Protection of Refugees in India

PROTECTION OF REFUGEES IN INDIA Deepak Shahi and Navrati Dongrey 2nd year B. A LL. B (Hons) . Rajiv Gandhi National University of Law, Patiala, Punjab ABSTRACT The development of the society and the nation brings with itself a lot of problems also. There are a lot of problems faced by India, be it gender issues, poverty, unemployment etc. one of these burning issues is the protection of refugees. Refugees are those people who have migrated from other country seeking shelter and protection. This paper deals with the various efforts taken to protect them at the national as well as international level. The concept of protection refugees in India dates back to the partition in 1947, which brought in India millions of refugees. Then came the creation of Bangladesh which invited refugees who settled in eastern states. The lack of uniform law governing the refugees has created chaos and dealing with the problem. The instable social, political and economic condition in the neighboring countries had led to the settlement of natives of these countries in India, as India is considered to be a very easy destination to live in illegally. There are lot of problem being faced by the government to tackle the growing number of refugees. The lack of strict vigil of the bordering states is one the reason for the settlement of refugees in India. This paper studies the protection provide by the Indian government to refuges and deals with the problem faced by them. In the end there is the conclusion and some suggestion given by us regarding the issue of protection. INTRODUCTION India’s multifariousness, constancy and relatively well established rule of law have made it a natural terminus for people fleeing persecution, ill-treatment, imbalance and instability in their own countries. Within the South Asian region, India stands out as an exception of tolerant, liberal, democratic and secular government in a neighborhood of unstable, fickled and volatile states. India has historically faced a legion of influxes over many millennia and the ability of these people to integrate into a multi-ethnic society and contribute peacefully to local cultures and economies has strengthened the perception of India being a country traditionally hospitable to refugees. India shares seven land borders and one sea border with countries in varied states of strife and war; and, over the years, has hosted large refugee populations not only from neighbouring countries but also from the countries outside the Indian subcontinent. Throughout the world and over the centuries, societies have welcomed frightened, weary strangers, the victims of persecution and violence. This humanitarian tradition of offering sanctuary is often now played out on television screens across the globe as war and large-scale persecution produce millions of refugees and internally displaced persons. Yet even as people continue to flee from threats to their lives and freedom, governments are, for many reasons, finding it increasingly difficult to reconcile their humanitarian impulses and obligations with their domestic needs and political realities. At the start of the 21st century, protecting refugees means maintaining solidarity with the world’s most threatened, while finding answers to the challenges confronting the international system that was created to do just that. [1] REFUGEE A person who is outside his or her country of nationality or habitual residence; has a well-founded fear of persecution because of his race, religion, nationality, membership of a particular social group or political opinion; and is unable or unwilling to avail himself or herself of the rotection of that country, or to return there, for fear of persecution. [2] According to the humanitarian definition, a refugee is someone who has fled his country because he has a well-founded fear of persecution if he remains. The major obligation of refugee protection is the principle of non-refoulement, which ensures that a person is not returned to a life-threatening situation. [3] Refugees are a subgroup of the broader category of  displaced persons. Refugees flee because of the threat of persecution and cannot return safely to their homes in the prevailing circumstances. Persons, who have participated in war crimes and violations of humanitarian and human rights law including the crime of terrorism, are specifically excluded from the protection accorded to refugees. [4] Also Environmental refugees (people displaced because of  environmental  problems such as  drought) are not included in the definition of â€Å"refugee† under  international law, as well as  internally displaced people. Refugees are people who have demonstrated to the Immigration and Nationality Directorate that they have a well grounded fear of being persecuted in their home country for reasons of: †¢ Race Religion †¢ Nationality Or membership of a particular: †¢ Social group †¢ Political opinion These conditions are laid down in the 1951 United Nations Convention relating to the status of refugees to which the United Kingdom is a signatory. Sometimes people cannot meet the criteria laid down in the 1951 United Nations Convention but may be allowe d to stay in the United Kingdom on humanitarian grounds for a limited period of time. Refugees have the same rights and responsibilities as any other citizen, including rights associated with; †¢ Family reunion Welfare Benefits †¢ Work THE DEFINITION OF REFUGEES INCLUDES 1. That the person has to be outside their country of origin 2. The reason for their flight has to be a fear of persecution 3. This fear of persecution has to be well founded (i. e. they have to have experienced it or be likely to experience it if they return) 4. The persecution has to result from one or more of the five grounds listed in the definition 5. They have to be unwilling or unable to seek the protection of the authorities in their country[5] HOW IS REFUGEE DIFFERENT FROM ASYLUM SEEKER? An asylum seeker is a person who is seeking protection as a refugee and is still waiting to have his/her claim assessed. The Refugee Convention definition is used by the Australian Government to determine whether their country has protection obligations towards asylum seekers. If an asylum seeker who has reached Australia is found to be a refugee, Australia is obliged under international law to offer protection and to ensure that the person is not sent back unwillingly to a country in which they risk being prosecuted. 6] Refugees and asylum seekers are externally displaced people and cannot return Refugees and asylum seekers share their well-founded fear of persecution with internally displaced people (IDPs) who, although they have not crossed an international border, also cannot return to their homes. WHERE DO REFUGEES COME FROM? Most of the world’s recent refugees come from Afghanistan, Iraq and Colombia. Afghanistan continued to be the leading country of origin for refugees. As of the end of 2007, there were almost 3. million Afghan refugees, or 27 per cent of the global refugee population. Even though Afghan refugees were to be found in 72 asylum countries worldwide, 96 per cent of them were located in Pakistan and the Islamic Republic of Iran alone. Iraqis were the second largest group, with 2. 3 million having sought refuge mainly in neighboring countries. Afghan and Iraqi refugees account for almost half of all refugees under UNHCR’s responsibility worldwide, followed by Colombians (552,000). [7] Top countries form where the Refugees originates Afghanistan |31,100,000 | |Iraq |23,00,000 | |Colombia |552,000 | |Sudan |523,000 | |Somalia |457,000 | |Burundi |376,000 | |DR Congo |370,000 | | | | Following countries takes Refugees Pakistan |2,033,000 | |Syria |1,503,800 | |Iran |963,500 | |Jordan |578,900 | |Germany |500,300 | |Tanzania |435,600 | |china |301,100 | |UK |299,700 | |Chad |294,000 | |us |281,200 | INDIAN CONTEXT India’s diversity, stability and relatively well established rule of law have made it a natural destination for people fleeing persecution and instability in their own countries. Within the South Asian region, India stands out as an exception of tolerant, democratic and secular government in a neighborhood of unstable and volatile states. India has historically faced numerous influxes over many millennia and the ability of these peoples to integrate into a multi-ethnic society and contribute peacefully to local cultures and economies has reinforced the perception of India being a country traditionally hospitable to refugees. India shares seven land borders and one sea border with countries in varied states of strife and war; and, over the years, has hosted large refugee populations from neighboring countries. India’s status as a preferred refugee harbor is confirmed by the steady flow of refugees from many of its sub continental neighbors as also from elsewhere. India continues to receive them despite its own over-a-billion population with at least six hundred million living in poverty with limited access to basic amenities. However, the Indian legal framework has no uniform law to deal with its huge refugee population, and has not made any progress towards evolving one either; until then, it chooses to treat incoming refugees based on their national origin and political considerations, questioning the uniformity of rights and privileges granted to refugee communities Indeed, the National Human Rights Commission (NHRC) has submitted numerous reports. The current number of refugees and asylum seekers in India stands at approximately 435,900 according to the World Refugee Survey 2007 conducted by the United States Committee for Refugees and Immigrants (USCRI), and supported by the latest figures from the United Nations High Commissioner of Refugees (UNHCR). [8] India mostly plays host to refugees from its neighboring countries who are either forced to leave their countries of origin due to internal or external conflict, political persecution or human rights infringements. India has offered refugee status to asylum seekers from countries like china, Nepal, Sri Lanka, Myanmar, Bangladesh, Afghanistan and Bhutan. [9] The circumstance in which the refugee’s exodus from their country may vary from political persecution However, it is clear that all these refugee populations deserve their basic human rights and the assistance that can be afforded by the Government of India. To define the word ‘refugee’ in Indian legal terms is theoretically not possible since neither the Foreigner’s Act (1946) nor its amendments or additions, contains or defines the term. However, this study shall consider the definition propounded by a commission chaired by Justice P N Bhagwati in 1997,[10] whose task was to construct a uniform national law on refugees. Although the bill was never tabled in Parliament, the term ‘refugee’ was adequately defined in the ‘Model Law’ as either. There are no authoritative statistics on the number of people who have fled persecution or violence in their countries of origin to seek safety in India. However, because of India’s porous borders and accommodative policies, it was estimated that India hosted approximately 3, 30,000 such people in 2004. [11] It is estimated that over 20 lakh Nepalis fleeing from civil conflict have entered India undetected over the open border. There are also an unknown but large number of people displaced from Bhutan because of their ethnic-Nepali origins. [12] LEGAL SETUP FOR REFUGEE’S PROTECTION After the Second World War, the Refugee Convention was adopted with restricted geographical and temporal conditions to apply to post-War Europe In 1967, in an effort to give the Convention universal application, a Protocol Relating to the Status of Refugees that removed the restrictions of the Convention was added. Together, these two key legal documents provide the basic framework for refugee protection across the world. As of February 2006, 146 countries were States Parties to either the Convention or its Protocol or both. However, India has repeatedly declined to join either the Refugee Convention or its 1967 Protocol. In addition, India has resisted demands for a national legislation to govern the protection of refugees The relative success that India has had with this approach, which is guided by political instinct free from legal obligation, has led to an institutional complacency towards legal rights-enabling obligations to refugees. There has also been a hardening of attitudes about foreigners in recent years in light of heightened security concerns. This has resulted in genuine refugees paying an unfortunate price in a country that otherwise has an impressive history of protecting refugees. FOREIGNER’S ACT, 1964 India relies on the Foreigners Act, 1946 to govern the entry, stay and exit of foreigners in India. However, the Foreigners Act is a primitive legislation that was enacted as a reaction to the need of Second World War in the colonial period. The continuity to deal with this legislation in independent India even after the independence only show the government’s desire to retain absolute power to deal with foreigner[13] and thus covering all refugees within its ambit as well. CONSTITUIONAL PROVISION Also some provision of the Indian Constitution[14] reflect that the rules of natural justice in common law systems are equally applicable in India, even to refugees. The established principle of rule of law in India is that no person, whether a citizen or an alien shall be deprived of his life, liberty or property without the authority of law. The Constitution of India expressly incorporates the common law precept and the Courts have gone further to raise it to the status of one of the basic features of  the Constitution  which cannot be amended. Courts may apply international law only when there is no conflict between international law and domestic law, and also if the provisions of international law sought to be applied are not in contravention of the spirit of  the Constitution  and national legislation, thereby enabling a harmonious construction of laws. It has also been firmly laid that if there is any such conflict, then domestic law shall prevail. [15] RESTRICTED PROVISIONS OF THE CONSTITUITION There are a few Articles of the Indian Constitution which are equally applicable to refugees on the Indian soil in the same way as they are applicable to the Indian Citizens The Supreme Court of India has consistently held that the Fundamental Right enshrined under Article 21 of the Indian Constitution regarding the Right to life and personal liberty, applies to all irrespective of the fact whether they are citizens of India or aliens. 16] The various High Courts in India have liberally adopted the rules of natural justice t o refugee issues, along with recognition of the United Nations High Commissioner for Refugees (UNHCR) as playing an important role in the protection of refugees. The Hon’ble High Court of Guwahati has in various judgments,  recognized the refugee issue and permitted refugees to approach the UNHCR for determination of their refugee status, while staying the deportation orders issued by the district court or the administration. In the case of National Human Rights Commission v. State of Arunachal Pradesh [17]the Hon’ble Supreme Court held that refugees are a class apart from foreigners deserving of the protection of Article 21 of the Constitution. INDIAN’S CONCERN TOWARDS REFUGEE’S PROTECTION There have been a number of special legislative measures to deal with refugee influxes inspite of any law which makes refugees as a special class distinct from foreigner Special laws to deal with refugees have been used primarily by the various State Governments[18] There are three main way in which the Indian government deal with refugees are refugees in mass influx situations are received in camps and accorded temporary protection by the Indian Government including, sometimes, A. A certain measure of socio-economic protection B. Asylum seekers from South Asian countries, or any other country with which the government has a sensitive relationship, apply to the government for political asylum which is usually granted without an extensive refugee status determination subject, of course, to political exigencies C. Citizens of other countries apply to the Office of the United Nations High Commissioner for Refugees (UNHCR) for individual refugee status determination in accordance with th e terms of the UNHCR Statute and the Refugee Convention The first ‘foreign’ influx of refugees occurred in 1959 from Tibet when the government, politically uncomfortable with China, set up transit camps, provided food and medical supplies, issued identity documents and even transferred land for exclusive Tibetan enclaves across the country for cultivation and occupation along with government provided housing, healthcare and educational facilities. The Sri Lankan Tamil refugees, having arrived in India in three waves beginning in 1983, have also been relatively well received in the geographically and ethnically contiguous State of Tamil Nadu where a large degree of local integration has occurred. In comparison, the Chakma influxes of 1964 and 1968 saw a subdued and reluctant government response. [19] The largest mass influx in post-Partition history occurred in 1971 when approximately 16 million refugees from erstwhile East Pakistan sought safety in India. Although most of the refugees returned within a year, the experience left the Indian government both bitter at the non responsiveness of international organizations and complacent in the confidence of being able to deal with future mass influxes. Refugees who are not extended direct assistance by the Indian Government are free to apply to the UNHCR for recognition of their asylum claims and other assistance. The ambivalence of India’s refugee policy is sharply brought out in relation to its Treatment of the UNHCR. While no formal arrangement exists between the Indian government and the UNHCR, India continues to sit on the UNHCR’s Executive Committee in Geneva. India has not even signed refugees convention. It is paradoxical but true that India allows UNHCR to operate it on its territory despite of being entered into any legal treaty. REFUGEES RIGHT UNDER LAW IN INDIA Many experts in the area of refugee law believe that the more practical alternative to proposing an entirely new law is to push for changes in India’s current policy regarding refugees. As stated above, no current Indian law refers directly to refugees. Refugees thus fall under the purview of the legislative framework that addresses all foreigners in India in the same way, under the Foreigners Act 1946. The Act contains broad powers of detention subject to the discretion of the executive, and makes illegal entry into the country a crime punishable by up to 5 years with no exception for refugees and asylum seekers. Also pertinent to determining the rights of refugees in Indian law are two pre-independence enactments that enable the government to impose stringent conditions of entry and stay in India. This body of legislation indisputably gives the Indian executive excessive powers over foreigners in India, including  the power to restrict movement inside India, to mandate medical examinations, and to limit employment opportunities. This framework is problematic for refugees because the government’s unrestrained power of expulsion could possibly lead to  refoulement  and deny refugees their basis human rights while in India – in contravention of international obligations. The Extradition Act 1962 provides some protection to refugees facing extradition by restricting the government’s freedom to remove from its territory a particular category of foreigners. 20]  This restriction, however, is so narrowly relevant that it does not provide any real safeguards for the majority of refugees in India whose removal from the territory is most likely to fall under the category of  expulsion  rather than  extradition. INDIA’S INTERNATIONAL EFFORT IN TH E PROTECTION OF REFUGEES Although India is not a signatory to the 1951 Refugee Convention or the 1967 Protocol, it is party to a number of international human rights instruments that create protection obligations toward refugees. Indian and other commentators from developing countries also call attention to the current state of flux in international refugee law. In a statement to the Executive Committee of the UNHCR in October 2003, the Indian Permanent Representative pointed out that the situation of refugee and migratory movements in the world today are vastly different from what they were when the UNHCR was created and this had to be reflected in practice to enhance the UNHCR’s ability to play a meaningful role. [21] THE 1951 REFUGEE CONVENTION The 1951 refugee’s convention is considered as an internationally agreed instrument and a mile stone in refugees protection, since as mentioned earlier in the definition[22]. A person becomes refugee as soon as he or she is in the situation, and not after a state has formally recognized him to be so. He automatically becomes entitled to the protection under this definition. The ‘well found fear’ is to be judged to the advantage of the claimant which should take into account the situation prevailing in his origin and his individual circumstances. ‘Persecution is not defined in the convention but has been interpreted to mean ‘a violation of someone’s basic human right of sufficient gravity that the protection of another state is needed’. [23] INTERNATIONAL COVENANT ON CIVIL AND POLITICAL RIGHTS (ICCPR) It recognizes the inherent dignity and of the equal and inalienable right of all member of the human family. It takes into account the Universal Declaration of Human Rights and character of the United Nation. It binds that state to conform to the spirit of the covenant ‘ each party to the covenant to respect and ensure to all individual within its territory the rights herein recognized without distinction of any kind via; race, color, sex, language, political or other opinion national or social origin property birth or other status. [24] CONCLUSION AND SUGGESTION Although India’s past efforts in dealing with mass influxes has been commendable, its geopolitical position in the subcontinent makes it a preferred destination for asylum seekers and migrant workers. It can be easily seen from the foregoing paragraphs that India notwithstanding its own security concerns, particularly in the last couple of decades, and pressure of population and the attendant economic factors, continues to take a humanitarian view of the problem of refugees. Even though the country has not enacted a special law to govern ‘refugees’, it has not proved to be a serious handicap in coping satisfactorily with the enormous refugee problems besetting the country. The spirit and contents of the UN and International Conventions on the subject have been, by and large, honoured through executive as well as judicial intervention. By this means, the country has evolved a practical balance between human and humanitarian obligations on the one hand and security and national interest on the other. The need for a refugee law is immediate. The uniform treatment of refugees is a must as long as India continues to accept asylum seekers across its porous borders. The restrictions and unequal treatment imposed on the refugee population by the Indian government is discriminatory and tarnishes its human rights record, which is not outstanding in any case. India can require foreigners to reside in mandated areas, thereby barring their right of movement across the country, and providing India the ability to confine foreigners to refugee camps and conduct periodic camp inspections. One of the concerns that the host states have is the environmental degradation, which results from the activities of the refugees. The concern is real and needs to be addressed. In this regard the national law can place certain duties on the local administration, aid agencies, and on the refugee community. Often simple measures can avoid causing harm to the environment. For example in Bangladesh the UNHCR has distributed compressed rice husks as cooking