In simple terms, accounting profit can be described as a situation where the total revenue of the business is more than its total explicit cost, the balance remaining in the accounting profit, whereas if the total explicit cost is more than the total revenues, it will be termed as an accounting loss. If product A is available for $7 in the market, the manufacturer has a disincentive to continue producing. Economic profit on the other hand defines as the profit levels that the business earns over and above the expenses that are generally termed as opportunity costs. It is the net of income earned after deducting all dollar costs from total revenue. Companies derive net profits by using various generally accepted accounting principles as per applicability. The calculation of accounting profit is as follows: Net Income = Revenue - COGS - Operating Costs - Non-Operating Costs - Corporate Taxes For example, Gordon owns a candy shop, and he analyzes his monthly financial statements. After enrolling in a program, you may request a withdrawal with refund (minus a $100 nonrefundable enrollment fee) up until 24 hours after the start of your program. Economic profit calculations consider opportunity costs. No, all of our programs are 100 percent online, and available to participants regardless of their location. The company wants to know the accounting profits of the year 2019-2020. ; To convert time to a decimal number that represents the time in the internal Excel system, apply the General format to the cell. Applicable GAAP prescribes various rules and regulations that need to be adhered to while accounting and recording any transactions. It shows whether a business is profitable or not as a profitable business attracts investors and stakeholders in the business. The applications vary slightly from program to program, but all ask for some personal background information. Tax rules are completely different to Accounting rules. Accounting profit is, therefore, the amount remaining after all explicitbusiness costs have been deducted from the revenue. In finance, the annual turnover is commonly referred to by mutual funds and exchange-traded funds (ETF), measuring its annual investment holdings that determine the health and activity levels of the fund. Access your courses and engage with your peers. Harvard Business School Online's Business Insights Blog provides the career insights you need to achieve your goals and gain confidence in your business skills. If you are new to HBS Online, you will be required to set up an account before starting an application for the program of your choice. According to the GAAP (Generally Accepted Accounting Principles), it is the number that you obtain once you have deducted all your expenses or costs from your sales revenue. d. marginal costs. It is the top line item of the financial statement and is the total amount of income earned by the sale of goods/ services. If you want to learn more about the difference between the two kinds of profits, this blog might well be the perfect one for you. Example of Accounting Profit Example #1. Accounting profit can be referred to as the revenue obtained post-meeting all economic costs, and Economic profit is obtained when revenue exceeds the opportunity cost. The Evolution of the Gnosis i-learning Methodology. All applicants must be at least 18 years of age, proficient in English, and committed to learning and engaging with fellow participants throughout the program. Comment: Based on profit trend analysis, we can interpret that investing in Orange Inc. is riskier as its Accounting profit trend is not rising at a constant rate. Common sources of revenue include the sale of goods and services, receipt of dividends or interest, and rental income, to name a few. Our world has a finite amount of resources such as capital, labor, and land. Related: Financial Terminology: 20 Financial Terms to Know. Economic profit is equal to total revenue minus a. variable costs. d. output - input. c. the sum of implicit and explicit costs. We confirm enrollment eligibility within one week of your application. Yet, it isnt uncommon for those new to finance and accounting to occasionally confuse the two terms. Your business's net profit is known as a net loss if the number is . The economic profit, on the other hand, is determined according to established economic principles.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'accountingsmarts_com-large-mobile-banner-1','ezslot_9',144,'0','0'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-large-mobile-banner-1-0'); Since the economic profit is just a subtype of accounting profit with an additional subtraction (implicit costs), it can never be higher than the accounting profit. However, if there is no economic profit, it shows that the firm is earning no more or less than it would if it had invested in the next best option. ALL RIGHTS RESERVED. We can interpret that company has operated more efficiently during 2019-20 as with just a 25% increase in revenue; it has increased net profits by 33.33%. A companys accounting profit is also referred to as its net income. If the manufacturer decides to produce the product, they can obtain a profit of $10 ($20-$10). However, economic profits also take into account the opportunity cost. The shoe seller knows that if he stopped selling shoes and put up the shop for rent, they could generate $1,000 a month. For example, if you invest $5,000 in a new business venture that earns 10% per year but could've earned 15% per year if you'd . This is a guide to Accounting Profit. In short, all costs that must be paid are paid, and there is neither profit . "even". Accounting profit is equal to total revenue minus a. implicit costs. This post was updated on April 19, 2022. Cash flow refers to the net balance of cash moving into and out of a business at a specific point in time. Owing to this scarcity, it is important that we use every resource in the best possible manner. Hence, economic profits are determined based on economic and not accounting principles. the income tax for the period which is usually one year) in a company's income statement relates to the accounting profit before tax and why this is normally different to the applicable tax rates? For the shareholders, the accounting profit is regarded of the utmost importance as it presents a true picture of financial performance and generally, investors are not that much learned to compute economic profits by themselves. Economic profit= revenue-(explicit costs + implicit costs). c. (price x quantity) - total cost. When this calculation results in a negative number, its typically referred to as a loss, because the company spent more money operating than it was able to recoup from those operations. Let us assume that a shoe seller has monthly sales revenue of $15,000. We accept payments via credit card, wire transfer, Western Union, and (when available) bank loan. The economic profit. Whether a company is growing or not. The accounting profit is generally larger than the economic profit as economic profit is determined using multiple assumptions along with the re-use of multiple categories of income and expenses. The document shows different areas where a company used or received cash and reconciles the beginning and ending cash balances. It is a more useful measure as compared to cash profit as accounting profits can be manipulated legally in favour of business. In this case, the investor gains a profit of $5, thereby justifying his decision to invest in stock A. The business if has accounting profit to be below implicit costs then the business tends to earn a negative economic profit. It considers or includes the accounting profit and certain expenses, and . It is the top line item of the financial statement and is the total amount of income earned by the sale of goods/ services. Prepare a contribution margin income statement if DeLuca, Inc., wants to make a profit of $20,000. To calculate net profit, you must know your company's gross profit. c. explicit costs. Investors and business owners are often in search of a single metric for understanding the health of a company. Explore our online finance and accounting courses and discover how you can unlock critical insights into your organizations performance and potential. Profit vs Cash Flows Under Accrual Accounting, profit or loss is rarely ever equal to net operating cash flow if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[336,280],'accountingsmarts_com-large-leaderboard-2','ezslot_4',115,'0','0'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-large-leaderboard-2-0');Opportunity cost is a crucial concept in the finance and business world. Accounting profits is based on the accrual concept, i.e., profits which have accrued during a particular accounting period. For example, if revenues are considered for the period 1st April 2016 to 31st March 2017, expenses pertains to the same period must be recorded while . b. variable costs. Conversely, the same product can be purchased from the market at $20. For an economist, there is a close relation between accounting and economic profits. Unlike accounting profits, economic profits also make use of implicit costs, which are the costs of a business resources. Economic profit, meanwhile, shows the degree of efficiency with which the company is using its resources to generate revenue. Year Parent Webinar Grades 9-11 Drive Right 11th Edition Textbook Drive Right Student Edition Eleventh Edition C2010 book. On the other hand, the total revenue can also be calculated as the product of the average price per unit and the number the units sold during a year. Accounting profit is equal to a. total revenue minus the explicit cost of producing goods and services. Here we also discuss the definition and how does accounting profit work along with advantages and disadvantages. You may also have a look at the following articles to learn more . The accounting profit is determined by deducting expenses arising from assets being leased, depreciation or non-cash expense, provisions for the . Taxable profit is derived after considering the tax liabilities. This cost is the cost of choosing one option over the other. For example, in terms of production, opportunity cost can help determine if a product is worth producing. Net profit is your business's revenue after subtracting all operating, interest, and tax expenses, in addition to deducting your COGS. 