Requirements- at least 3 FULL pages of writing (double spaced)- NO titles, paragraph titles,...

Question

Requirements- at least 3 FULL pages of writing (double spaced)- NO titles, paragraph titles, pictures, graphs, bullets, etc!. No extra spaces between paragraphs and written in third person (you can NOT use the word 'I'). Font is Times New Roman size 12 with 1" margins all around, and centered to the right. Do NOT use 'it' or 'it's' as a noun, I prefer you not to use the word 'it' at all. Include an introduction and conclusion that does NOT contain facts or quotes. The assignment must use quotes that are in "..." within the paper (and contain the incite reference- (authors last name of the reference, year in parentheses)....ex (Smith, XXXXXXXXXXIf a quote is not used, please make sure I know what reference you got the information from (with it being cited in the paper). There MUST be a separate page that lists the used resources, aka websites (Nothing without a link) (minimum of 3 individual resources (no books without links))- MUST HAVE WEBSITE to LINKS and NO Wikipedia references. This assignment will be run through a similarity check, which must be lower than 30%. Please please please let me know if you have any questions. Assignment- Managers have access to inside information and they could sometimes strategically report information in their best interests. In your view, are managers responsible for ensuring fair and accurate financial reporting? If a manager of a publicly traded company recognizes revenues in an inappropriate or fraudulent manner, what penalties they face by the monitoring and enforcement mechanisms in place to restrict such activity? Support your answer using two examples of real life cases that happened here in the US or abroad. How do U.S. rules and regulations on corporate accounting fraud compare to that of other industrialized nations?

Robert · Accepted Answer

1 
Managers of a company have access to all internal information, and they are representing 
various information to the public. Providing accurate and fair information is the manager’s 
responsibility to the users of the financial statement to indicate the real financial performance 
and position of the company to all the stakeholders. All the external stakeholders of the company 
are relying on the financial statement prepared and published by the company with an underlying 
trust over the management of the company. There are various cases reported related to corporate 
frauds that are taking place across the globe, and various countries government are taking 
initiatives to reduce them.  
Managers are holding greater responsibility in disclosing the actual performance of the 
company, hiding them from the stakeholders is tampering the authenticity of the report. Cases 
related to accounting scandals are highly prevalent in many countries across the globe. There are 
some loopholes present in the regulatory system that is efficiently used by the management of 
the company in committing accounting fraud. There was a recent case in which the US Securities 
Exchange Commission (SEC) charged Lime Energy Corporation a fine of $1 million towards an 
accounting fraud.  
There was an improper recognition of revenue of $20 million by Lime Co between 2010 
and 2012 were top executives of the company were involved in the fraud (SEC, 2016). The 
company signed a new contract during 2010 that provided a provision for the company to 
recognize revenue from signing the new contract and during 2011 and 2012 the executives of the 
company were aggressive in recognizing the revenue even before the instance of their occurrence 
to boost the financial performance of the company.

Requirements - at least 3 FULL pages of writing (double spaced)- NO titles, paragraph titles, pictures, graphs, bullets, etc!. No extra spaces between paragraphs and written in third person (you can...

Solution

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment