Two Degree Mobile case study - Free Essay Example

EXECUTIVE SUMMARY Two degree mobile company is New Zealand s newest mobile network company. It launched in 2009. It is a private telecommunication industry. It establishes branches in various places but headquarter in Auckland. The market is highly concentrated with two large mobile network operators Vodafone and Telecom with a combined market share of approximately 90% of mobile subscribers and a recent new entrant Two Degrees with approximately 10% of subscribers. Market concentration is even higher if market shares are estimated by revenue levels rather than by subscriber numbers. The Commerce Commission has expressed a number of concerns relating to market performance à ¢Ã¢â€š ¬Ã¢â‚¬Å" especially in relation to the high level of prices and low volume of mobile voice calls; and the level of on-net discounts and traffic for voice and SMS services. On the basis of its belief that the combination of on-net pricing and high mobile termination rates creates barrier that restricts the ability of small network operators to compete with larger Mons, the Commerce Commission has introduced measures to monitor on-net discounting and traffic patterns. It has also determined that the price of the mobile termination access service should decrease towards its estimate of the underlying cost of providing the service. While Two Degrees is playing an important role in promoting competition in the New Zealand mobile market, we find that it will continue to face a number of challenges as it seeks to compete more effectively in the future. In particular, we find that: It is still, effectively, a new entrant in the New Zealand mobile market as it has deployed its own network in only some parts of the country, and is still seeking to roll-out its network in new areas. Further, it is still seeking to upgrade its network to match the network functionality of the existing Mons, and has yet to enter the large business and government market segments. Two Degrees is yet to turn over an annual operating profit despite acquiring almost 10% of market subscribers, which implies that it may not have yet reached minimum efficient scale. Overall mobile industry revenue growth rates are presently flat, with declining voice revenues being roughly matched by increases in SMS and data revenues. Prospects for rapid revenue growth are also limited given Two Degrees has entered the New Zealand mobile market during a mature phase of its development, with mobile penetration levels already in excess of 100%. For so long as Two Degrees has a significantly lower market share of mobile subscribers, it will always be vulnerable to the risk of anti-competitive on-net pricing offers being launched by its rivals in a way that could limit its ability to attract new customers. While Two Degrees continues to have its own network only deployed in major population centres in New Zealand; it will always be dependent on its rivals to provide nationwide network coverage via the acquisition of a national roaming service that is not, at present, subject to access price regulation. Question 1: Explain the role strategic marketing occupies in organization. Your answer must address how planning, decision making, selecting and pursuing marketing opportunities achieve sustainable competitive advantage. Strategic marketing: Marketing strategyis the goal of increasing sales and achieving a sustainablecompetitive advantage.Marketing strategy of 2 degrees includes all basic and long-term activities in the field of marketing that deal with the analysis of the strategic initial situation of a company and the formulation, evaluation and selection of market-oriented strategies and therefore contributes to the goals of the company and its marketing objectives. Planning: 2 degrees use the planning function for achievement of its goal. 2 degrees starts the planning with situation of current operation of an organization and identifies what needs to be improving for next year. 2 degrees also involves the result which they want to achieve and determine the process step by step. Decision making:- In an organization after planning decision making is done. First the manager make plan and then make decision on that plan to achieve goods of organization. After planning the manager takes the main decision and starts work step by step and then achieve the goal of organization. Selecting marketing opportunities to achieve sustainable competitive advantage: To achieve the advantages, the organization has to select the different marketing opportunities. After get the advantages of competitive part, the organization can achieve the goals. There are many competitive of 2 degrees like Vodafone, Telecom, Skinny mobiles and many more so 2 degree use this function for achieving the competitive advantage. Question 2: Explain the term marketing strategy in terms of how such a strategy helps a business unit achieve its marketing objectives. Product: Companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s product which company planning to market is with complete for new generation smart phone which have latest and new features which no other company provide. 