to the techniques used by individuals or organizations to manage their financial resources, particularly the balance between income and expenses, and the risks associated with their investments.
Public Financial
Read MoreEffective Control and Power Management in Organizations
Control and Power
Four Steps of the Control Process
- Establish and review standards set in the planning process.
- Measure performance at the strategic, tactical, and operational levels.
- Compare performance outcomes with the standards that were set.
- Make a decision:
- Successful performance should be rewarded.
- Unsuccessful performance should be corrected.
Goals
- Difficult but attainable
- Measurable
- Flexible
- Clearly stated
Departments and Measures to Analyze Them
- Marketing: They work to ensure that items are tailored
Joint Production Cost Allocation Methods and Assessment of Byproducts and Defective Products
Joint Production Cost Allocation Methods
A) Imputation Method Based on Market Value of Production Obtained
This procedure has been used with products with a very different market value based on the premise that the higher the sale price of a product in a market, the greater the production cost is. Therefore, it is a commercial basis, which consists of allocating joint costs in proportion to the sales prices in the market for each product.
The main criticism that is made to this procedure is the following:
Read MoreBusiness Startup Procedures: A Comprehensive Guide
Business Startup Procedures
1. Procedures Relating to the Constitution of the Company
- Certification Refusal of the Name: Verifies the availability of the company name.
- Granting of the Public: Formalizes the company’s establishment through a notarized deed.
- Liquidation of ITP and AJD: Pays taxes on the company’s formation.
- Registration of Public Deed in the Register: Grants the company legal personality.
2. Fiscal Procedures
- High in the IAE: Registers the company for the tax on business activities.
- Tax Identification
Banking Contracts: Types, Obligations, and Operations
CONTRACT BANKING:
We use two criteria to determine what type of contracts are considered as bank
1.Subjetivo:
The made by the Credit
Institutions.
2.Aim or functional banking contracts are part of integrated operations in indirect intermediation in the credit.
The core business of credit institutions is that credit intermediation.
But in addition to other services that also do not participate in that intermediation of credit.
Operations are called neutral
Such transactions are carried out by:
International Accounting Standards: A Comprehensive Guide
Objectives of Standardization
- Establish a common language for financial reporting
- Ensure comparability and understandability of financial information
- Enhance the usefulness of financial information for decision-making
Standard-Setting Bodies
International Accounting Standards Board (IASB)
- Issues International Financial Reporting Standards (IFRS)
Financial Accounting Standards Board (FASB)
- Issues U.S. Generally Accepted Accounting Principles (GAAP)
International Accounting Standards (IAS)
- Developed by the