March 21, 2018

Colin Garvie, Teaching Fellow

About Colin Garvie, Teaching Fellow

Teaching Fellow and Chartered Accountant, delivers Accounting to on-campus students in Edinburgh, Malaysia and Dubai.

Time for transparency

Carillion plc is a British multinational facilities management and construction services company, employing around 43,000 people worldwide (20,000 in the UK) with annual revenues of around £5,000m. Last month, as news of the collapse of Carillion filtered through, shareholders in Carillion plc must have been wondering just where their investment went wrong. To find out, […]

How do you account for a new idea in external financial statements? (part 3)

In the first two blogs in this series, using the example of an entrepreneur’s expenditure on building a prototype and applying for a patent, I discussed firstly the issue of distinguishing capital from revenue expenditure and secondly whether, if it was capital expenditure, it was tangible or intangible and how to include the expenditure in […]

How do you account for a new idea in external financial statements (part 2)

Tangible or intangible asset – does it matter? In the first blog in this series, I discussed the issue of distinguishing capital from revenue expenditure in a set of accounts when accounting for an entrepreneur’s idea. Now I am going into a bit more detail at what the entrepreneur has actually spent his money on […]

How do you account for a new idea in external financial statements? (part 1)

The answer to this is perhaps not as easy as one might imagine… Entrepreneurship can be described as a process by which an individual (or a team): identifies a business opportunity acquires and deploys the necessary resources to exploit it manages the associated risks with the ultimate aim of making a profit. If, for example, […]

Is there now an overwhelming case for cash accounting?

Cash accounting would make accounts simpler to understand. Companies could only account for revenue when they receive the cash and expenses only once they have paid for them. At a stroke, gone from a set of accounts would be subjective items such as depreciation, amortisation, difficult-to-comprehend revenue recognition, accruals, provisions and so on. With recent […]

The potential intangible asset valuation issue with the proposed Co-op Bank sale

The Co-op Bank is inviting bids for all of its issued ordinary share capital. This well-known, long-established and familiar high street bank (owned 20/80 per cent by the Co-operative Group and institutional investors respectively) is promoting itself for sale. Given its difficulties over the last few years, this might prove to be a tricky disposal. […]

Brexit: businesses face a series of issues whilst driving blind

The much-talked-about Brexit is certain to impact business life in the UK. Whether you were a “leaver” who voted to exit the European Union or a “remainer” who voted to stay and preserve the status quo no longer matters as the UK Government seeks to implement Article 50 to start the process in the next […]

Defined-benefit pension fund deficits: Who is responsible and who pays for them?

Following the recent collapse of the UK department store British Home Stores (BHS), this topic is again in the media spotlight. Under these schemes, also known as ‘final salary pension schemes’, employee members are entitled to particular benefit levels, predetermined by a formula linking the employee’s salary history, age, length of service and final salary […]