2 degrees provide many facilities and plans for latest phones like it gives high speed internet and cheaper plans like in $29; customers get 300 minutes, 1 GB internet data and unlimited texts. So by these types of products, most of the customers are attracted by it and use 2 degrees. Promotion: This promotion can be achieved by powerful advertisement on media channels and by advertising the products on Internet too which acts a powerful advertisement tool nowadays. Secondly the advertisement can be carried out in magazines and newspaper. 2 degrees uses banners and posters as a promotion to attract the customers. Price: For this strategy, companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s main targets are all the people who uses the brand new product in smart phone world and college going students because they mostly uses internet so 2 degrees set the price by which they are satisfied. Company also give many types of plans like low roaming rates, low rates on international calling and so on. Place: If company segment the market clearly, then only we come to know potential place, while considering targeted customer living territory and distribution facilities. 2 degrees most of the sales are depending on the place strategy. 2 degrees arrange its most of branches in the city area or that place where population is high so they get more profit Question 3: Explain, identify and describe the six stages of strategic marketing planning process. Establish ability to work: In this point, manager has to make different teams for divide the work and then allocate all the resources and clarify all the task of plan. Also clarify the roles for different groups or team and make the situation to work. By all these, a person can establish the ability to work and start planning process. 2 degrees make the teams and the main in the team is established the work ability in the team. By this all the team members are take interest in their work so the manager established the ability in many ways like to give promotion, to give best worker price by this all the workers have ability to work hard. Analyse problem: For analyse problem, First thing is to collect all the information about problem and assess the importance of problem and also effects on society. Then try to get feedback from stakeholders. Develop alternate solution: After finding problem, first is to check the team staffing and collect alternative information. Than search for possible situation and after that define and describe the solution for the solving of problem. Evaluate alternative solution: For evaluation, First thing is to assess problem solving potential and derive potential efficiency. Moreover, estimate the expenditures and get cost efficiency also. Another thing is to collect adjusted efficiency adjusted efficiency and assess the acceptance of political parties or department. Set planning priorities: For solving the planning priorities, First thing is to estimate the expenditure of planning and then assess planning urgency and synergies and also derive planning priority by all these elements, planning priorities are set. ThePriority Setting Process Checklist(PSPC) provides a systematic approach to planning for priority setting. This tool is particularly useful when decision makers are allocating finite resources among multiple competing priorities, as ithelps users to identify necessary elements before the priority-setting process begins. Determine next step: For this step, first check completeness of decision draft and also assess recommendation for the planning process and at last make decision. Question 4: Explain the links between strategic marketing and corporate strategy. Mission statement: Mission statement is a statement of an organization or a company. The mission statement should guide the action of the organization and also give guidelines for decision making. It provides the framework for achieving the goal of a company. According to Bart, the commercial mission statement consists of three essential components: Key market: For 2 degrees all the people are targeted customers. Contribution: 2 degrees provide many types of services to their customers like to choose their own numbers for their card, online top up, high speed internet or 4G speed internets, cheaper plans, returns and refund policies, to solve customerà ¢Ã¢â€š ¬Ã¢â€ž ¢s problems immediately and many more. It is a contribution of 2 degrees so customers are attracted by it and trust on it. Distinction: There are many services of 2 degrees but some are unique or most of the customers are like some of the services like to choose own numbers, return and refund, customers get the immediate solution of their problems etc. So this is distinction of two degrees and ità ¢Ã¢â€š ¬Ã¢â€ž ¢s all about why most of the people are using 2 degrees. Organizational structure: Anorganizational structuredefines how activities such as task allocation, coordination and supervision are directed towards the achievement of organizational aims. It can also be considered as the viewing glass or perspective through which individuals see their organization and its environment. Organizationsare a variant ofclustered entities. Every organization should concern about its structure. The structure clarifies relationship, roles and responsibilities. There are 5 main points in this structure: Job title. Specific task required. Supervisor and Sub ordinates. Units of department. Minimum skills for job. Corporate responsibilities and ethics: Corporate socialis