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On the other hand, economic profit provides a macroeconomic view. Reducing the resources dedicated to serving a customer b. It is the mirror for the performance and financial positions of the business. Learn how to formulate a successful business strategy. The figure includes all revenue the company generates and deducts all expenses to arrive at the bottom line. Economic profit is equal to total revenue minus a. implicit costs. Gain new insights and knowledge from leading faculty and industry experts. of Equity Shares, 10 = Net Profit available to Eq. Economic profit vs. accounting profit. Economic profits, on the other hand, are useful for determining the optimal utilization of firm resources. The accountant shall consider accounting profit as they will consider production costs and their impact on profitability. The shoe sellers economic profit is, therefore: Economic profit is, therefore, the sales revenue minus explicit and implicit costs.. See what our clients say about i-learning! Our platform features short, highly produced videos of HBS faculty and guest business experts, interactive graphs and exercises, cold calls to keep you engaged, and opportunities to contribute to a vibrant online community. Accounting profits are used for various accounting ratios calculation, trend analysis, preparing and presenting comparative financial statements (both inter and intra companies), etc. b. implicit costs. Details oF the expenses and revenue are given below (Figures in million dollars)-. 2,171 Part Time jobs available in Tuscarawas County, OH on Indeed. The shoe sellers profit is, therefore: Accounting profit is, therefore, the amount remaining after all explicitbusiness costs have been deducted from the revenue.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'accountingsmarts_com-box-4','ezslot_2',105,'0','0'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-box-4-0'); A companys explicit costs are simply all the costs that the company has endured during a period. All other expenses are subtracted from the gross profits to derive the Accounting profit.. b. individuals in a society are self-sufficient. For instance, in case of a positive economic profit, other firms would want to enter the market. Read on to know more about accounting vs. economic profit. read more is . 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Accounting profit = total monetary revenue- total costs. The accounting profit is generally larger than the economic profit as economic profit is determined using multiple assumptions along with the re-use of multiple categories of income and expenses. Its what's left when the books are balanced and expenses are subtracted from proceeds. These can be done easily in the presentation of financial statements. c. variable costs. if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[580,400],'accountingsmarts_com-medrectangle-3','ezslot_6',103,'0','0'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-medrectangle-3-0');A companys accounting profit is also referred to as its net income. Cash flow and profit aren't the same things, and it's critical to understand the difference between them to make key decisions regarding a business's performance and financial health. For instance, let us suppose that you have $25,000. ACCT1101 Exam Revision Notes Topic 6 - The Statement of Cash Flows. 55, and you want to change it to a percent. Net profits are used in financial statement analysis, like calculating accounting ratios, undergoing trend analysis, etc. Accounting profit, also referred to as financial profit or bookkeeping profit, is a company's net income, or total revenue minus explicit costs. Search through our database of FREE business English resources on a variety of office and writing skills. AccountingSmarts.com participates in the Amazon Services LLC Associates Program, which is an affiliate advertising program created to provide a means for websites like ours to earn commission by advertising and linking to Amazon. Accounting profit is the profit generated by the organisation after deducting all relevant costs incurred or accrued during that accounting period from the total revenue. The shoe sellers total monthly costs are $12,000. Total revenue equals a. price x quantity. This is a guide to Accounting Profit vs Economic Profit. Comparing and analysing net profits of two different accounting periods will help a stakeholder to understand and determine the companys growth trend. Accounting profit is the reflection of a companys profitability. Accounting profit is simply dollars in minus dollars out, or total revenue minus total explicit cost. His experience includes working as a CPA/Auditor international accounting firms. 3c Select the correct answer(s) from the given options: 1. b. price/quantity. Economic profit can deliver approximation as to which desired direction the business has headed to. We have taken into account the opinions of several accountants, economics, and business owners, to help you distinguish between accounting and economic profits. We also allow you to split your payment across 2 separate credit card transactions or send a payment link email to another person on your behalf. d. explicit costs. Negative cash flow indicates a company has more money moving out of it than into it. The business generally has access to the alternatives at hand basis which selection of any one of them results in commitment of organizational resources and the business cannot back track on their decisions as they would had exercised their choice or option of selecting the best alternative or course of action from the available choices at hand. Economic profit <= Accounting profit.