Security Fraud and Manipulations Using Accounting Policies and Rules

Security Fraud and Manipulations Using Accounting Policies and Rules Dissertation example
Undergraduate
Dissertation
Finance & Accounting
Pages 40 (10040 words)
Download 0
The main aim of the thesis of this paper is to not only evaluate security fraud but also manipulation of accounting policies and rules used in financial reporting with particular allusion to the big corporate affected by auditors manipulations…

Introduction

More importantly, a wide variety of security fraud and malpractice of accounting policies are employed in the preparation of the financial report accounting of Enron, Madoff scheme, and WorldCom Corporation that lead into their bankruptcy. Nonetheless, the Securities Exchange Commission (SEC) seeks to deter fraud in financial statements of companies through laws, internal control systems and regulations. More significantly, the commission continuously seeks to detect misstatements, failure of disclosure of accurate financial information in records, documentation, accounting policies and procedures in changes of equity and explanatory notes accompanying every financial period statement of companies. In addition, this paper will look at the adherence to the International Financial Reporting Standards (IFRS) as stipulated by the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) remains committed towards global standards. Finally, the paper looks at various fraudulent situations that could be avoided through adherence to stipulated accounting policies and procedures by management, accountants and auditors as they put shareholders interest first. ...
Download paper
Not exactly what you need?

Related papers

Human Resource Accounting Policies and Practices: A Case Study of the Nigerian Banking Sector
The increasing importance and evolving role of HR is due to the changing views and structure of post-modern organisation. Traditionally, the business owner used to perceive the employees as a cost to business; whereas, now, they believe that costs to employees are very significant investment. In recent times, a number of theories and concepts have been developed for the betterment of human…
Fraud
Leary on the other hand had a shy personality. These two future business associates met at an organization referred to as CCC Computer Corp, where Leary was the manager at the technical support and assembling center and Kearns was a noteworthy and store computer. These two were very proficient salespeople who often delivered more sales that the company would realistically be able to sale. The two…
Accounting Fraud, Earnings Manipulation, and Creative Accounting
financial reporting process, and also put into doubt the role played by management, regulators, auditors, and analysts in preventing accounting fraud. Businesses employ deceptive or fraudulent accounting practices such as creative accounting to match the expectations. Accounting fraud refers to an intentional and inappropriate falsification of a company’s accounting records such as the stating…
Employee Fraud
This will ensure that they are correct and functioning in the right manner. 1. The auditors should help the management device means of preventing the fraud. The management should also put an internal control system that will help them prevent and curtail the fraud. This can be achieved by encouraging employees’ rotation in their duties. This will help remove the employee colluding with the…
Corporation Fraud
MF Global and its parent holding company (MFGH) were forced by federal regulators to file for Chapter 11 bankruptcy protections on October 31, 2011 (Bunge 3). Within the span of less than a week one of Wall Street’s pinnacle trading firms was reduced to heap of broken promises and over one billion dollars in missing investor and client assets. After the MF Global bankruptcy was filed,…
Earnings Management: The Continuum from Legitimacy to Fraud
In understanding this phenomenon of earnings management, it’s important to have a wide overview of the legitimate managerial activities carried out in an entity and the fraudulent reporting that is spearheaded by accountants and the entire management of an organization. The management of earnings leans on the credibility of financial information which is adversely affected by legal or illegal…
article review: Accounting Fraud at worldcom
As the E/R ratio imbalance kept increasing, the managers sought to cook the books so as to prevent investors and government from getting the consistent results. 1. Case Summary WorldCom, the Nation’s second largest long distance Telecommunications Company filed for bankruptcy protection on July 21st 2002 revealing that it had overstated earnings in 2001 and the first quarter of 2002 by more than…