a form ofcorporateself-regulationintegrated into abusiness model. CSR policy functions as a self-regulatory mechanism whereby a business monitors and ensures its active compliance with the spirit of the law, ethical standards and internationalnorms. In some models, a firms implementation of CSR goes beyond compliance and engages in actions that appear to further some social good, beyond the interests of the firm and that which is required by law. It is one type of the responsibility of 2 degrees to follow it for knowing of what is right and what right things to achieve the goal in the short time because it involves learning what is wrong and what is right and then doing right things to achieve the organizational goal. Ethics teach different rules of organization to the staff in very easy and simple way. Dynamic strategy: The word à ¢Ã¢â€š ¬Ã‹Å"dynamicsà ¢Ã¢â€š ¬Ã¢â€ž ¢ appears frequently in discussions and writing about strategy, and is used in two distinct, though equally important senses. Thedynamics of strategy and performanceconcerns the à ¢Ã¢â€š ¬Ã‹Å"contentà ¢Ã¢â€š ¬Ã¢â€ž ¢ of strategy à ¢Ã¢â€š ¬Ã¢â‚¬Å" initiatives, choices, policies and decisions adopted in an attempt to improve performance, and the results that arise from these managerial behaviours. By using of thedynamic model of the strategy process, 2 degreesmakes a way of understanding how strategic actions occur. It recognizes thatstrategic planningis dynamic, that is, strategy-making involves a complex pattern of actions and reactions. It is partially planned and partially unplanned. A literature search shows the first of these senses to be both the earliest and most widely used meaning of à ¢Ã¢â€š ¬Ã‹Å"strategy dynamicsà ¢Ã¢â€š ¬Ã¢â€ž ¢, though that is not to diminish the importance of the dynamic view of the strateg y processes. Knowledge management system: 2 degrees uses the knowledge management system because it is the process of developing, sharing and effectively using organizational knowledge. It uses the best knowledge to achieve organizational objectives by using multi-disciplined approach. Knowledge management efforts typically focus on organisationalobjectivessuch as improved performance,competitive advantage,innovation, the sharing of lessons learned, integration andcontinuous improvementof the organisation. KM efforts overlap withorganisational learningand may be distinguished from that by a greater focus on the management of knowledge as a strategic asset and a focus on encouraging thesharing of knowledge. It is seen as an enabler of organisational learning and a more concrete mechanism than the previous abstract research. It includes courses taught in fields of business administration and management. So thatà ¢Ã¢â€š ¬Ã¢â€ž ¢s why 2 degrees uses the knowledge management system and it is very important for it. Reference: www.google.co.nz www.2degrees.co.nz

Asian American And Eating Disorders Essay - 912 Words

Asian American s and Eating Disorders Introduction When one thinks of the ideal physique and what it takes to achieve this, most simply go to diet modification and exercise. However when it comes to adolescents, the need to fit in is immediate and often time fast measures are taken to achieve what they consider as the perfect body. Adolescent culture is ever changing but when combined with home cultural views the stress that it can place on a teenager to conform can lead to development of disordered eating. There are few studies on Asian American’s (AA) and their cultural views on weight, however much is being learned. AA’s have always been pen-pointed as being the group that have maintained cultural values through the generations. AA with disordered eating have shown the need to please parents and achieve not only academically but also in appearance (i.e., presenting oneself in a certain way), and this is linking family pride is linked to their children’s achievement and appearance (Tsong Smart, 2015). Even wit h all we know, pathways to disordered eating are complex and have various outliers, and still are not very well understood (Streiegel-Moore Bulik, 2007) Just about all patterns of disordered eating begin with dieting, unrealistic outcomes, and problematic views of the world around (Zastrow Kirst-Ashman, 2016). Eating Disorders (ED’s) Anorexia Nervosa Anorexia nervosa, is a condition that causes those who struggle with weight to go through â€Å"voluntaryShow MoreRelated Eating Disorders, Body Image and Cultural Contexts Essay1306 Words   |  6 PagesEating Disorders, Body Image and Cultural Contexts Although a great deal of early research on body image and eating disorders focused on upper/middle class Caucasians living in America or under the influence of Western ideals, many researchers are realizing that eating disorders are not isolated to this particular group. They are also realizing the differences in body image between occur in different races and genders (Pate, Pumariega, Hester 1992). Recently, several studies have shown that eatingRead MoreThe Relationship Between Ethnicity And Risk Factor For Eating Disorders1721 Words   |  7 Pagesfor Eating Disorders The relationship between ethnicity and eating disorder risk factors is a complex issue. There are many other variables that affect these two ideas, such as socioeconomic status, level of educational attainment, and acculturation. Flaws