fuel to all families in the refugee camps in order to minimize the collection of firewood and mitigate against deforestation around the camps. Since 1996, kerosene used for the ignition of the compressed rice husks is also being distributed to refugee families, to ensure that they do not need to collect firewood for this purpose. From the perspective of solutions, an important question which needs to be addressed concerns the problem of stateless persons in the region. For, among other things the problem of disputed nationality is the major obstacle in the process of repatriation. For example there are four large groups of stateless persons in the South Asian region. Despite the widespread consensus that detention should be viewed as an exceptional measure, a problem which confronts the refugees is detention without justification. The provision of the International Human Rights Law, which offers protection against arbitrary arrest and detention should be properly implemented. A key problem in India relates to the frequent denial of access to camps to NGOs and the UNHCR. While India may have legitimate concerns that motivate NGOs and states may indulge in disinformation to embarrass it before the international Community, the problem can be handled through establishing more effective communicative channels and diplomacy. The increasing emphasis of UNHCR in the last decade on voluntary repatriation as a solution meant that refugees are often returned against their will. Where return has been voluntary there needs to be thought given to devising effective mechanisms to ensure that the state of origin lives up to the promises which it had made in order to persuade refugee to return. Thus the chakma refugees who returned from India to the Chittagong Hill Tracts In Bangladesh found that the Government did little to give them back their lands, or to provide them with enough resources to guarantee a minimum standard of life. [25] Without any law or protocol, the Indian government has full autonomy to decide which rights and freedoms should be conferred upon which groups. Even ‘favored’ communities like the Tibetan refugees have suffered due to lack of a firm policy. There is also a need for a change in the law. The model law has not been sufficiently considered by the Union Government. For the last five years, the NHRC has been requesting the Government to provide refugee protection. Its present Chairman, A. S. Anand, has even set up a Committee to examine the law. The argument of terrorism and numbers having been met, there is no reason why the minimal protection against non-refoulement should not be enacted. This can probably be done even through rules. But the argument is not just over the Sri Lankan refugees, the Bangladeshis, the Afghans, the Bhutanese or the Myanmarese. It is whether India wants its voice on the world's most persecuted to be heard so as to mould future policy. If India is waiting for a cue from its neighbour, China has joined the convention and enacted refugee protection legislation. African countries have got together to devise both national and regional solutions. India needs to review its ambivalent refugee law policy, evolve a regional approach and enact rules or legislation to protect persecuted refugees. This is one step towards supporting a humanitarian law for those who need it. As a refugee-prone area, South Asia requires India to take the lead to devise a regional policy consistent with the region's needs and the capacity to absorb refugees under conditions of global equity. ———————– [1]Ms. Kate Jastram and Ms. Marilyn Achiron, Refugee Protection: A Guide to International Refugee Law, http://www. ipu. org/PDF/publications/refugee_en. pdf, (29 April 2010) [2] Article 1 of 1951 Refugee convention 1951 [3] Rajeev Dhavan, Refugee Law and Policy in India (New Delhi: PILSARC, 2004), p. 156. [4] Basic Facts, http://unhcr. org. ua/main. php? article_id=5&view=full ( 29 April 2010) [5] Article 1A(2) of the Refugee Convention, 1951 [6]Background information of refugees and asylum seeker http://www. refugeecouncil. org. au/docs/news&events/RW_Background_Information. pdf (visited on 26th march 2010) [7]World Refugee Survey 2007, United States Committee for Refugees and Immigrants, http://www. refugees. org/WRS_Archives/2007/48- 69. 27 march, 2010) [8] Rajeev Dhavan, On the Model Law for Refugees: A Response to the National Human Rights Commission (NHRC),† NHRC Annual Reports 1997- 1998, 1999-2000 (New Delhi: PILSARC, 2003). [9] Drafted under the auspices of the Regional Consultations on Refugees and Migratory Movements in South Asia initiative in 1995, with Justice P N Bhagwati as the Chairperson of the Drafting Committee of the India-specific version of the national law on refugee protection. [10] Florina Benoit, India: A National Refugee Law Would Equalise Protection, Refugees International, 2004. [11] Asian Development Bank, Nepal Country Strategy and Programme 2005-2009. [12] Section 2(a) of the foreigner’s act, 1964 defines ‘foreigner’ as â€Å"a person who is not a citizen of India†. [13] Article 22(1), 22(2) and 25(1) of the Indian constitution [14] T. Ananthachari, Refugees In India: Legal Framework, Law Enforcement And Security http://www. worldlii. org/int/journals/ISILYBIHRL/2001/7. html, (1 April 2010) [15] Articles,14,20 and 21 of the Indian Constitution [16] AIR 1966 SCC 742 [17] UNHCR Statistical Yearbook – India, 2003, UNHCR Geneva. [18] National Human Rights Commission (1996) 1 SCC 742 at pr. 15 [19] V. K. Dewan, The Extradition Act 1962’  in Law of Citizenship Foreigners and Passports, 2nd ed, Allahabad: Orient Law House, 1987,  p. 515. [20] James Hathaway, The Emerging Politics of Non-Entree, Refugees, Migration Review Vol. 91, December, pp. 40-41. [21] Article 1A(2) of the Refugee Convention,

Accounting Treatment of Intangible Assets

Accounting Treatment of Intangible Asset Draft Pace University ACC692 Summer I By Yigal Rechtman July 30, 2001 Introduction What is the problem? Accounting for intangibles has gained prominence in the past few decades due to changes in the way the business world operates. The technological revolution and in particular, the information age, has brought intangible resources to the fore of the business environment. Businesses ( even the most traditional production manufacturers ( are moving towards an information age where a competitive edge is increasingly linked to resources other than the fixed and liquid assets as understood by Generally Accepted Accounting Principles (GAAP). Some research has shown that accounting for Intangible Assets (IA) – a general term that will be defined and separated later – will fulfill the accuracy requirement of the accounting functions and reports. Other research has shown that accuracy will have to be traded off with relevance of the accounting functions and reports. Still other research claims that neither accuracy nor relevance are served by accounting for resources that do not meet the current definitions of Assets under GAAP. Accordingly, there are two questions regarding the accounting for IA: 1. Should the Generally Accepted Accounting Principles recognize as financially relevant and accurate events that arise from IA? 2. How should GAAP account, process and present these IA related events (if the answer to question number 1 is positive. ) Question number one is answered in the positive: the existence of IA in the current business environment is proven in repeated investigations. Further, the economic effects of IA on corporations has shown that not disclosing or accounting for such resources amounts to miscomunications regarding the activity and financial state of a business. The research that was used in this paper has shown that Intangible Resources are increasingly a factor in the business world. Intangible resources, as will be discussed below, is a super-set group of strategic elements that contribute to the success of a business. IA, in turn is a sub-set of the Intangible Resources. The paper intends to explore the current range of thinking relative to IA and how such resources should be valued, recognized and presented in the financial reporting of U. S. companies. The question of how to account for IA poses different challenges, some of them related back to the answer of the first question. As this paper will show, recognizing IA on an entity(s books can be seen as a natural next step, especially for certain knowledge industry type businesses. However, the challenges to the issue of recognition remain: how to determine IA in a meaningful manner? How to report IA and what are the possible ramification of alternative accounting treatments? Scope and Method of Exploring the ProblemScope and Method of Exploring the Problem The process of finding information about the topics relating to IA, and obtaining an understanding of the issues, involved an introduction by means of participating in a conference on the subject and obtaining complimentary readings of published articles. The Third Annual Conference on Intangible Assets, sponsored by New York University(s Ross Institute produced a documentary of the presentations, which were used in this paper. Additional published material was obtained through the ABI-Inform database, by searching for (Intangible Assets(, (Intangible Accounting( as well as (Assets Valuation( and (Appraisal, Intangibles( for the years 1976-2000[? ][i]. The search was limited to articles available in full form on line (versus articles in which only the abstract is available on line. ) This paper refers to twenty articles that were obtained through ABI-Inform and ten articles from presenters at the NYU(s conference. Two points should be made in terms of the scope of the discussion. First, the discussion includes IA as it is captured and presented for external, possibly audited, users of the entity(s comprehensive financial statements. Unless otherwise stated, financial statements herein are presented with conformity of United States( Generally Accepted Accounting Principle (GAAP). Within the latter confines, estimates such as amortization and useful life of an Intangible Asset (IA), although a valid issue, will be generally out of the scope of this paper. The reason for the limitation is that for cash flow purposes, as well as for balance sheet analysis, such estimates represent regulatory requirements and provide little by way of capturing the essence of the issues surrounding IA. Therefore, the ultimate purpose of this paper is to venture out of the confined safety of U. S. GAAP and investigate what other isms are possible for presentation of a Statement of Financial Position which incorporates intangible assets. The method of this paper consists of discussing the three criteria which are used to assess the alternatives to accounting IA: valuation, recognition and presentation. Each of these criteria is measured on a scale from 0 to 100 (alternatively, from 0. 0 to 1. 