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'accountingsmarts_com-large-mobile-banner-2','ezslot_10',119,'0','0'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-large-mobile-banner-2-0');if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'accountingsmarts_com-large-mobile-banner-2','ezslot_11',119,'0','1'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-large-mobile-banner-2-0_1');.large-mobile-banner-2-multi-119{border:none!important;display:block!important;float:none!important;line-height:0;margin-bottom:15px!important;margin-left:0!important;margin-right:0!important;margin-top:15px!important;max-width:100%!important;min-height:250px;min-width:250px;padding:0;text-align:center!important}. This calculation also helps in understanding the book value of the business. Take your career to the next level with this specialization. Lets try to understand this with an example. Read PDF Api 1104 20th Edition ErrataModule 0 Study Guide and Hints API 1104 Pipeline Welder Test Butt Weld Down Hill CWI Part C / API 1104 11. Net profits can be used in the calculation of various ratios like-. Accounting profit for a company is simply its net profit, that is, the expenses deducted from the revenue. Economic profit, on the other hand, is equal to total revenue minus total economic cost, which is the sum of explicit and implicit costs. Implicit costs are only included in economic costs this extra category is why we expect economic cost to exceed accounting costs. The formula for accounting profit can be derived by using the following steps: Step 1: Firstly, determine the total revenue of the company which is usually easily available as the first line item of the income statement. The above costs are all examples of explicit costs. New Features . It allows companies to determine their financial status. The economic profit on the other hand is determined by taking the difference of revenues generated by the business and the sum of implicit and explicit costs generated by the business. In addition, it also depends on the timespan being considered. Entities A and B are two unrelated entities which operate in the same industry and in the same tax jurisdiction (i.e. Economic ProfitThe accounting profit is a metric that is of importance to the accountant.Economic profit is a metric that is of importance to the economist.The accounting profit is defined in terms of net income that the business generates or earns through the course of the accounting or financial year.The economic profit is defined as the surplus that remains with the business after total opportunity costs are deducted from the revenues earned.The accounting profit is regarded as relevant in terms of accounts and financial perspective.The economic profits are derived from certain assumptions and estimations and generally cannot be regarded as relevant as the metric is just a precision.The accounting profits reflect the true profitability of the business in accounting terms.Economic profit indicates the efficiency level of the business in terms of how they utilize their resources to drive maximum value generation.The accounting profit is determined as the difference in total sales or revenues generated by the business with the explicit costs.The economic profit is determined as the difference between the total revenue or sales generated by the business and the sum of explicit costs and implicit costs. However, what if product A is available in the market for $10? This site also chooses to participate in other affiliate programs such as ShareASale, CommissionJunction, ClickBank and more, and is compensated for referring our audience to these companies. A business would tend to exist only when the business is to generate economic profit that is more than accounting profit and it indicates the profit earnings capability of the business even in the near future as well as how they have performed in the past. the sum of implicit and explicit costs. He has worked as a controller and as a COO for small to medium sized companies. Gross profit is your company's profit before subtracting expenses. Have you ever wondered how the current tax expense (i.e. Economic profit is almost identical to accounting profit the only difference being that economic profit also considers opportunity cost. All programs require the completion of a brief application. It is the bookkeeping profit, and it is higher than economic profit. Accounting Profit = Revenue - Explicit Cost Total revenue - Total amount of income generated by an organization recognized in books of accounts as per GAAP principles. Email Is Required The economic profit is defined as the profit that the business derives over and above the opportunity costs. This measure serves as an important indicator of the financial and operating capacity of any business entity. The break-even point (BEP) in economics, businessand specifically cost accountingis the point at which total cost and total revenue are equal, i.e. Why is this not a straightforward percentage of the profit figure? A firms economic profit is highly dependent on the level of market competition. Accounting profit is used to assess a company's performance and compare its financial position to competitors. You can apply for and enroll in programs here. It is used in various accounting ratio calculations and trend analysis. In other words, a companys economic profit will always be equal to or less than its accounting profit. Accounting profits are also known as book profits and are limited to a particular period like a quarter or a year. Its annual turnover Annual Turnover Annual turnover is the yearly sales or yearly receipts of a profession. In other words, your net income is the money that's left after subtracting your explicit costs from your total revenue. Dropping a customer with a 2.5% customer profit margin when the average customer profit margin is 6% c. Persuading a customer to accept an inexpensive activity rather than an expensive . Invalid Email Address, Notify me of followup comments via e-mail. For entrepreneurs and business owners, understanding the relationship between the terms can inform important business decisions, including the best way to pursue growth. Profit is typically defined as the balance that remains when all of a businesss operating expenses are subtracted from its revenues. In all cases, net Program Fees must be paid in full (in US Dollars) to complete registration. 