in studies such as unrepresentative and insubstantial sample size, and participation bias still have yet to be corrected for in order to obtain a more accurate understanding of the role ethnicity and its factors plays in eating disorders. PreviousRead MoreBinge Eating in Non-Western Cultures1038 Words   |  5 PagesLiterature regarding eating disorders in non-Western cultures in general is scarce. Very few studies address disordered eating in cultures outside of the Western and Westernized world. This could be because of the perceived lack of eating disorders in non-industrialized countries or even because there is an overwhelming amount of concern over eating disorders in Western society. However, there have been several studies done on binge eati ng and dietary restraint in non-western citizens and in non-CaucasianRead MoreA New Kind Of Epidemic1476 Words   |  6 Pagesof norms, generally attributed to Western civilizations, seeking to construct this idealized image of what beauty should be. Popular media, intentionally or not, has managed to successfully disseminate all over the globe. The Globalization of Eating Disorders written in 2003 by English professor and feminist philosopher Susan Bordo, makes some strong points that seriously need to be taken into account if we want to identify and subsequently fight to eradicate a variety of psychological problems,Read MoreThe Prevalence, Etiology, And Treatment Of Eating Disorders2893 Words   |  12 PagesEating disorders seem to have become more common during the latter half of the 20th century, during a period of American beauty icons becoming thinner and women’s magazines publishing more articles on methods for weight loss (Garner, Garfinkel, Schwartz, Thompson, 1 980). Dissatisfaction with one’s own body a result of the increasingly thin depictions of female body shapes in the mass media has been mainly attributed to the Caucasian young female population (Striegel-Moore, Silberstein, RodinRead MoreEating Disorders : Anorexia Nervosa974 Words   |  4 PagesI have always been intrigued with eating disorders, particularly Anorexia Nervosa. When I was 18 years of age, my mother questioned whether or not I was Anorexic and she took me to the family practitioner, who then informed me that I was three pounds shy from being considered underweight. I knew I was thin, but I was really thin, but also really proud of my size. In an African American urban environment being thin was related to illness and drug abuse. I was often teased about how thin and fragileRead MoreDID Essay1460 Words   |  6 Pagesthan men. In addition to experiencing separate identities, individuals living with DID may also experience many other symptoms (Dissociative i dentity disorder - children, causes, DSM, functioning, effects, therapy, adults, drug, n.d.). Retrieving and dealing with memories of trauma is important for a person living with DID, because this disorder is believed to be triggered by physical or sexual abuse in childhood. Young children have a pronounced ability to dissociate and it is believed that thoseRead MoreMedia Consumption Of Non Western Countries1414 Words   |  6 PagesNon-Western countries will be analyzed because it has a substantial impact on their eating disorder demographics. The beauty standards in Non-Western countries differ from that of Western countries when observing certain cultures. For instance, rather than slenderness being the predominate factor for the ideal body type, some Non-Western cultures perceive more fuller body types as optimal. According to the article, â€Å"Eating disorders: Across the cultural dimensions,† plumpness is the most desirable and attractiveRead MoreA Study On Eating Pat hology Among Latinas Essay1134 Words   |  5 PagesTHEORETICAL PROPOSITIONS There is a lack of studies that investigate the eating pathology among Latinas even though there is evidence that a binge eating component (i.e. binge eating disorder, bulimia nervosa) is more prevalent among Latinas compared with other races. For those who are engaged in binge eating tend to have unrealistic high expectations for themselves, which often are difficult to achieve. When the individual, in this case a Latina, has fallen short of these high expectations,Read MoreEating Disorders Among Different Cultures: Annotated Bibliography1769 Words   |  8 Pagesthe relationship between acculturation to the mainstream U.S. Society and eating and body-related concerns among Mexican American women. Journal Of Counseling Psychology, 56(3), 430-440. doi:10.1037/a0016382 Discusses how ethic identity, familism, and enculturation serve as protection from issues of acculturation to mainstream U.S. society, specifically eating and body related concerns faced by Mexican American women. Results reveal that adherence to family values may serve as protection

Essay on Archimedes - 1094 Words

In the city-state of Syracuse, Sicily a Greek mathematician who would soon make history was born: Archimedes From his birth to his adulthood, he proved just how much of a difference one man could make. Through the use of science and mathematics, Archimedes was able to leave a major impact on ancient society. During his youth, Archimedes was an ambitious learner. His father, Phidias, would make Archimedes solve numerous math problems. He solved most of them correctly, proving to his father that he was worthy of a solid education (Zannos 21). He studied in Alexandria, Egypt under the guidance of Euclid. Besides math, Phidias would often take Archimedes for walks at night. During those walks, Archimedes was intrigued by the stars of the†¦show more content†¦King Heiron had just received his crown from the goldsmith and asked Archimedes to test if it was pure gold. Using the density of gold and laws of hydrostatics, Archimedes determined that it was not pure gold and that some o f it had in fact been replaced by a cheaper metal. The goldsmith had cheated the king (Hoffman 32). Without Archimedes, the king would have never known the truth. In the field of Mathematics, Archimedes was able to make the most advances in the subject of Geometry. To help people have a better grip on what exactly Geometry was, Archimedes wrote a few books. His three most notable novels were Measurement of a Circle, On Spirals, and On the Sphere and Cylinder. In his books, Archimedes didn’t just tell the reader how Geometry worked; instead, he explained his theorems through careful reasoning (Gow 12). Archimedes made two more theoretical discoveries about Geometry. He discovered the relationship between volumes of spheres and cylinders with the equivalent radius. Not only that, but he also found more accurate measurements of Pi (Gow 7). People believe that Archimedes enjoyed theoretical discoveries much more over practical discoveries. Geometry was all about theory. His love and passion for these types of findings allowed him to discover more and more about Geometry. Archimedes didShow MoreRelated Archimedes Essay727 Words   |  3 Pages Archimedes was a Greek mathematician and scientist. He was born in Syracuse, Sicily in the year 287 B.C. He was educated in Alexandria, Egypt. Due to the lack of information about Greek mathematics, many Greek mathematicians and their works are hardly known. Archimedes is the exception. Archimedes was very preoccupied with mathematics. For instance, he often forgot to eat and bathe because of his always wanted to solve problems. He found areas and volumes of spheres, cylinders and plain shapesRead MoreEssay on Archimedes1806 Words   |  8 PagesArchimedes, a name commonly associated with the beginning of science, was an engineer and one of the greatest mathematicians in history. His impact on modern science rests on his use of experiment and invention to test ideas and his use mathematics to describe the basic principles of physical phenomena. Knowledge of the lives of ancient philosophers like Archimedes is not prevalent. We know from his writings that he grew up and spent much of his life in Syracuse, a Sicilian port on the IonianRead More Archimedes Essay examples1577 Words   |  7 Pagesrecorded history. It was not until Archimedes of Syracuse came along, that the theory of flotation and the buoyancy principle were defined. Archimedes was born at Syracuse on the island of Sicily in 287 BC. His father, Phidias, is thought to have been an astronomer who discovered the size and distances of the sun and moon. Archimedes might have been related to King Hieron the second, King Hieron definitely favored Archimedes as his first philosopher. As a young boy, Archimedes developed a life-long interestRead MoreBiographical Information on Archimedes554 Words   |  2 PagesArchimedes Archimedes was born in Syracuse, Sicily in 287 BC. He was the son of the astronomer Phidias and was close to King Hieron and his son, for whom he served for many years. There is not much known about his life, but he has been regarded as one of the three greatest mathematicians along with Isaac Newton and Carl Gauss. in addition to being a great mathematician, he was also considered a leading scientist of ancient times, a physicist, an engineer, an inventor, and an astronomer. He hadRead MoreArchimedes: A Brief Biography581 Words   |  2 PagesArchimedes was a great mathematician that iInvented many war machines to help defend his hometown, Syracuse . He was a brilliant inventor that made many machines not only to fight, but also some machines to advance the Greek lifestyle. Archimedes was born in 287 BC, just as soon as Syracuse’s king, Agathocles, was dying. Agathocles was a bad tyrant who marched into Syracuse with mercenaries and killed about 10,000 people . Also, the Punic wars were occurring around his lifetime. The PunicRead MoreThe Life Of Archimedes Essay1367 Words   |  6 PagesArchimedes, considered on of the greatest minds of the ancient world was born on the island of Sicily in the Greek city of Syracuse in the year 287 B.C.. Syracuse at the time was an independent Greek city-state with a 500-year history. He was the son of Phidias who was a Greek Astronomer and Mathematician. All that we know about Archimedes comes from his existing manuscripts, and from ancient historians such as Plutarch and Cicero among others centuries after his death. Considering the lengthRead More Archimedes of Syracuse Essay3397 Words   |  14 PagesArchimedes of Syracuse (278 B.C.E. - 212 B.C.E.) The importance of the role played by Archimedes in the history of science can scarcely be exaggerated. He was emulated and admired in his own day and at successive periods in later times (Clagett, 1). During the time period before Archimedes, Aristotle had already effectively drawn a line between philosophy and mathematics. After his date philosophy is carried on without mathematical inspiration. There is an outbreak, known as the GoldenRead MoreFluid Mechanics and Contributions of Archimedes in the Field 773 Words   |  3 PagesFLUID MECHANICS AND CONTRIBUTIONS OF ARCHIMEDES ON THE FIELD Fluid mechanics is one of the fields of applied mechanics. It studies the behaviour of gases and liquids both in rest and in motion. â€Å"Fluids† are involved in a great portion of our daily lives even though we do not realize it. There are indeed very few aspects that we do not come across with it. Fluids are used in different fields of engineering. Leonardo Da Vinci is a notable man who had great impact on the field and gave pace to itsRead MoreEssay about The Life and Discoveries of Archimedes 801 Words   |  4 PagesThe life of Archimedes impacted many people of his time because his inventions brought a new level to ancient warfare. He was also well known for being a mathematician and for his scientific writings, many of which still survive today. Archimedes was born in Syracuse, Sicily, and he lived to be seventy-five years old. This puts the date of his birth around 287 B.C., and the date of his death around 362 B.C. His father was an astronomer, and he may have been related to Hiero II, king of SyracuseRead MoreArchimedes Of Syracuse And The Current State Of Computing1250 Words   |  5 Pagesthe current state of computing technology. Archimedes of Syracuse was born in 287 BC in Syracuse, Sicily. Not much is known about his early life or his parents, but it is believed he studied alongside his mathematical contemporaries Conon of Samos and Eratosthenes of Cyrene in Egypt. In 212 BC, he was killed by the invading Roman soldiers when he refused to comply while solving geometrical problems in the dirt. Although he died prematurely, Archimedes made a significant contribution to the field

Recognition Of Accounting Disclosure Market -Myassignmnthelp.Com

Question: Discuss About The Recognition Of Accounting Disclosure Market? Answer: Introducation Cardino Limited Company has been given for the purpose of the study. The company is listed in the Australian Stock Exchange and deals in the information system, remote sensing and other related areas. For the purpose of the detailed discussion and the analysis the annual report of the company for the financial year ending 30th of June of the year 2017 has been selected. The company has tested the following assets for the impairment in accordance with the Australian accounting standard 136 on the impairment of assets: Goodwill and other intangibles. It does not include the goodwill which has been acquired on the acquisition of business or in any other business combination. Property plant and equipment which forms the major part of the noncurrent assets of the company. This major head comprises of the three major assets land and Building, Office Furniture and Equipment and lastly motor vehicles. The major current assets through which the working capital and the liquidation of the company are maintained and is normally known as Trade debtors. Although the firm conducts the impairment test in accordance with the terms and the provisions of the Australian accounting standard 136 but following are the procedures that the company has adopted for the purpose of the testing of the impairment of the assets including some procedures for internal purpose and accordingly the impairment has been made: For Goodwill and other intangibles - Note to the financial statements bearing the number fourteen consists of the five intangibles. These are goodwill, works contracts, patents and trademarks, software intangibles and customer relationships. At first the goodwill is tested for impairment and the carrying amount of the goodwill as the date is allocated to the cash generating units as defined for impairment testing. Four cash generating units have been detailed and these are Americas, Asia Pacific (APAC), Construction Sciences and International Development. Goodwill has never been amortized but is always tested for the purpose of the impairment. According to the annual report of the company, the company performs the impairment tests on annual basis and also on frequent basis depending upon the needs of the business and the circumstances which follows in the business. The goodwill is allocated on the basis of relative fair value. The company has then used the value in used mode of deter mining the recoverable amount. The value in use has been calculated on the basis of the projections that the company has made for the future years and that too specifically for five years with the figure of the terminal or residual at the end of the year five. The projections that have been used in the value in use method have been obtained from the budget plan of the company for the future years of 2018 and 2019. The further three years figures have been estimated using the growth rates depending upon the forecasted market conditions and the economic growth of the company. These cash flows are discounted at the rate equivalent to the weighted average cost of capital to the company and this value in use is identified and thus the recoverable amount is measured. In case the carrying amount falls short of the recoverable amount then there will be no impairment otherwise the impairment is required to be booked. Thereafter the results of