0) to show the extent of the departure of the alternative from the currently accepted method, usually the Generally Accepted Accounting Principles. Because Goodwill is already an established IA under current accounting rules, it will be discussed first (for each criteria) to show the extent of the existing treatment. Although other IA such as Human Capital or Patents exist, they are often either unaccounted for or simply replaced by a generic (Goodwill( entry on the books. Although they are all intangible resources[? ][ii], it can be shown that not all are Assets (as defined herein). This paper will also explore the possibility that, perhaps intangible assets such as Human Capital should not be substituted for by the generic (Goodwill( entry. Definitions Some unclear, overlapping and unstructured definitions occupy the set of IA issues. in turn, some researchers have used inconsistent definitions of IA, reducing the transparency that accountants and financial experts have to discuss these issues. Although excellent analysis has been published, such research is often not consistent in scope or definition to other frame work and conceptual essays that are contemporarily published. Therefore, aside from giving this (creature( a proper name, and calling all its parts using the same taxonomy, coupled here from various sources. The dictionary defines IA as (an asset that is saleable though not material or physical([? ][iii] and (Intangible: †¦ an asset that can not be perceived by the senses†¦ such as Goodwill or dedication([? ]. According to the FASB, an internally generated IA is proposed to be defined[? ][v] as: (1) a past event that has a (2) measurable effect and that presents a (3) future benefit. The FASB Special Report[? ][vi] states that there is not a need for different rules of recognition for internally and externally generated IA. The FASB clarifies that internally generated IA is simply an (Asset( without a physical presence, nor does have to it be an external acquisition: as long as all three tests are conformed with, any business event or process can produce an IA. The FASB further notes that there is an embedded conflict in this definition because it contains a departure from the (historic cost( principle. The move to a (forward looking( definition is defended by the FASB in making an argument for further disclosure, not a modification for the format and content of the existing presentation rules. In this presentation, for the purpose of defining IA (internally or externally generated) the FASB definition will be applicable. Intellectual Capital (IC): A business entity uses three types of capital: physical, financial and intellectual[? [vii]. Intellectual capital (IC) is defined as an intangible asset that is not financial or physical and that has been (formalized, captured and leveraged to produce a higher-valued asset([? ][viii]. The raw material, captured and formalized in the process of capitalization of IC, is knowledge. Knowledge resides within an individual, a group of individuals or entity-wide. Knowledge that is structured in a formal manner (usually with an information system, computerized or otherwise) is just data. When it is purposeful and useful, data is considered information. Information made use of is knowledge[? ][ix], which can become an IC. In the discussion of IC, several disaggregation of IC exist. For the purpose of this discussion, the following categorization will suffice as (all inclusive(. This paper does not intend to be exhaustive in its definitions. It can be shown that other examples of IC can be found (and the definition extended) without diluting the effect of the issues at hand. The classification proposed in this paper uses the following examples of IC: Human Capital, Intellectual Capital and Structural Capital. Human Capital (HC) is arguably the most elusive from accounting for in financial or quantitative terms. Some[? ][x] argue that HC is the most active value driver in the business world today. Intellectual Capital (InC) has been at times presented under different names, too: (Patents and brand names[? ][xi]( or Social Capital (the latter is a definition of a hybrid of Human Capital and Organizational Capital. ) InC, abstractly is intellectual property that stem from (or relate to) innovation within the entity(s business. Structural Capital (SC) can be better described that defined: SC is any leverage that can be described in terms of the relationships of functions within the organization and the leverage of entities outside the organization. For example, a customer base relationship – qualified or quantified – is a SC that can be portrayed as an external relationship; an Enterprise Resource Plan (ERP) that allows departments within a company to facilitate resource allocation is an instance of SC. Goodwill: Goodwill is arguably the most conforming IA to GAAP: It is the excess of Fair Value (FV) over Book Value in a purchase transaction. Currently, treatment of any of IA has been confined to Goodwill produced on the balance sheet from acquisition under the purchase method. As the only allowed IA capitalization, Goodwill appear in many studies pertaining account for IA. For GAAP purposes, three tests are applied to allow recognition of an event as an Asset: 1. the event is a past-event, 2. it is measurable and 3. it contains probable future benefit. Goodwill passes the (past event(, (measurable effect( and (future benefit( tests. The reason Goodwill can be seen as a past event is that it is easy to date the creation of an acquisition under the purchase method where the fair value (FV) of an acquired entity is lower than the adjusted basis (AB) to the acquiring entity. Goodwill arising from a consolidation, merger or takeover transaction has produced inconsistent definitions of the (other( classes of IA. For example, at times a well trained workforce is describe plainly as (unrecognized Goodwill( due to the disallowed recognition under GAAP (the proper classification for such a workforce is HC). Although this paper is not intended to disprove these notions, definition clarification can aid in seeing the general direction of accounting for IA Evaluating possible answers to the question of Accounting Treatment of Intangible Assets Treatment by an accounting method is based on Measurement, Recognition and Reporting dimensions. In order to present these dimensions, this paper will attempt to survey the range of possibilities and plot them on three dimensional coordinate axises of possibilities: 0 being the most conservative point and 100 being the most (daring( in terms of relevance and accuracy. Thus, the treatment of IA can create a multi-dimensional view of the accounting classification, reporting and even auditing. Imagine a three dimensional cube with an X, Y and Z axises. On the X axis spread are the ideas about recognition of IA. On the Y axis we shall plot the various metrics (measurement) that are proposed for IA. Finally on the Z axis will lie the proposed solutions for the presentation aspects of IA. The difference between recognition and metrics should be explored further: metrics are the models upon which, ultimately, monetary amounts are made available for classification. Recognition, on the other hand, are the issues that mandate the accounting perspective of the monetary (and possibly non-monetary, too) information that can be captured. The matter of presentation touches on the financial statement and the disclosure issues that surround IA. Measuring and Valuing Intangible Assets Goodwill measurement is the only existing allowed GAAP-related event. The measurability of future benefit from Goodwill is based on known measures of financial events, namely the Adjusted Basis (also known as Book Value, or AB) and the Fair Value (FV). In a Goodwill event, the FV is the purchase price. The AB amount is discernable; the FV amount can arguably be changed according to market and strategic conditions. This discussion will assume, however, that FV is a fixed amount, available to accountants and the public. Therefore, Goodwill is an excess between two set amounts, Fair Value (of assets acquired) and Adjusted Basis (paid by acquiring entity). By definition, this is a measurable amount. Realizing Goodwill can be stated this way: the reason an acquiring entity is willing to pay more for the acquired entity more than the estimated assets( FV is because of difference of assumptions in the definitions of FV. Therefore, the FV to the acquiring corporation is different than the FV to the acquired corporation: the former sees future cash flow that is greater than the cash flow seen by fundamental look at the balance sheet of the acquired entity. In a sense, this is a statement about the value of the effect of (gamma( ( the effect of (growth( ( in the example given elsewhere in this paper (see Appendix). Thus, the acquiring entity sees a measurable amount of inflow of cash that can justify the excessive cost up front. Current research indicates that IA and, in general, non-financial events are measurable. The main conflict is deciding on which model to rely on, and moreover, which model to use as a standard measurement. The problem with measuring IA is that such measurements are too specific to an industry and perhaps to a particular entity. Research yields plenty of data showing how measurements can be conjured up to measure certain non-financial, intangible events. For example, measurements models exist to quantify information[? ][xii], or the value of business alliances[? ][xiii], et cetera. These models show that values of quantity, rate of growth and other statistics can be obtained at a feasible cost[? [xiv]: (existing techniques and expanded use of nonfinancial metrics seem to offer a more cost effective solution. ( However, the FASB Special Report states that making such proprietary measurements useful for general purpose accounting and financial reporting is not likely. The problem with value models or future-inflow metrics is that they are estimates. Like depreciation schedu les, valuation methods are based on assumptions. Because they often include not just one or two variables but numerous independent variables, the number of assumptions grow at least in linear proportion to the number of variables. For example, a Human Resource valuation model by Skandia, an insurance and financial corporation (Sweden) has been criticized for having up to 140 variables[? ][xv]. Unlike depreciation, which requires disclosure of one or two assumptions, disclosure of such complex models, even if they include only 5 to 10 variables, can be quite unfriendly to the user. Furthermore, a multi-variable model is generally susceptible to greater risk of contradicting of any of the assumptions, leading to invalidating the results of the entire model. Generally, measuring IA is a departure from historical cost[? ][1]. GAAP requires that the cost, or past event principle, guide any valuation. This requirement is in keeping with GAAP(s frame work of conservatism. When an IA is appraised in value it becomes a forward-looking measurement which is not compatible with other elements of GAAP. Future Value is the opposite of the principle of reliability in GAAP driven financial reporting: the accuracy of past events reported is the crucial element of its reliability[? ][xvi]. However, value projection can be manipulated to create certain effects. For example, a projection can be made by Management (and included in a financial report) about the future effect of a certain Internet domain name that is owned by a company, such as (money. com(. The projection is unique enough that it cannot be verified by other sources. In order to have measurability of IA, a compromise between the forward looking and historic cost principles is sought. Seemingly, past-based and future based measuring can not be consistent. It may be possible however to reconcile the projective nature of valuating IA and the required verification by historic cost in GAAP by creating an appraisal mechanism. Arguably, appraisals can be done by means of three approaches[? ][xvii]: cost, comparable market or income. Approaches used in Appraisals: Approaches used in Appraisals The cost approach estimates the value of an asset at an arm(s length transaction; this approach is inapplicable to IA; for example, HC is not measurable or even possible to conceive as an (arm(s length( transaction. Goodwill, also by definition, can not be an (arm(s length( transaction because an excess is paid by a purchaser above the FV of an acquired target. Similarly, SC can not be assessed this way because of its unique, untransferable characteristic. The market approach states that appraisals of similar purchased (or sold) goods or services can be a basis for estimating the value of the transferred property. Although a model for HC or InC can be built based on the market appraisals approach, SC can not be fit into a model that includes transferring assets in an exchange. IA of that nature loses its value in such a transfer. The income approach is most fitting to the accounting use in terms of IA. Present Value analysis is available and established within GAAP as a model. Its application in an IA valuation depends on the class of IA. Goodwill, for example, is