351 Non Profit jobs available in Tuscarawas County . Some candidates may qualify for scholarships or financial aid, which will be credited against the Program Fee once eligibility is determined. It is an indicator that compares across industry and business. Taxable profit vs. accounting profit explaining financial statements. After submitting your application, you should receive an email confirmation from HBS Online. Accounting profits may have extraordinary and exceptional transactions included. This can be done by comparing the economic benefits of production against the economic benefits of the other options (such as investing the money elsewhere). Oops! It only takes into account the costs and revenue for a single period, such as a year or a quarter. shareholders)/ No. Just like accounting profit, economic profit also deducts a companys explicit costs from its sales revenue. b. explicit costs. Cash flow is typically reported in the cash flow statement, a financial document designed to provide a detailed analysis of what happened to a businesss cash during a specified period of time. In effect, it shows the amount of. On the other hand, economic profits are more complex and nuanced. It can also determine which product should be produced. Explicit costs are the expenses of the business that can be clearly identified and measured like labour cost, wages, rent material cost, etc. Accounting profit can be defined as the net income earned during a particular accounting period which is reported on the financial statements of the company based on the principles of generally accepted accounting principles, derived by deducting all explicit revenue expenses and cost incurred from the total revenue accrued during that particular accounting period. Did you know that accounting profit differs from economic profit? You find that when you gather and collect data, it may have unwanted content that is not essential in, If you're seeing this message, it means we're having trouble loading external resources on our website.If you're behind a web filter, please make sure that the domains *.kastatic.o. Calculate economic profit Economic profit = Total revenues - explicit cost - implicit cost = $500,000 - $200,000 - $100,000 = $200,000 Top 1% Accounting experts shareholders/ 1,00,000, Net Profits for Eq. Start Your Free Investment Banking Course, Download Corporate Valuation, Investment Banking, Accounting, CFA Calculator & others. Therefore, an investor should invest in Purple Inc. instead of orange Inc. Accounting profit analysis requires dissecting the profit figures of a business in order to determine the real extent of its profitability. There is no net loss or gain, and one has "broken even", though opportunity costs have been paid and capital has received the risk-adjusted, expected return. Unlike economic profit, accounting profit is reported on a company's income statement. Read on to know more about accounting vs. economic profit. Learn how completing courses can boost your resume and move your career forward. Accounting profit, generally, has a relatively limited scope. Accounting profit is the most closely monitored value in finance. Let us understand the analysis of accounting profit by way of an example-, Apple Inc. has a financial statement for the year 2019-20. The concept of accounting profit differs from taxable profit, in the sense that the latter is the amount which is taxable as per the provisions of the income tax act.It is calculated by taking into account accounting profit and then adding the non-allowable expenses less allowable expenses and the incomes credited in Profit and Loss account. Therefore:if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[580,400],'accountingsmarts_com-leader-2','ezslot_12',117,'0','0'])};__ez_fad_position('div-gpt-ad-accountingsmarts_com-leader-2-0'); Accounting profit = revenue- explicit costs. His monthly revenue is $5,000, where 500 packs of candy were sold for $10 each. Accounting profit equals to A. explicit costs minus implicit costs B. economic profit minus implicit costs C. economic profit minus explicit costs and implicit costs D. economic profit minus explicit costs E. economic profit plus implicit costs Expert Answer 100% (2 ratings) Previous question Next question Learn for free about math, art, computer programming, economics, physics, chemistry, biology, medicine, finance, history, and more. Accounting profit also referred to as income before taxes is reported on a company's income statement following the prevailing accounting standards. It is only book profit and varies from cash profit which means it is not a real profit and does not include the real cash flow. Accounting and economic cost both consider explicit costs (things like wages, materials, and rent). The accounting profit can be described as the profit that is earned and reported on the income statement. Now, you can either place this money into a bank to earn interest, or you can use it to expand your business. Your submission has been received! Corporate Valuation, Investment Banking, Accounting, CFA