the impairment testing are detailed and according ly the impairment is booked (AASB, 2016). For Property Plant and Equipment For the purpose of the calculation of the impairment, then value in use method is used and the figures stated in the budget is utilized and accordingly present value of cash flows are determined and recoverable amount is calculated and then the recoverable amount is compared with the carrying amount and accordingly the impairment loss is accounted for in the books of accounts. For Trade Debtors In the impairment testing of the trade debtors, the risk of receiving payment is checked and the debtors ageing schedule has been made. Where the payment is due for more than ninety days then the impairment will be charged. Thus, the impairment testing has been conducted by the company in this mode only. In accordance with the financial report to the company, the impairment charges have been accounted for by the company and have charged to the statement of the profit and loss account. Nil amount of impairment has been charged in case of the goodwill and other intangibles and the property plant and equipment but in case of the trade debtors, the company has charged the impairment of $38626 thousand. The same has been charged only because of the fact that the trade debtors have been pending or outstanding for the past ninety days and more and therefore, the loss for the irrecoverable has been made irrespective of the amount of bad debts written off by the company. Thus, the company has recorded the impairment in the annual report of the company. The company has given the separate note number of twenty which lays down the critical accounting estimates and judgments. Although the company has made many key assumptions and the estimates, but in relation to the impairment following key assumptions and estimates have been made. These are: The future cash flows have been estimated on the basis of the budget plan for the financial year ending 2018 and 2019. For further three years the company has considered the growth rate. This growth rate is adjusted to the market conditions and the standing of the company in the market and the country. The discounting rate that has been use for discounting of the cash flows for arriving at the net present value is pre tax and that too equals to the cost of capital of the company. Inflationary conditions have been taken for valuing the discounting rate for the cash flows. There will be only three cash generating unit as the individual asset will not be able to generate the revenue on its own. Sort of subjectivity is involved in the process of the impairment testing as taken up by the company. The major reason behind the said statement is that the company has recorded any impairment on account of the property plant and equipment. It seems that the companys property plant and equipment has recorded the assets at a value lower than recoverable amount and when the asset if disposed of the company will have profit on sale. But the same does not happen in the real world. There might be some debt covenant imposed by the financial institutions from which the company has obtained the loan from the bank or due to the maintenance of the net worth of the company as stipulated by the top management of the company. Thus, in this sense subjectivity is present. The impairment testing as listed by the company and as mentioned in the annual report of the company is very exhaustive. Through this nature, the testing process has really become interesting as at each stage of the testing new concepts and ways have been developed and have helped in understanding the topic of the entertainment in very good manner. The interesting part is the ageing of the debtors so as to find out the amount which is not receivable at the yearend other than the bad debts. This ageing under different slabs has paved the way of making proper judgment for the impairment if any. Thus, the process has been the interesting one. The insights that have been provided by the impairment process as listed in the annual report of the company is that the weighted average cost of capital can be used as discounting rate for the calculation of the net present value and thereby value in use. It will help the company in correctly measuring the deviation if any made in the calculation of the value in use. Second insight is the allocation of goodwill can be used by the company for the internal purpose of the monitoring of the figures. Thus, these are the two new insights that have been gained. Fair value measurement has been made in accordance with the accounting standard. The company has defined the three levels through which the fair value has been measured. First level measures the listed prices, second level measures other than the listed price and third level measures the normal price in market. Economic realty here referred as metaphor by the speech presentation which means determination of the particular business transaction and its accounting treatment in the financial accounts by having the examination of the commercial circumstances in totality (Ely, 2015). In the case of the accounting standard on Leases, it can be considered in terms of the determination of actual liability of the company in lease contracts situation. Economic reality is lacking in the previous accounting treatment as it under