inherently suited to the income approach valuation: the excess over FV represents the purchaser(s belief in enhanced cash in flow over a known (fixed) length of time, such that this inflow will surpass not only the declared FV but also the (higher) purchase price. However, SC has little known useful life, as does in part InC. For example, a distributed warehousing corporate structure, or a Just In Time production process can not have a reasonable income based appraised value because their useful life is not known, nor can it be averaged in the same way that for example, investment in employee training (HC) can be. However, HC is not completely compatible with the income approach, either: employee satisfaction and loyalty (both IAs) are similar in concept to the element of (going concern( because once HC(s useful life is in doubt, the going concern of the entity is generally in doubt, too. Users of financial statements are often wary of appraisals as they represent – at best – a range of possibilities. Consequently, an approximation of value diffuses the utility of fundamental analysis of the financial statement in question. At worse, appraisals represent a biased, subjective and diverted view point of the management. Even in an honest attempt to value an IA, a range must by provided or alternatively, a tradeoff measure of (confidence level( accompanies any so-called (fixed( dollar amount. In any way, an Appraisal[? ][xviii] does not produce a consistent monetary measure. On the Y axis all appraisals are at the high read: unsubstantiated, (daring() end, at Y=90. A (Real Options( valuation model describes a series of future inflow of cash (or other benefits or desirable effects, such as employee morale) in a recursive manner: the first event (event number 1) in the series is an evaluation of the chance that a successful beneficial event will come to pass i n the second event (event number 2). For events that are not the first event, (Real Options( model defines the event number N+1 as (if event N has been successful to obtain a desired result, evaluation of the possibility of event N+1 to occur is computed, along with the possible benefit of N+1. If event N has a result that is undesirable, the entire process ends. ( So, instead of seeing the model of future cash flow (or desirable result events), a Real Options model does not have a (useful life( but attempts to predict when the series of events will end and what the accumulated result will be. The Real Options model, however weak (in terms of assumptions or addition to understanding of (useful life(), does solves another conflict in measurement of IA: the conflict between consistency of an entity-specific measurement and the fair-value approach. The key for consistency is that no assumptions are made a-priory to using the model: each step has its own unique scenario and set of assumptions that can be extended and extrapolated by an external user or for internal use[? ][xix]. Because it is a projective model where future benefits are based on some assumptions, it can not be much more conservative than any value model conjured up by managers (or auditors). Consequently, (Real Option(s( place on the Y axis is 85. Proprietary Value Models: Although research abounds with successful examples of special valuation model, the test of consistency is a challenge to these models: (1)consistency of measurement over time (because not enough materials have been collected under any particular model) ; (2)consistency between business units (because the measurements are proprietary and a valuation model that fits an insurance corporation(s will be likely mot fit for a flower-delivery corporation or even an academic institution). And (3)consistency with GAAP: although these measurements are all non-GAAP compliant, by definition of this discussion, they do not rely on GAAP in their assumption. These models often use non-financial reporting assumptions that puts them closer to cost accounting than to financial accounting. For example, banks and lending institutions use proprietary value models to assess credit worthiness of certain IA-laden companies[? ][xx], although these valuations are typically limited to IA such as patents or copyrights because they have leverage in marketable or contractual terms[? ][xxi]. Simply indicating to the user ( external or internal ( that certain valuation is (estimated( or (based on a model( without specifying the assumptions, can lead rendering the valuation an act of providing useless or mis-stated financial value. An abstract standard setting is required to fulfill the task of measuring IA. Attribution of Income: IA can be attributed and recognized by measuring normalized operating income and subtracting the portion of income attributable to other classes of assets. This is a generalized value model that is based on fewer assumptions. It, too, can be located at Y=100. Discussion of examining the range of measurements available for Intangible Assets: On the axis of measurement (Y in this paper), some possible points can be plotted: first, measuring cost is the GAAP derived method (Y=0). For example, historic cost of training, benefits and other outlays of resources can be aggregated to measuring the intangible value of Human Capital, as an asset. Of course, whether such measurement can be recognized or reported must be construed on the respective X and Z axis, as presented elsewhere herein. The historic cost measurement will be on the 0 point of the Y axis (Measurement). In contrast, at the maximum point on the Y axis (Y=100), we plot the concept that allows any proprietary value model. Whether it is acceptable as consistent (read: GAAP compliant) or not, value models are available for managers and users of financial information on any IA-based event. Data mining and computer-oriented accounting information system make creating such models a relatively easy task, albeit a proprietary tool for the reporting entity or industry. Appraisals were often hailed as the magic bullet for such metric setting and some might set that to be the magic (Y=50( on the Y axis. But, as shown earlier in this presentation, appraisals are simply value models that have been warranted or certified and are founded on their own (multiple) assumptions. Because applying the right mix of different appraisals methods, human judgement and experience causes variation in the consistency of this valuation[? ][xxii], appraisals can not be a consistent or reliable method of measuring IA. Thus, appraising an IA receives a mark of 90 on the Y axis. As alternative of future benefit inflow models, a (real-options( model is also available to some small relief of the issues. Real Options, too is set at Y=90. Recognition of Intangible Assets Recognition of Intangible Assets There exists a notion that recognizing IA is a threat to proper disclosure of current period expenditures: capitalization of certain outlays can be seen as a scheme for expense deferral, designed to enhance the perceived value to creditors (shareholders et al). Proper classification, processing and reporting structures designed to deter such improper reporting can be effective. Overall, requiring additional disclosure can only enhance the utility of the financial report to its users. On the other hand, it is easy to prove logically (see Appendix) that IA should be recognized, assuming that it can be properly and consistently measured. The argument for capitalization essentially shows that if one assumes that (1) A company must have a growth factor ((gamma() in its assets in order to survive; (2) Outlays of assets (cash) in period N reduces Equity in period N; (3) If (gamma( is present then recognizing outlays as expenses in period N understates Equity in period N; Therefore, the recognition of expenses is inaccurate, and the capitalization of these outlays is required. In this paper, the X axis will become the range of possible recognition treatments of IA. In general, several points of view are identifiable on this axis. Currently, GAAP does not allow for recognition of IA (except Goodwill from purchase transaction) either because of the control test[? ][xxiii] or because of the measurability test (measurability pertains to the Y axis in this model). An opposing view is presented states in essence that IA are either any excess of market value over book value, or that earned income, before depreciation, amortization, and taxes (or some other similar representation of operating income) can be allocated([? ][xxiv] to the different asset classes: fixed, financial and intangible. Finally, using a completely projectionist method future cash flow as the value of an IA (perhaps in conjunction to subtracting the adjusted-basis and adding the disposal value) might allow non-GAAP recognition of an such an IA. GAAP Recognition: Currently GAAP contains no reco gnition of IA, other than Goodwill as provided by GAAP. As discussed in the measurement section, above, Goodwill is recognized only under certain purchases where certain tests of the excess of FV over AB are present, giving rise to Goodwill. However, Goodwill is often realized and recognized when another class of IA should be created, instead. Goodwill is realized and recognized due to an excess of a purchase consideration over FV (GAAP). This excess, however can be disaggregated or classified more finely than simply calling it Goodwill: Take for example a hypothetical acquisition of a Value Added Network (VAN) provider by an Internet Service Provider (ISP). The former provides the communication tools, the phone lines and the data traffic from customer(s homes to the Internet. The latter, the Internet Service Provider, can benefit from this acquisition by avoiding renting the VAN(s and instead capitalizing on the acquisition(s future cash in flows. Moreover, the ISP can direct its customer base to use VAN as a preferred channel, creating certain loyalties, flexibility (for the customers) and other added value benefits. Assuming – under GAAP – that the ISP paid the VAN(s shareholders more than the FV of their stock, an entry for Goodwill is required. However, this entry is a misnomer: the Goodwill is not really for the excess value but for the additional structure capital (SC) of the acquiring entity. Mostly, the VAN(s organizational structure can benefit from this excess (only in secondary order is the future cash inflows of the acquired VAN to the ISP. ) Because Goodwill is the only GAAP compliant IA combined with its possible vagueness or generality, it receives a position of 0 on the X axis. Recognizing only Marketable IA: This method allows for some latitude in recognizing certain IA, for example, patents, copyrights, and contractual leverage (with employees, suppliers or customers). Using this method excludes most internally generated IA because their effect is not legally binding. Recognizing IA based on their enforcability and to some degree, marketability gets placed at X=50. Recognizing All Events: Some knowledge based essays argue that all events in a business entity is one of IA. As such, all otherwise not measured events can be considered intangible and once measured, recognized on the entity(s books. Because it is the most relaxed method, recognizing all non-financial events in an index or model of fair value[? ][xxv] obtains X=100. Recapitulate: Valuation & Recognition Valuation and Recognition of IA has yielded a two dimensional plain on which different methods are available. At the most conservative level, GAAP driven, is the point (X=0,Y=0) which asserts that measuring asset must be according to the past-event principle (historic cost) and that with the exception of Goodwill, no internally or externally generated IA are accounted for. Departing from this basis, on the valuation scale (the Y axis) are proposed method of measuring the value of IA ((future cash flow(, (appraisal( or (real-option( models) make an interesting combination. For example, assume the point (X=0,Y=100) on the X,Y plain is proposed and accepted. This means that a only historic cost (X=0) is realized and yet, that future cash flow (Y=100) is used for measuring the value of these asset. Thus, any hybrid of such a nature (cell D in the Table I) of conventional measurement and unconventional recognition poses the challenge to the third axis in this paper: presentation of IA.    |   |   |   | |   |Recognition: X=0   |X=50 |X=100 | |   |   |   |   | |Valuation |(A) |(B) |(C) | |Y=0 |( IA not recognized[? [2] |( Select IA recognized, based on |( All events recognized, if not | |   |( Historic Cost |market, contractual. |classified elsewhere they are IA | | |   |( Historic Cost |events | | | |( Historic Cost | |   |   |   |   | |Y=85 |(D) |(E) |(F) | | |( IA not recognized |( Select IA recognized, based on |( All events recognized, if not | | |( Real option valuation model |market, contractual. classified elsewhere they are IA | | | |( Real option valuation model |events | | | | |( Real option valuation model | |   |   |   |   | |Y=90 |(G) |(H) |(I) | | |( IA not recognized |( Select IA recognized, based on |( All events recognized, if not | | |( Appraisal (cost, market, income |market, contractual. classified elsewhere they are IA | | |approaches) |( Appraisal (cost, market, income |events | | | |approaches) |( Appraisal (cost, market, income | | | | |approaches) | |   |   |   |   | |Y=100 |(J) |(K) |(L) | | |( IA not recognized |( Select IA recognized, based on |( All events recognized, if not | | |( Proprietary Value Model |market, contractual. |classified elsewhere they are IA | | | |( Proprietary Value Model |events | | | | |( Proprietary Value Model | Table I: Intersection o f measurement and recognition approaches for IA[? ][3] Presentation of Intangible Assets The issue of possible presentation of IA as part of a financial statement must be addressed by the Reporting utilization that such a report contains. Not specifically within the scope of GAAP(s IA (other than Goodwill) are vaguely disclosed in the financial statement. As research shows, some Securities and Exchange Commission regulated corporations disclose Goodwill in aggregated format, while others disclose the underlying detail. Moreover, the other (disclosure( of IA, specifically to the external user, is done by the Management Discussion and Analysis (MD&A) that accompanies most financial statements of publicly held entities. However, MD&A is a really only another form of appraisal, and not unbiased at that, in relation to IA valuation. In reference to accounting for IA, MD&A is inapplicable as interpretation of the value, structure and other forms of unclassified (and unaudited) material statement can become vague in its message to external users. It is important to note that the internal users of a financial statement are slightly better equipped to properly ascertain the message in the financial report; internal accounting practices, cost management and non-financial reporting facilities can aid an internal user to better gauge the weight and context of an IA reference within the financial statement, be it a Goodwill or otherwise disclosed IA. The current GAAP disclosure practice (but not requirement) is at the lower end of the Z axis (Z=0). Under GAAP, a balance sheet of a corporation that might have intangible resources at its disposal might be presented in the following way (example 1): |   | |Balance Sheet, GAAP Driven | |   | |Assets $1000 | |   | |Liabilities (100) | | | |Equity (900) | Example 1: GAAP Driven Balance Sheet Complete inclusion of any intangible resource available to a company is in contrast to the current GAAP treatment. A complete inclusion of non-required disclosure of IA is at the farthest end of the Z axis the concept of full integration of IA in the financial reporting (Z=100) . Of course, this in itself is a valid notion because full disclosure of IA represents expressing mostly relevant information to the user of the financial report. [? ][4] Relevance however, has a trade off with accuracy. The relevance of including any and all IA in a financial statement might hinder on its accuracy; the example below makes this point. Full integration of IA in a financial report can lead to a balance sheet of the following format (example 2):    | |With Considering IA, Complete Inclusion | |   | |Assets $1500 | |(capture events related to both tangible and intangible resources) | |   | |Liabilities (100) | |   | |Equity (1500) | Example 2: Complete Inclusion driven Balance Sheet A possible over-statement of Assets by $500 exists under a complete inclusion method, which is most permissive in relation to GAAP. This type of presentation contains all resource-based events pertaining to the business at hand. It includes both financial and non-financial events pertaining to the entity. Some of this superset(s contents are IA that are externally or internally generated. For example, employee loyalty or positive media coverage are non financial events that affect its financial position. A possible reconciliation between the requirements to present certain financial statement elements (such as fixed assets, financial assets, current and non current liabilities, shareholders( capital et cetera) can be obtained in a tiered financial report. The concept behind a tiered financial report is that the core of any financial report must be GAAP driven. Its benefit to any user must continue in order to provide consistent, accurate and standardized language of communication of a financial position. Within this core, GAAP reporting is one where the balance sheet presents the assets and the claims against them. This fundament is in turn included in a larger set which can include not only cost-related assets but value driven assets, i. e. IA. Conceptually, IA that provide a growth factor (recall: gamma > 1) is meaningful to the financial position of the reporting entity. For example, suppose an internally generated IA such as organizational structure or shared knowledge exist (assuming it can be valued and recognized). Under GAAP IA are not attributed to growth of several periods (by definition, growth is the increase of the value of an asset between successive periods). However, for the users of the financial statement, the information about such growth is important in making educated decision about the going concern and prospects of the entity. Thus, the compromise format of financially reportable events includes a degree of IA-related events that can affect a reasonable user(s decision-making process. This type of reporting mechanism is about mid-way between GAAP and Non-GAAP reporting format, at Z=50. An example of a tiered balance sheet follows (example 3): |   |   | |Without Considering IA |With Considering IA, Tiered Format | |   |   | |N/A |Intangible Asset $300 | | |(Note: Recognize IA events based on historical ost) | |   |   | |Assets $1000 |Assets 1000 | |   |   | |Liabilities (100) |Liabilities (100) | |   |   | |Equity (900) |Equity (900) | |   |   | |N/A |Equity Attributed to Intangible Asset | | |(300) | Example 3: (Padded( Balance Sheet In essence, this type of (padding( of a balance sheet is derived from the set concept introduced above. The (core( statement, consisting only of Asset, Liabilities and Equity, remains intact. An extended set of financial events allow further disclosure of the financial effect of IA (in this example, by using the most aggressive GAAP-departure valuation method). Recapitulate: Recognition and DisclosureRecapitulate Recognition and Disclosure Just as Valuation and Recognition can be plotted on a two dimensional plain, so can the axis of Recognition and Disclosure. Overall, the X,Y and Z axis allow us to examine the problem at hand on a three-dimensional basis. The intersection point of the Recognition alternatives in relation to the Disclosure alternatives follows: |   |   |   |   | |   |Recognition |   |   | | |X=0 |X=50 |X=100 | |   |   |   |   | |Disclosure |(M) |(N) |(O) | |Z=0 |( IA not recognized |( Select IA recognized, based on |( All events recognized, if not | |   |( No GAAP required Disclosure, |market, contractual. classified elsewhere they are IA events | | |only discretionary MD&A |( No GAAP required Disclosure, only |( No GAAP required Disclosure, only | | |   |discretionary MD&A. |discretionary MD&A | |   |   |   |   | |Z=50 |(P) |(Q) |(R) | | |( IA not recognized |( Select IA recognized, based on |( All events recognized, if not | | |( Tired ((Padded() Financial |market, contractual. |classified elsewhere they are IA events | | |Report |( Tired ((Padded() Financial Report. ( Tired ((Padded() Financial Report | |   |   |   |   | |Z=100 |(S) |(T) |(U) | | |( IA not recognized |( Sele ct IA recognized, based on |( All events recognized, if not | | |( Full financial incorporation |market, contractual. |classified elsewhere they are IA events | | |of IA – undefined |( Full financial incorporation of IA. |( Full financial incorporation of IA | Table II:Intersection of measurement and reporting approaches for IA. Cells M-U describe the X,Z plain (the letter are assigned sequentially). To complement tables I and II, the intersection of valuation alternatives and disclosure methods available are included in Table III: |   |   |   | | |   |Disclosure |   |   | | |Z=0 |Z=50 |Z=100 | |   |   |   |   | |Valuation |(V) |(W). (A1) | |Y=0 |( No GAAP required Disclosure, |( Tired ((Padded() Financial Report. |( Full financial incorporation of IA | |   |only discretionary MD&A |discretionary MD&A. |( Historic Cost | | |( Historic Cost |( Historic Cost | | |   |   |   |   | |Y=85 |(A2) |(A3) |(A4) | | |( No GAAP required Disclosure, |( Tired ((Padded() Financial Report. ( Full financial incorporation of IA | | |only discretionary MD&A |( Real option valuation model |( Real option valuation model | | |( Real option valuation model | | | |   |   |   |   | |Y=90 |(A5) |(A6) |(A7) | | |( No GAAP required Disclosure, |( Tired ((Padded() Financial Report. ( Full financial incorporation of IA | | |only discretionary MD&A |( Appraisal (cost, ma rket, income |( Appraisal (cost, market, income | | |( Appraisal (cost, market, |approaches) |approaches) | | |income approaches) | | | |   |   |   |   | |Y=100 |(A8) |(A9) |(B1) | | |( No GAAP required Disclosure, |( Tired ((Padded() Financial Report. |( Full financial incorporation of IA | | |only discretionary MD&A |( Proprietary Value Model |( Proprietary Value Model | | |( Proprietary Value Model | | | Table III:Intersection of measurement and disclosure approaches for IA. DiscussionDiscussion The problem of Intangible Assets revisited Conceptually, the accounting for IA is at the heart of the framework that links the Balance Sheet and the Income Statement: at its core the balance sheet is a statement of resources while the income statement is a an expression of the utilization of these resources (tangible or otherwise available to the entity). Coupled, the traditional balance sheet and income statement includes only tangible resources. However, the traditional Income Statement includes activities that stem from using all available resources. In the asymmetry lies the reason for inclusion of IA resources on the Balance Sheet. For example, outflows for compensation is often the single largest expense of a corporation. Yet, employee knowledge, or other types of Human Capital are rarely disclosed. Further, any activities that are profitable, i. e. where the growth factor ((gamma() is greater than 1, are attributed only the tangible resources. Classes of Intangible Assets IA can be divided to two classes: resources that are within the control of the organization and resources that are only partially within the control of the organization. To maintain a mathematic model, we can introduce OC, Organizational Control, such that: For IA such as Customer Base and Customer Relations Index, Vendors( Credit and Trust, Internal Production or Service Procedures, OC = 1. 0, i. e. there is complete control over the resource, which is an intangible asset; For IA such as Human Skill Level , Employee Satisfaction and public Relation Index ((Public Image(), OC < 1. 