Calculator & others, 3 Statement Model Creation, Revenue Forecasting, Supporting Schedule Building, & others, This website or its third-party tools use cookies, which are necessary to its functioning and required to achieve the purposes illustrated in the cookie policy. Here are the main differences between accounting profit and economic profit: 1. As such, accounting profits help assess a companys financial performance. Although net profits also posses certain drawbacks but still its most widely used financial statement analysis tool. As a. 1. By using every resource optimally, we can maximize our economic profits. Yet, it isn't uncommon for those new to finance and accounting to occasionally confuse the two terms. Taxable income is the portion of a company's income that is subject to income taxes following the tax laws of the jurisdiction within which a company operates. Accounting profit is also utilized for taxation purposes. While collecting a monthly installment on a customer purchase financed 18 months ago shows cash flowing into the business. Looking for FINANCIAL ACCOUNTING, 11TH EDITION. The accounting profit is determined by deducting expenses arising from assets being leased, depreciation or non-cash expense, provisions for the development costs whereas the economic profit may comprise of opportunity costs, salvage or residual values, charges on inflation, taxation rates, and interest levied or applied on cashflows. Now, imagine that the price of stock A went up to $15, but the price of stock B remained unchanged. This profit figure is mentioned in the bottom line of the financial statement and is generally used to evaluate the business performance. Accounting profit, also referred to as bookkeeping profit or financial profit, is net income earned after subtracting all dollar costs from total revenue. If tax is say 30% then the tax liability for that year should be 30% of the profit right? It allows us to understand the logic behind our economic decisions, with regards to the available alternatives. Profit and cash flow are just two of the dozens of financial terms, metrics, and ratios that you should be fluent in to make informed business decisions. We offer self-paced programs (with weekly deadlines) on the HBS Online course platform. So in the diagram above we see that we compute the tax liability, and only once we know this Tax Expense we can then go to the Financial . Email (required) Accounting profit is the net income that a company generates, found at the bottom of its income statement. In accountancy, depreciation is a term that refers to two aspects of the same concept: first, the actual decrease of fair value of an asset, such as the decrease in value of factory equipment each year as it is used and wear, and second, the allocation in accounting statements of the original cost of the assets to periods in which the assets are used (depreciation with the matching principle). Interpreting a Statement of Cash Flows A healthy business should generate both profit and consistent net cash inflows from operating activities Consecutive periods of net cash outflows from operating may indicate poor performance or poor cash management Having negative cash flows is not bad o A business in the growth phase may be expected to . It is also known as bookkeeping profits. Cash flow and profit are essential financial metrics in business. Below are the top 5 differences between Accounting Profit vs Economic Profit: Following are the key differences between Accounting Profit vs Economic Profit: Let us look at the comparison table of Accounting Profit vs Economic Profit. Correct option is B) Matching Concept of accounting defines that business has to record all such corresponding cost which are associated with the generation of revenue for that particular period. c. fixed costs are large relative to variable costs. If splitting your payment into 2 transactions, a minimum payment of $350 is required for the first transaction. Start Your Free Investment Banking Course, Download Corporate Valuation, Investment Banking, Accounting, CFA Calculator & others. 26. The accounting profit is determined by the GAAP. If your employer has contracted with HBS Online for participation in a program, or if you elect to enroll in the undergraduate credit option of the Credential of Readiness (CORe) program, note that policies for these options may differ. The list goes on. If you do not receive this email, please check your junk email folders and double-check your account to make sure the application was successfully submitted. d. marginal costs. Please refer to the Payment & Financial Aid page for further information. Generally, net income or accounting profit is reported on a quarterly and yearly (annual) basis. This indicates improvement and growth in the companys operating efficiency. For investors, understanding the difference between profit and cash flow makes it easier to know whether a profitable company is a good, long-term investment based on its ability to remain solvent in times of economic crisis. Cash flow and profit aren't the same things, and its critical to understand the difference between them to make key decisions regarding a businesss performance and financial health. Charles has spent 25 plus years in the world of accounting and business. The accounting profit is determined as the difference of total sales generated by the business and the costs incurred by the business that could be accounted explicitly. 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