estimates the actual liability which is shown in balance sheet of the company and over estimated the net assets and net worth of the company. New changes help in correct estimation of the liabilities of the company by the understanding the nature of the transaction or contracts which is lease. Thus, it has been truly said by the chairperson that the economics reality will show to different stakeholders who uses the financial accounts for their decisions making process (Day and S tuart, 2013). The leases as per accounting standard have been divided into two parts. First is financial lease and other one is operating lease. The financial lease and their obligations are treated as actual liability in the balance sheet and shown under the head liabilities as the risk and reward has been transferred to lease (Ma, 2011). But in operating lease, the accounting treatment is different as the lease payments and obligations are treated as contingent liability and shown apart from balance sheet in financial accounts. The company mainly airlines sector companies are taking undue advantage of this fact and entered into huge number of operating lease contracts which in turn increases the contingent debts of the company in comparison to the actual liability. This creates as situation that in some of the major companies contingent liabilities become 66 times higher than actual liabilities and hence proved the statement thought by the chairperson (Singh, 2011). No playing fields in respect of the Accounting standard on leases having the wrong decisions making with loopholes in it instead of helping different stakeholders in their correct decisions making about the company following standard. The leader in his statement talks about the same in very decisively manner due the reason of the advantage taken by the company as available in standard which with changes have to foregone by them (Gross, 2014). The standard before changes encourages the companies to enter into operating lease contracts in place of buy the assets or entering into rental contracts as the lease obligations will not find place in the financial position statement which helps them to attract the investor by manipulating the net asset position of the company. With the introduction of the changes in accounting treatment companies will not have upper hand on the financial position which helps them to have more investment previously. And some of the new entrants into market does not have chance to play in lease field to fool the investors (Singer, 2017). The leader has informed in his speech that new changes made the IASB in Lease standard will not help in increasing its usage in the financial market by different companies rather it will creates disinterest among the companies to enter into lease contracts. The major change which leads to this situation is that operating lease obligations now has to be considered as actual liability even though the risk and rewards related to asset under lease is not yet transferred to lessee. This discourage the company to enter to lease contracts in place of rental, buy contracts leading to non applicability of lease standard on companies (Knubley, 2010; Moore and Nagy, 2013). Another fruitful reason of becoming un popular of this standard that the accounting treatment suggested by board required high level special professional knowledge and skills to implement the same into financial accounts which ultimately increases the cost and effort to the company and its management. Through these situations the companies will try in future that they will not entered into operating lease contracts so that they can avoid unnecessary financial and non-financial burden (Lim, 2014). Investor or different stakeholders uses the financial data of the company for making decision about the company like whether funds need to be put in or whether the funds needs to taken back from company, whether the company is providing desired return from their projects and other related matters. The new accounting standard requires to change the accounting treatment done by the different parties to lease contracts like lessor and lessee while recording the operating lease transactions in their financial accounts so that economic reality can be depicted from their financial position data and true net worth can be calculated by different investors before putting funds into the company. Similarly, management of the company has to take different decisions regarding having or owning assets or projects for the company. They also uses financial data for assessing the return generated by the asset or project in case of having lease contact or buy contract. Lease standard now helps in recor ding the true financial capital employed in the business and which as result helps in proper decision making by management. This proves the fact mentioned by the chairperson in his speech about facilitating the different users in the best and improved manner, References AASB, (2016), Impairment of Assets available at https://www.aasb.gov.au/admin/file/content105/c9/AASB136_07-04_COMPjun09_01-10.pdf accessed on {23-01-2018}. AASB, (2016), Financial Instruments: Recognition and Measurement avai lable athttps://www.aasb.gov.au/admin/file/content105/c9/AASB139_07-04_COMPoct10_01-11.pdf accessed on {23-01-2018}. 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