0. The following is an imaginary – yet possible – comparison of two companies that might have different levels of Organizational Control over their IA, classified according to their business type. Table IV is an illustration of OC levels: |   |   |   | |   |(Tobacco and food conglomerate(|(Northeastern Ice-cream | | | |Manufacturer( | |   |   |   | |Organization Control Level = 1. 0 |   |   | |   |   |   | |Customer Base |1. 0 |1. | |   |   |   | |Vendor(s Credit |1. 0 |1. 0 | |   |   |   | |Internal Production Procedures |1. 0 |1. 0 | |   |   |   | |Organization Control Level < 1. |   |   | |   |   |   | |Human Skill |0. 9 |0. 7 | |   |   |   | |Employee Satisfaction |0. 8 |0. 8 | |   |   |   | |Public Image |0. 5 |0. 9 | Table IV:The (determined) values of Organizational Control (OC) over Resources We assume these values derive from internal yet consistent studies and valuation, we can see that for the first three (classified as IA over which the entity has complete control) the OC value remain 1. 0. This simply indicates an existence of an IA (completely within the company(s control). The second group of so called (assets( (or generally: resources) are not completely within the control of their respective entity. We can say, perhaps, that the ice cream factory workers need less training than the tobacco production plant workers but that they are equally satisfied. Further it is clear that the tobacco conglomerate has less leverage in their public image (OC = 0. 5) than the ice-cream maker (OC=0. 9). The important point about all these resources is that the entities are not controlling the value drivers. Therefore, for example, their public images is different and it can not be enlisted as an (asset( because it is outside the scope of their respective control. [? ][5] The three sets of resource group can be summarized as follows: The most inner core of assets that are GAAP driven: Tangible Assets that are at the core of the Income Statement and Balance Sheet pair. These assets produce tangible activities such as cash (inflow) or products (output). The intermediate outer tier consists of resources that are fully under the control of the entity, thus they can be classified as Assets, albeit intangible: they too produce activity such as competitive edge (HC) and customer loyalty (SC). In contrast to HC and SC, the outmost tier class of resources are intangible resources that are not fully under the control of the entity thus fail the control test of the definition of an Asset. In a sense, the inner set of Balance Sheet and Income Statement represent the fundamental analysis that an external or internal user of these statement might be interested in. Under this framework, fundamental ratios and projections are available in the most traditional sense. Extrapolating from that tier, the resources described as (true( Intangible Assets, i. e. hat they are measurable resources that occurred in the past and are within the entity(s full control, describe the effect of growth and going concern. Growth is indicative of innovation or competi tive edge, while going concern is more general and encompasses other factors. In this vein it has been shown that IA are a source of both growth and continuity: IA are key to strategic planning and success[? ][xxvi]. Resources such as reputation, employee know-how, and organizational culture were also linked to success factors of companies[? ][xxvii]. Finally, the outer tier of partially controlled resources can be described ( if so wished by the reporting entity ( as additional disclosure of interest to the user of a financial report. The outer tier is only marginally useful because of the lack of full control the reporting entity might have over factors such as public image. It will be interesting to see if the two outer tiers of resources will play out in future disclosure: the FASB is now encouraging companies to discloses elements of intangible assets in their financial reports. However, from a review of the two tiers it seems that disclosing resources in the intermediate tier can add to the reporting utilization of the entity(s financial report, perhaps if it is presented in a two tier Balance Sheet ((padded(, described earlier). Resources that are not within the complete control of the entity (the outer tier(s elements) will most likely not be disclosed. Assuming a valid and consistent index can be obtained   (by an external review, for example), there can be usefulness to disclosing elements of intangible resources which are (true( IA such as index of customer base, customer loyalty and vendors( credit which reflect on a positive (going concern(. In contrast, disclosure of elements such as employee retention, public image and human skill index, can provide external users a marginal utility regarding the activity and prospects of the entity. Conclusion Measurement of IA is the area where the disparity is widest (on the Y axis in this discussion(s three dimensions model). The alternatives to historic cost are valuations based on proprietary models or based on certified models. Both alternatives are insufficient because they require judgement which lead to substantial variation. Historic cost is most consistent but inapplicable because it can not measure certain IA such as customer base or affiliations and alliances. Therefore, an allocation approach is suitable: computing the ratio of growth in equity to fixed, financial and intangible asset allows measurement of IA at least as a class of resources on the balance sheet statement[? ][xxviii]. Further discussion and research is required in order to properly weigh the specific intangible assets within this class, and thus compute the financial value attributed to it. Generally, the emergence of IA and in general, intangible resources, is unavoidable. The accounting profession should treat this type of financial event within its GAAP guidelines and not attempt to preclude it from recognition. Plainly, accounting for IA by including it in the financial statement (specifically, as part of the Balance Sheet) is not helpful to the external user. Such recognition will simply inflate the value of corporations and will cause comparisons to be more difficult and the financial statement viewed more skeptically. However, by methodically presenting IA in a tiered manner, users of the financial statement can view the traditional fundamental (current) GAAP elements as well as supplementary elements. In a sense, allowing companies to literally (pad( their balance sheet with separate IA and IC (Equity due to IA) will put to a (vote( of the external and internal users the concept of systematic disclosure. To wit, instead of a honorable mention in the MD&A section or a buried treasure in the footnotes to the financial statement, disclosing IA on the face of the balance sheet, without reducing its existing utility, might be a solution to the emerging need to report IA as a financial event. References [pic] [pic] [1][1]IA are often labeled knowledge assets. Much has been written about a knowledge economy and some attempted to define all resources as knowledge-based. The device in which this is possible is usually illustrated by an example of an organization that can be described all in terms of knowledge. Such zeal is convincing only to the extent that a counter example is not produced. Knowledge is information produced by data and ideas. Transforming knowledge to a benefit producing resource ((value() converts knowledge to an IA. Thus, in terms of scope of valuation of IA, not all business process are considered IA: only business processes that have not been measured or presented elsewhere can be considered measurable for purposes of this discussion. [2][2]In all the instances of Y=0, IA is not recognized except for Goodwill in purchase. [3][3]The recent FASB sponsored attempt to account for certain types of IA by rules of annual impairment valuation (read: appraisal valuation method) is position in box (B( of Table I: using historic cost and a (certified) appraisal of fair value of an IA to trigger both valuation and recognition. 4][4]However, (strange bedfellows( effect might occur if we simply plot the Z axis against, say the Y axis (measurement): the point (Y=0, Z=100) yields an IA that (is not recognized (Y=0)( and (integrated in the financial report( (Z=100). Therefore, at least from a practical point of view, these type of pairing with GAAP (Y=0 and Z=100) can not be used for our analysis: this point in our exploration model is undefined. [5][5]It is the public, the society in which they operate for example, that determines which company is the (Kind American Corporation( and which is the (Evil American Corporation. ( [i][i]. ABI-Inform is available via the Internet from ProQuest Information and Learning Company. [ii][ii]. Accuracy of the yield and direct capitalization methods: A twenty-year empirical study of the electric utility industry(; Assessment Journal Chicago; Richard R Simonds; Vol. 6; No. 4; pp. 49-55 [iii][iii]. Internet: available: www. dictiornary. com. Source of this citation: 1997 Princeton University. [iv][iv]. Internet: available: www. dictionary. com. Citation source: The American Heritage Dictionary of the English Language, 4th Edition. [v][v]. FASB presentation, Nakamura in 4th Annual Intangible Assets Conference, Ross Institute, New York University, May 2001. [vi][ vi]. Financial Accounting Standards Board; Special Report : Business and Financial Reporting, Challenges from the New Economy; Wayne S. Upton, Jr; No. 219-A; April 2001 p. x (Executive Summery). [vii][vii]. Lynn, Bernadette, CMA; Intellectual Capital Key to Value added Success in the Next Millennium; Society of Management Accountants of Canada, CMA Magazine. Available: Internet http://www. cma-canada. org. [viii][viii]. Lynn, Brenadette. [ix][ix]. Data is the superset of information which in turn is the super set of knowledge. Purposeful and formal conversion of data to information and information to knowledge, creates Intangible Capital, which can be leveraged. [x][x]. Berry, John; MIT, Wharton Search for IT Asset Metric; Internetweek; Manhasset; Feb 5, 2001. [xi][xi]. (†¦ Brand assets and patents are knowledge assets, not just technology(. Companies May Be Unwittingly Ignoring The Bulk of Their Asset Value; Investor Relation Business; New York; Dec. 3, 1999; p. 4. [xii][xii]. Hal Varian; How Much Information is Produced Worldwide? University of Berkeley; Presented in the 4th Intangibles Conference at New York University, Stern School of Business, Ross Institute of Accounting Rese arch; May 2001. [xiii][xiii]. Christopher Tucci; The Value of Collaborations and Alliances; New York University; Presented in the 4th Intangibles Conference at New York University, Stern School of Business, Ross Institute of Accounting Research; May 2001. [xiv][xiv]. FASB; Special Report; Chapter 2. [xv][xv]. John Rutledge, You(re a Fool if You Buy into This One; Available: ABIinfrom. [xvi][xvi]. Alfred M. King, Jay M. Henry; Valuing intangible assets through appraisals; Strategic Finance; Vol. 81, No. 5, Montvale; Nov. 1999. pp. 32-37. [xvii][xvii]. Alfred M. King, Jay M. Henry, Strategic Finance, Nov. 1999. [xviii][xviii]. Lawrence C. Rose; Accuracy of Appraisers and Appraisal Methods of Closely Held Companies; Entrepreneurship Theory and Practice (ET&P) Vol. 17, No. 3; Spring 1993; pp. 21. [xix][xix]. FASB; Special Report; p. 39 [xx][xx]. Alfred M. King, Jay M. Henry, Strategic Finance, Nov. 1999. [xxi][xxi]. Wiley A. Scott, Jr. ; Borrowers( Intangibles May be Off-Balance-Sheet Gold; Commercial Lending Review Vol. 9, No. 3; Boston; Summer 1994, pp. 26. [xxii][xxii]. Lawrence C. Rose; Accuracy of Appraisers and Appraisal Methods of Closely Held Companies; Entrepreneurship Theory and Practice (ET&P) Vol. 17, No. 3; Spring 1993; pp. 21. [xxiii][xxiii]. FASB; Special Report; Chapter 4. [xxiv][xxiv]. Lev, Baruch. [xxv][xxv]. IAS 36 defines (value in use( as (future cash flows expected to arise from the continuing use of an asset. [xxvi][xxvi]. Joseph A. Patrick et al; Global Leadership Skill and

