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Derived Exchange Transactions Accrual Basis of Accounting Under the accrual basis of accounting, revenues from derived exchange transactions are recognized in the same period in which the exchange transaction takes place. In other words, when the retail sale is made that results in sales tax, the government should record the sales tax revenue in the same period as that in which the sale occurred. If the government has not received the sales tax by its fiscal year-end, it should record a receivable for all of the sales tax revenue that it is due for sales that occurred prior to its fiscal year-end. If the government has received any amounts in advance of the exchange transaction, it should record these amounts as deferred revenues, and not revenue. Modified Accrual Basis of Accounting The modified accrual basis of accounting works basically the same way as the accrual basis, but for revenues that have not been received by the fiscal year-end, only those amounts that are available to meet the current obligations of the government would be recorded as revenues. ( 2 describes the concept of availability as it relates to the modified accrual basis of accounting.) Amounts that are receivable that are not considered available would be recorded as deferred revenue and not be recorded as revenue. Imposed Nonexchange Revenues Accrual Basis of Accounting Under the accrual basis of accounting, revenues from imposed nonexchange transactions are generally recognized as revenues in the period when an enforceable legal claim to the assets arises. However, if the enabling legislation that gives rise to the tax has time requirements, revenues would not be recognized until the time requirements are met. In other words, if the ena-



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Higher-frequency bands for commercial satellite service are:

ifandonlyif(M,ul)t#g,

Silicon-based varactor and hyper-abrupt varactor structures are constructed as RF passive elements for applications that desire voltage-dependent capacitor elements. Silicon junction varactors can be used in reverse bias mode of operation as a RF passive capacitor as a

jw( L, L, - M' )





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Observation 1: Since there are two simple predicates in Pr, and since for each predicate we have to consider the predicate and its negative, M will now have four minterm predicates in it. In general, if there are N simple predicates in Pr, M will have 2N minterm predicates. As explained later in this section, not all minterm predicates are relevant the irrelevant predicates must be removed from the set. Therefore, the actual number of horizontal fragments is usually fewer than 2N . Observation 2: In forming minterm predicates, we only use conjunctive normal form ( ) and do not use disjunctive normal form ( OR ). That is because disjunctive normal forms create coarser fragments than fragments generated by conjunctive normal form and hence are not needed. Example 2.8 As another example, consider table PROJ (PNO, Pname, Funds, Dno, Loc), where the PNO column is the primary key as shown in Figure 2.28. Also assume two applications ( AP1 and AP2 ) query the PROJ table based on the following set of simple predicates:

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September 2001 and lower still, to $812 in October 2002 Or how about America Online, which was as high as $9581 shortly before it agreed to purchase old media company Time Warner Two and a half years later it had lost 82 percent of its value Then there s General Electric, perhaps the closest anyone thought they could come to a sure thing Its value was cut in half between August 2000 and April 2002 I point out these stock stories not because stock picking is impossible, but because it s very dif cult I m in the business, and I don t pick stocks for myself Nor would I hire just anyone to do it for me Many professionals don t succeed at stock picking.

A system of internal control encompasses the following two broad requirements: 1 Methods and procedures for the employees in the various job categories to follow Such procedures ensure that employees follow management policies, achieve operational efficiency, and protect assets from waste, theft, or fraud Assets are defined as cash, accounts receivable, inventory, equipment, buildings, and land The types of safeguards needed include the use of safes for holding large sums of cash, the use of locked storerooms for inventories of food and beverage, restricted access to locations where cash and products are stored, and maintenance of all equipment in efficient working order 2 Reliable forms and reports that will measure employee efficiency and effectiveness and lead to problem identification These reports provide information, usually of an accounting or financial nature, that, when analyzed, will identify problem areas This information must be accurate and timely if it is to be useful.

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