Quality and Safety in Radiation Oncology †Free Samples to Students

Question: Discuss about the Quality and Safety in Radiation Oncology. Answer: Introduction: This is used in accrual accounting which is used to measure the costs and the income earned as recording in cash flows (Andon, Baxter Chua, 2015). This is the current value measurement. In the absence the direct evidence is given and it argues on various characteristics. There are changes in the system and therefore there is movement of measurement in the historical cost to the new basis which is the fair value. The International Accounting Standards Board (IASB) has the initial and subsequent measurement. The new IRFS will change the procedures and it will include the operating lease. Secondly the lease if not capitalized will be shown in the balance sheet and that will be recognized as the right to use such asset and then there arise the liability for the obligation (Burkins, 2014). The standard of IASB is responsible for International Financial Reporting Standards. IFRS which is incorporated and it is consistent with the practical solutions which deals with the financial reporting which have emerged over the years and it is built on accumulated business practices of centuries (Cummins Worley, 2014). The IFRS is not a completely new and uniform approach to financial reporting, but it is the result or outcome of a. There are uncertain future outcomes and it is helpful to provide a clean and fair picture of the current position as well as the performance to date. The current position shows that, among other things: The assets that are to be measured under IASB ; The various assets measured in different bases (Duke, 2017). The various liabilities which are to be valued or can be measured at different bases (Habidin et al, 2016). The impact it has on the chosen stakeholder The new lease standards which have a huge impact on stakeholders of the company that is Sigma Healthcare Limited .The new standard enables in higher level of interest rate (Oliver,2014).This will impact the industries and Sigma. The retailers will have their shops in the mall and thus it will include the renewal options of the company. Then it will have an impact on the mining services and therefore it will help in the expensive equipment held in the operating leases. In the industry it will be required to capitalize the amount in the balance sheet and for the industry. For the pharmacy industry the amount is also to be capitalized in the balance sheet for the aircrafts (Halloran, 2014). Exception to the new lease system which affects the stakeholders: The short term leases where the period is twelve months. The low valued or less price laptops or tickets and computers have the effect. If the company Sigma healthcare has lease payments and their assets are recognized and which is on a straight line basis for a period over the lease term and it helps in the lessees benefits. (Patrcio, 2014). The ways that AASB 16 will benefit and the disadvantage that stakeholder have The Australian Accounting Standard16 on lease which was released on (Seve, 2016). The new standard in Sigma healthcare is a standard which was effective for the finance and the operating lease. It is seen that the AASB 16 have the disclosure of the statements and the increase in the EBITDA margin (Scholten et al, 2017). Leases for Sigma healthcare limited have a consolidated entity and their risks and also the benefit of the ownership is called the finance lease (Williams Bastian, 2016). The liability which is raised corresponding is represented as the future obligation for the rental out of the net of finance charges (Mirza Nandakumar, 2013). Operating leases are the leases which cannot be capitalized. Operating lease are the payments which are to be charged to profit or loss account and it is incurred on a straight line basis. (Jung, Park Chung, 2016). AASB 16 which would have result in reporting The lease documents that are prepared for the Sigma Healthcare Limited will be effecting in the following ways. It has to convey the right to control and use the lease It is recognized as a identified asset ((Nobes, 2014) The new standard conveys that the lessee is for long time. The assets that are also known as identified assets are taken on lease basis and this lease contract will be affecting the identified assets. The lease which will convey to both the lesser and the lessee the right to use the assets (Kraft, 2014). Once the right of lease is transferred then the right will also be conveyed for a particular period of time. It is known that the lease and it will also substantially have a huge economic benefits of that particular identified asset, and The lease standard can be used directly and it is also used for the particular identified asset (Smieliauskas, Craig Amernic, 2017). The new information