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M1A3 - Leadership and ethics - Essay Example It has a customer base that runs into millions per week and expeditiously boasts of workforce of over 500,000 employees (Wrigley, 1988). Jack Cohen founded the company in 1919. The name Tesco appeared first in 1924, but it was not until 1929 when the first store started its operations. The store was originally a UK grocery retailer, but it has diversified increasingly geographically and into other areas including electronics, petrol, clothing, furniture, books retail, financial services, software, internet services, and music downloads, DVD rental and telecoms. Tesco repositioned itself in the 1990s to Tesco Finest ranges (Tesco). This inevitably led to successful chain growth of the store from five hundred stores in the nineties to two thousand five hundred stores in 2005. Tesco’s Values sits at the heart of its business and helps the store to deliver its core purpose, which is to generate value for its treasured customers in order to earn their lifetime loyalty. The store af firms that it tries to its level best for its customers, treat people, as they would love to be treated in order to, fully enjoy their work (Bell & Reavis, 2003). The year 1997 was the year that these values were developed. Various touch ups have been done to perfect the values to align them to today’s business current trends. ... These stores stock all range of Tesco’s products although some of the stores are in middle of inner-city locations and town centers. Tesco Superstores are large standard supermarkets, which stock groceries and a smaller range of non-food products in comparison with Extra stores. Tesco Metro stores are mainly located in the inner city, in city centers and on high streets of towns. They are in between Tesco Express stores and Tesco Superstores in terms of size. Tesco Express sores are notably the neighborhood convenience stores that are found in residential areas, in the city centre districts, small villages and towns and in various Esso petrol stations (Tesco). According to Bell & Reavis (2003), One Stop stores do not have the Tesco brand name. The stores are to be found in smaller residential areas. There prices also differ from other Tesco stores. Tesco Homeplus are non-food only ventures, and there are 13 stores nationwide. The stores offer all of the Tesco’s items bu t with an exception of food. The stores have a style that is similar to a warehouse unit and are found in retail parks. Dobbies Garden Centers are 28 garden centers in total. This number is equally divided between the stores in England and Scotland. Tesco bought 65% shares of the Dobbies Garden Centers PLC in 2008. According to Woods (2012), other business activities that Tesco undertakes include Internet retailing, financial services, petrol stations, telecoms, photo shops, Tesco Tech Support, Technika, filmmaking, record label, video-on-demand, gold exchange, Tesco Tyres and beauty salon. The store made record profits of ?3.4 billion in the year 2010 despite the economy suffering the effects of recession. Tesco is

Intradermal Injections Traditional Bevel Up Versus Bevel Down Article Lab Report

Intradermal Injections Traditional Bevel Up Versus Bevel Down Article Critique - Lab Report Example This is a traditional technique and widely accepted. Thus, the authors in this paper studied if the comfort levels vary in the two techniques. The authors use students with no experience what so ever as nurses in this study. They claim that it is important to have un-experienced candidates as nurses as they do not have any preferences towards the bevel up or bevel down technique. They call these nurses as having no "psychomotor skills". Is it a good idea to have nurses with no skills to test the technique The authors do not discuss on the effect of the technique on the cause itself. A bevel down injection might result in the medicine flowing into the lower layer of the dermis. Thus, a bevel up injection may be better as it is important to get the medicine deposited in the upper layer of the dermis. It might not have any effect but still some discussion on the effect of the technique on the cure would have helped. One of the most important factors of the experiment was to measure the size of the wheal. The reason is that it is a scientific factor to evaluate the effectiveness of a given technique. The size of the wheal probably correlates with the effectiveness of the technique. May be the wheal is not at all necessary for the effect to take place. This is necessary in-order to evaluate the results better. Page 2Page 278 "Please rate on a scale of 1 to 5 your comfort when receiving the intradermal injection, with one (1) being no discomfort and five (5) being 'hurts a lot'." Below this sentence was a row of five numbers with "no discomfort" above the "1" and "hurts a lot" above the "5." The subject circled a number. The form was then taken by the investigator, and the subject was given a second form with the same content for the second injection. In addition, it asked "Which injection was better" followed by" This is more or less the procedure used to analyze the technique. i.e., psychological analysis to differentiate between the two scientific methods - bevel up and bevel down methods of intra-dermal injections. This should have been the title of their paper. Apart from the psychological analysis, the authors should have evaluated the technique based upon some scientific tests. Unfortunately, they have not even mentioned any such experiments. This is a major draw back of the paper. Page 278 ".45 administered the intra-dermal injection bevel up the first time and 53 of them used the bevel-down technique the first time." And then on the page 279 "Subjects administered the bevel-up injection

Intercultural communication Essay Example | Topics and Well Written Essays - 1000 words

Intercultural communication - Essay Example Today, many people believe that the city is the world leader in many things such as arts, communication and finance. For instance, the city prides itself as having one of the finest and multifaceted ports in the world. Additionally, New York City serves as headquarter to several organizations and corporations including United Nations. Besides being one of the major economic hubs in United States, New York City is also centre of media and communication, publishing and fashion designing (Unites States Census, 2011, p. 1). Demographics Historians describe New York City as the city that continually receives the highest number of immigrants. This is the reason why many refer to it as â€Å"melting pot† referring to the highly populated regions on the eastern parts of the city. With over 800 languages, it is clear that people from different backgrounds have come to live in the city. However, English is the most common language that many New Yorkers speak. According to census report of 2010, New York City has a population of 8,175,133 people. The greatest demographic features of the city remain cultural diversity, as there are people from different backgrounds living there, and population density. ... You will find people from at least every nation in the world living in New York. In fact, the city is home to Indians from the northern hemisphere, Chinese, Jewish community, Africans, and even Koreans. Nevertheless, in terms of race and ethnic composition, the whites top with 58 percent followed by Hispanics at 18 percent and Blacks at 14 percent (Unites States Census, 2011, p. 1). Language spoken at home With almost every community in the world represented in the city, people living in New York speak over 800 languages. In their homes, people from the same background can choose to speak their mother tongue. However, the most dominant language of communication in New York is English, and many immigrants have mastered this language in order to communicate with the natives. Certain homes also use Spanish and it is actually the second most popular language in New York City, Of course, not forgetting the other languages although very few number of New York residents use them. According to the census of 2010, children aged over five years, irrespective of the background of their parents, speak English as their primary language in addition to another language. However, the fluency in speaking English depends on one’s background. Socioeconomic levels New York being an economic hub, the expectations are that many people living there are doing well socially and economically. However, depending on one’s background, the socioeconomic levels are not the same for all residents of New York City. Truth is, many New Yorkers are above the scale economically. However, it is important to note that in any society. We have the low class, middle class and upper class people. Majority of New York residents are middle class with well-paying jobs or own some business

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Effect of reverberation and amplification on sound localisation Essay

Effect of reverberation and amplification on sound localisation - Essay Example Binaural cues are based on the processing of differences in intensity, time and frequency correlation between both ears in the central nervous system. Localisation can be affected by any number of factors, including age, hearing loss, gender, handedness, environmental conditions and sound variations. An important factor in sound localisation is reverberation, which affects auditory perception and can provide listeners with a cue for sound distance. Reverberation refers to the acoustic environment that surrounds a sound, and is defined as the combined effect of multiple sound reflections within a room. Hearing loss may affect listening in reverberation by distorting the speech spectrum, therefore it is interesting to further investigate the effect of reverberation on speech localisation. Sound localisation may also be affected by hearing aids, as these may affect the localisation cues. Sound localisation therefore can be both negatively and positively affected by hearing aids. Directi onal microphones may disrupt binaural cues for localisation, as they can artificially change the inter-aural level and phase differences, which are both critical cues for localisation. ... However, previous studies are contradictory as to whether bilateral or unilateral hearing aids are better when in terms of sound localisation. The main purpose of the present study is to investigate the contribution of adding reverberation on a listening environment to the abilities of normal hearing and hearing impaired listeners in localising speech and non-speech signals, and to evaluate whether it is necessary to add reverberant environments in clinical testing. Another objective of the study will be to determine if adding reverberation makes localisation more challenging for hearing impaired listeners in comparison to normal hearing listeners. The second main purpose of the present study is to understand the effect of the hearing loss and the hearing aid amplification systems on the utilization of the localisation cues in reverberant and anechoic environments. These two factors will be investigated separately by comparing the hearing impaired performances with and without hearin g aids in both listening environments. 1.2 Thesis Outline Chapter 1 Introduction Chapter 2 Background and Literature Review. This chapter introduces the concepts and literature on horizontal sound localisation in both normal and hearing impaired listeners. Background information on reverberation, and what is known on the effects of reverberation on our ability to localise sound sources in the horizontal plane, is also introduced. Chapter 3 Experimental Design. This chapter describes the experimental set-up and apparatus used in the localisation experiments in the thesis. It will further provide some details of the stimuli, reverberation, and the methods, used in simulating different reverberant environments. Chapter 4 KEMAR Measurements. This chapter reports the measurements

Strategic Analysis of Acer Incorporation Essay Example | Topics and Well Written Essays - 1750 words

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