Effect of Unethical Behavior Article Analysis Chris May 6, 2013 Acc 291 Judith Vargas University of Phoenix I am going to explain in this paper some situations that might lead to unethical accounting and how we can identify some of the unethical practices in accounting. In an article that I read it talked about how when the economy is down that a lot of companies enforce ethics and make their ethical policies even better, but at the same time the article also states that when the economy
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ENRON: The Idiocy and the Irony Introduction Red flags were blinding as Enron learned about possible corruption with Enron Oil Trading in Valhalla, New York. After the merger between HNG and InterNorth, the Valhalla office, originally established by InterNorth seemed all but forgotten until quarterly and annual reports were due. Supervisors Tom Harding and Steve Sulentic were rarely on-site, preferring the comfort of offices in Houston. Louis Borget who established and operated the trading
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author will be examining the detailed changes issued by the New York Stock Exchange and modified by the 406 of Sarbanes-Oxley, which deals with addressing unethical conduct and their reasoning for these methods. The disaster, which occurred at Enron in 2003 where the company’s officials made terrible decisions to waive provisions within their code of ethics, resulted in one of their financial leaders receiving under the table gifts through the companies form of transactions. This action along
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recordkeeping, as well as finding a balance in order to provide assurance and accurate recordkeeping for the business, for the investors and anyone else involved in the business. | Introduction In the wake of the US corporate scandals, such as Enron and Lehman Brothers, the integrity of accounting standards were under review. Shareholders’ confidence in financial statements and public accounting firms was shaken, due to the fact that the United States had always used rules-based accounting standards
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HealthSouth was one of the largest provider of outpatient surgeries in the United States. Not only the largest provider of outpatient surgeries in the United States but also the largest diagnostic and rehabilitative health care service in the United States. This was until March 19, 2003, when the Securities and Exchange Commission charged the company and Richard Scrushy with fraudulent account reporting of company finances. Scrushy and other executives from the finance and accounting departments
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What are the main reporting options available to government colleges and universities? Do they have to prepare fund statements? Explain. Universities are permitted to prepare financial statements the same way corporations report special purpose entities. In other words they can report business type enterprises as SPI’s and not report the funds in fund statements. Public colleges and university must follow GASB pronouncements like other governmental institutions. They are allowed to follow the
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Sarbanes-Oxley Act Financial Management Miriacle K. Black Belhaven University Abstract In 2002 an Act by the name of Sarbanes-Oxley was implemented following the bankruptcy of Enron, an American energy, commodities, and Service Company that was based out of Houston, Texas. This paper will discuss and describe the Sarbanes-Oxley Act; also it will answer such questions as: Why was the Sarbanes-Oxley Act enacted? What was the impact of the Sarbanes-Oxley Act? Also, my opinion of whether or not I
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New Century was related to accounting issues ignores the reality of the global credit crisis. This was a business failure not an accounting issue." The claims in the case are narrower than those made earlier this decade against companies such as Enron Corp. and WorldCom Inc., which collapsed after their accounting frauds unraveled. In those cases, accounting issues were deeply embedded in the companies, while New Century collapsed largely because of losses on
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Business Research Ethics We are going to looking at the Enron Scandal to see how this company’s unethical behavior brought it to an end, to see who were the injured parties; to see how this company’s unethical behavior affected the company and society, and to see if the unethical behavior could have been avoided or resolved? According to the New York Times (2002), in early 2000, Enron, the natural gas pipeline company turned online phenomenon, held a daylong conference in Huston for Wall
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Reading Summary: Enron and Arthur Andersen The article described the rise and fall of the Enron Company during the period of time that managed by several executives. The deregulation of public utility industries gives Enron chance to make profit by trading energy as commodity in the open market. Thus, Enron ranked the seventh largest of the Fortune 500 at the year of 2000. However, for the purpose of rise company shares and control current risk of company, Enron deals agreements with internal
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