will be required which will help in determination of the calculation which will be required for the calculation of the leased asset. The new accounting model of the company will help in the changes in financial metrics and key performance indicator and therefore introduce the volatility of the balance sheet and the profits or loss due to the measurement. Statement showing Calculation of Provision Particulars Amount Current Liability Estimated cost of repairs products with minor defects $ 2,000,000.00 Expected % of products sold during FY14 having MINOR defects in FY15 15% Estimated Warranty for Provision on Minor Defects (A) $ 300,000.00 Estimated cost of repairs products with major defects $ 12,000,000.00 Expected % of products sold during FY14 having MAJOR defects in FY15 5% Estimated Warranty for Provision on Major Defects $ 600,000.00 Estimated % of defects to be settled in 2015 40% Estimated amount of Defects settlement in 2015 (B) $ 240,000.00 Provision for warranty under current liability (A+B) $ 540,000.00 Provision for warranty under Noncurrent Liability $ 360,000.00 Discounting Factor 0.88999644 Provision for warranty under Noncurrent Liability $ 320,398.72 Table 1: Calculation of Provision (Source: Created by Author) Statement showing Calculation of Provision Particulars Amount Current Liability Estimated cost of repairs products with minor defects $ 2,000,000.00 Expected % of products sold during FY15 having MINOR defects in FY16 12% Estimated Warranty for Provision on Minor Defects (A) $ 240,000.00 Estimated cost of repairs products with major defects $ 10,000,000.00 Expected % of products sold during FY15 having MAJOR defects in FY16 3% Estimated Warranty for Provision on Major Defects $ 300,000.00 Estimated % of defects to be settled in 2016 20% Estimated amount of Defects settlement in 2015 (B) $ 60,000.00 Provision for warranty under current liability (A+B) $ 300,000.00 Provision for warranty under Noncurrent Liability $ 240,000.00 Discounting Factor 0.88999644 Provision for warranty under Noncurrent Liability $ 213,599.15 Table 2: Calculation of Provision (Source: created by Author) Statement Showing closing balance of provision as on 30/06/2016 Particulars Current Liability Non-Current Liability Opening provision $ 540,000.00 $ 320,398.72 Add: Provision during the current year $ 300,000.00 $ 213,599.15 Less: Warranty Provision paid $ (300,000.00) $ (100,000.00) Closing Balance of provision $ 540,000.00 $ 433,997.86 Table 3: Closing balance of provision (Source: Created by Author) Statement Showing Calculation of Depreciation Particulars Amount Carrying amount of Machine to be replaced on 30/06/2014 $ 280,000.00 revised estimated life of the asset 2 Revised Depreciation Amount (A) $ 140,000.00 carrying Amount of Machine with normal useful life $ 280,000.00 Estimated useful life 10 Depreciation per year (B) $ 28,000.00 Depreciation Amount for 2015 and 2016 (A+B) $ 168,000.00 Table 4: revised depreciation amount (Source: created by Author) References Andon, P., Baxter, J. 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Debt financing and voluntary adoption of the international financial reporting standards: Evidence from Korean unlisted firms.Emerging Markets Finance and Trade,52(1), 39-51. Kraft, P. (2014). Rating agency adjustments to GAAP financial statements and their effect on ratings and credit spreads.The Accounting Review,90(2), 641-674. Mirza, A., Nandakumar, A. (2013). Wiley international trends in financial reporting under IFRS including comparisons with US GAAP, Chinese GAAP, and India accounting standards. Nobes, C. (2014).International Classification of Financial Reporting 3e. Routledge. Oliver, K. (2014). Balance Sheet Presentation under IAS 1 and US GAAP. Patrcio, M.S.F., 2014.Donations of non-financial resources: The motivation and consequences of measuring and accounting for it(Doctoral dissertation). Scholten, R., Lambooy, T., Renes, R. Bartels, W., 2017. Accounting for Future Generations. Does the IFRS Framework Sufficiently Encourage Energy Companies to Reflect on Climate Change in the Valuation of Their Production Assets, Taking into Account the New Initiative of the Task Force on Climate-Related Financial Disclosures? An Exploratory Qualitative Comparative Case Study Approach. Seve, F., 2016. An examination of the impact of the changes to regulations affecting the scope for income classification shifting in Australia. Smieliauskas, W., Craig, R., Amernic, J. (2017). GAAP as Ineffective Legal Defense of Financial Reporting: Implications for Truthfulness, Auditability, and the IASB's Proposed 2015 Conceptual Framework. Williams, T.R. Bastian, A., 2016. Introduction to Concepts in Quality, Value, and Safety for Health Care.Quality and Safety in Radiation Oncology: Implementing Tools and Best Practices for Patients, Providers, and Payers.