Accounting Commons^™

On Becoming A Cost Effective Company, Robert D. Shapiro, Barton H. Clennon

Journal of Actuarial Practice (1993–2006)

The 1990s financial services environment requires each life company to identify its distinct capabilities and competitive strengths and to build its future direction from these features. This demands a fundamental rethinking of traditional approaches to planning, organization, and financial management.

Cost-Based Pricing Of Individual Automobile Risk Transfer: Car-Mile Exposure Unit Analysis, Patrick Butler

Journal of Actuarial Practice (1993–2006)

Every mile traveled by a car transfers risk to its insurer. This paper posits that the product of a cents-per-mile rate based on class experience and the miles recorded on the car's odometer appropriately earns prepaid premium while the car is driven. Operation of a practical car-mile system is described briefly. To test the competing idea that driver-record pricing responds to known large differences in risk transfer, a model used to validate claim free discounts is reexamined with the car-mile as the measure of individual cost. Driver-record pricing is found to inflate car-year price-to-cost differences. Consequences of accident rate variability …

Ethical Issues, Helps, And Challenges: Perceptions Of U.S. Actuaries, Therese M. Vaughan, Robert W. Cooper, Garry L. Frank

Journal of Actuarial Practice (1993–2006)

This paper reports the findings of a survey of Fellows of the Casualty Actuarial Society (FCAS) to determine their perceptions of the key ethical issues and dilemmas facing the industry today and the factors they view as most helpful and challenging in resolving these dilemmas. The responses are compared to a previous survey of Fellows of the Society of Actuaries (FSA). The study finds that FSAs and FCASs tend to rank key ethical issues similarly and that both groups of actuaries tend to look first to their own personal values, second to certain factors in their business environment, and last …

Managing The Relative Volumes Of Participating And Nonparticipating Business In A Mutual Life Company, Robert G. Chadburn

Journal of Actuarial Practice (1993–2006)

Management decisions of a mutual life company involving the amounts and relative proportions of participating (with profits) and nonparticipating (without profits) business and the level of expenses are examined in relation to their effect on participating policyholders' returns. A particular expense ratio is defined that plays a key role in a framework for making such decisions. The sensitivity of participating policy returns to changes in each factor are analyzed. Companies with expense ratios (as defined) of less than 2 are shown to prefer a different strategy from companies with higher ratios. There is an incomplete tendency for the ratio to …

Life Insurance Applications Of Recursive Formulas, Timothy L. Giles

Journal of Actuarial Practice (1993–2006)

This paper discusses several practical applications of recursive formulas:

a) Traditional whole life-As an introduction, the well-known relationship between successive terminal reserves is reviewed. Recursive formulas are developed to calculate the reserves and the premiums;

b) Universal life-Recursive formulas are used both for the calculation of target premiums and reserves. Consideration is given to the TEFRA corridor;

c) Paid-up rider-A participating single premium rider that provides a level death benefit can be devised using an inherent one year term benefit. Recursive functions are used to determine the premium that precisely matures the rider.

Because the APL programming language is particularly …

Journal Of Actuarial Practice, Volume 1, No.1, 1993, Colin Ramsay , Editor

Journal of Actuarial Practice (1993–2006)

ARTICLES

Global Social Security: How the Rules are Changing in Certain Countries • Robert J. Myers

On Becoming a Cost Effective Company • Robert D. Shapiro and Barton H. Clennon

The Process of Pension Forecasting • Michael Sze

Cost-Based Pricing of Individual Automobile Risk Transfer: Car-Mile Exposure Unit Analysis • Patrick Butler

Discussion • Ruy A. Cardoso & Richard G. WolI & Patrick Butler's Reply

A New Approach to Modeling Excess Mortality • Peter D. England and Steven Haberman

The Small Plan Audit Program: The Opinions of the Court • Arnold F. Shapiro

BOOK REVIEWS

A. Hoque Sharif reviews "Options …

Lobbying Activity In The Standards Setting Process: Fasb Statement On Financial Accounting Standards No. 106, "Employers' Accounting For Postretirement Benefits Other Than Pensions", Christine Schalow

Graduate Theses and Dissertations

The purpose of this study is to explain and classify the behavior of corporate managers in the accounting standards setting process as it related to Statement of Financial Accounting Standards No. 106. Evidence from this study provides readers a better understanding of participation of corporate managers in the accounting standards setting process. To accomplish the objective, this study surveyed corporate representatives who responded to the Financial Accounting Standards Board's, February 1989, exposure draft, "Employers' Accounting for Postretirement Benefits Other Than Pensions," (OPEB). A sample of corporations whose representatives did not respond to the OPEB exposure draft, although the corporations did …

No. 120 1992 November

International Journal for Business Education

SIEC Historical Documents

The Pricing Decision: Balancing The Cost-Based And Market-Based Approaches In Different Industries, Shawn M. Kain, Kenneth Yale Rosenzweig

Accounting Faculty Publications

The objectives of this paper are to discuss cost estimating and pricing issues in four different industries, to analyze methods and strategies that are used in the costing and pricing of products in those industries, and to make general comparisons about costing and pricing techniques.

Accurate projection of costs is essential to the survival of any firm because cost estimates often determine whether a project will be authorized to begin or continue, the amount of resources that will be allocated to a particular product or product line, the prices of products, and the firm's and product line's profitability. Many management …

No. 119 1992 April

International Journal for Business Education

SIEC Historical Documents

Auditing Practices In Singapore, See Liang Foo

Research Collection School Of Accountancy

The accounting profession in Singapore plays an important part in the country's economy because it ensures foreign investors' confidence that their investments are audited by competent, independent, and credible auditors. The emergence of joint stock companies in Singapore was made possible by the Indian Joint Stock Companies Act of 1857. The Act requires every company to maintain proper accounting and other records which will explain sufficiently the transactions and financial position of the company and to enable true and fair profit and loss account and balance-sheet and any documents required to be attached thereto to be prepared from time to …

No. 118 1991 November

International Journal for Business Education

SIEC Historical Documents

No. 117 1991 April

International Journal for Business Education

SIEC Historical Documents

No. 116 1990 November

International Journal for Business Education

SIEC Historical Documents

Education, Certification, And The Earnings Of Industrial Accountants, Kenneth Yale Rosenzweig, Lawrence Hadley

Accounting Faculty Publications

Utilizing a model of the relationship between skill accumulation and earnings known as human capital theory, we analyzed the incremental earnings associated with various educational and professional credential for a sample of members of the National Association of Accountants (NAA). Data were collected by means of a questionnaire survey of NAA members and were analyzed utilizing a multiple regression technique. Earnings is regressed on various education and certification variables. Employment characteristics and personal characteristics of the respondents are included as control variables.

Our analysis documents positive earnings increments for the bachelor’s and MBA degrees and the CPA certificate. For the …

No. 115 1990 April

International Journal for Business Education

SIEC Historical Documents

The Determination Of Audit Fees: Analysis In The Singapore Context, Lay Chin Low, Pearl Hock Neo Tan, Hian Chye Koh

Research Collection School Of Accountancy

Presents information on a study which addressed the issue of audit fees determination in the audit services market in Singapore. Research design and methodology; Contributions and limitations of audit models; Conclusions.

No. 114 1989 November

International Journal for Business Education

SIEC Historical Documents

No. 113 1989 April

International Journal for Business Education

SIEC Historical Documents

No. 112 1988 November

International Journal for Business Education

SIEC Historical Documents

No. 111 1988 April

International Journal for Business Education

SIEC Historical Documents

No. 110 November 1987

International Journal for Business Education

SIEC Historical Documents

Company Resistance To Complex Fasb Statements: The Case Of Sfas 33, Kenneth Yale Rosenzweig

Accounting Faculty Publications

Over the past fifteen years, the Financial Accounting Standards Board (FASB) has issued numerous pronouncements designed to narrow the differences in accounting practice and thereby increase the usefulness of financial statements by making them more comparable among different enterprises. Though questions have often been raised over the years about the complex and prescriptive nature of these pronouncements, Statement of Financial Accounting Standards No. 33, “Financial Reporting and Changing Prices” (SFAS 33), has perhaps been the most controversial. The above statement required subject companies to generate and publish information that was radically different from that produced in accordance with conventional financial …

No. 109 1987 April

International Journal for Business Education

SIEC Historical Documents

No. 108 1986 November

International Journal for Business Education

SIEC Historical Documents

User-Friendly Financial Statements: A Proposed Model, Kenneth Yale Rosenzweig, Andrew A. Fioriti

Accounting Faculty Publications

In contrast to early bookkeeping systems whose only role was to assist the resident owners, financial reporting today serves to protect various nonresident parties with interests in the enterprise, such as absentee shareholders. It provides them with information useful for monitoring the operations of the enterprise and for making decisions concerning it.

The Financial Accounting Standards Board (FASB) formalized this concept of usefulness when it stated:

• Financial reporting should provide information that is useful to present and potential investors and creditors and other users in making rational investment, credit, and similar decisions. The information should be comprehensible to those who …

No. 106 1985 November

International Journal for Business Education

SIEC Historical Documents

Companies Are Not Using Fas 33 Data, Kenneth Yale Rosenzweig

Accounting Faculty Publications

How is price-adjusted information required by FAS 33, “Financial Reporting and Changing Prices,” being used for management decision-making purposes? I mailed a questionnaire survey to the controllers of all companies in the FASB's Statement 33 bank to find out the answers and to examine the company characteristics associated with such use. The questionnaire was designed to find out the extent of use and reporting of FAS 33 information for internal company purposes such as management decision making and the factors that might be associated with that use and reporting.

The controllers were asked about the extent of internal use and …

No. 104 1984 November

International Journal for Business Education

SIEC Historical Documents

No. 103 1984 April

International Journal for Business Education

SIEC Historical Documents