...within the industry provide high quality financial statements and always pay close attention to ethical concerns that may arise. Since ethics is such a major concern in the accounting industry, a rules based system is in place for enforcing ethical concerns. There are many regulating bodies that exist that enforce many highly detailed regulations that people within the industry must follow at all times. Throughout history there have been several major accounting scandals that have been followed by new regulation to ensure that these problems do not come up again. CLERP 9 and the Sarbanes-Oxley Act are just a couple of acts that have caused significant changes to the accounting world in recent times. This paper will look at some of the different issues that accountants face as well as some of the regulations that seek to end unethical behavior. Ethical Standards in Accounting Introduction The accounting industry is an always changing and constantly growing industry. Accounting plays a vital role in society and business and up until recently accounting was considered to have some of the highest standards for ethical and moral conduct in business. In recent years there have been many high profile business failures caused by the unethical behavior or accountants and accounting firms. Since some major companies, like Enron were involved in serious financial scandals, there has been a push to increase regulation and oversight over financial reporting. At one time accounting professionals...
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...The Uruguay Banking Crisis was a major banking crisis that hit Uruguay in July 2002. In this, a massive run on banks by depositors caused the government to freeze banking operations. The crisis was caused by a considerable contraction in Uruguay's economy and by over-dependence on neighboring Argentina, which experienced an economic meltdown itself in 2001. In total, approximately 33% of the country's deposits were taken out of financial system and five financial institutions were left insolvent. According to many sources, the banking crisis could have been avoided if Uruguayan authorities had properly regulated its banks. The Central Bank of Uruguay had trusted international banks to regulate themselves properly and was too lenient and slow in responding to the crisis 3.1 Interbank In banking, managing liquidity is one of the main responsibilities. The bank has to ensure that it can meet the obligation when they come due without incurring unacceptable losses. For a particular bank, clients‟ deposits are its primary liabilities (tend to be liquid and on the short term based), whereas reserves and loans are its primary assets (tend to be illiquid and on the long term based). Banks can generally maintain its reserve or liquidity requirement, as it is required by the supervisory. Nevertheless, lack of liquidity can be remedied by raising deposit rate and effectively marketing deposits products, selling loans and borrowing from central banks or from other banks in the interbank...
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...response of central banks and governments is likely to shape the future of our financial markets for many years to come. Their responses in regulating fields such as credit rating agencies, derivative markets and hedge funds will be crucial in relation to economic recovery. Over the course of our essay, we will also discuss areas such as international trade, geo-political issues and the role of monetary authorities in the future as the global economy aims to bounce back from the worst downturn since 1929. We will begin our assessment by first taking a look at the future regulation of financial markets. Regulation of Financial Markets Credit Rating Agencies Credit Rating Agencies (CRA) are responsible for assigning a credit rating to financial instruments such as bonds, companies, governments, etc. By current regulation any financial instrument must receive a credit rating from at least two CRAs. The problem with this is that there are only three companies which control roughly 85% of the market. These companies are Standard & Poors, Moodys and Fitch. The need for regulation in this market is now coming under increasing pressure. These companies first came under scrutiny after the collapse of Enron because the company still had a top AAA rating one week prior to filing for bankruptcy but subsequently the credit rating agencies were overshadowed by the failures of auditors and thus were never regulated more sternly. Another problem with these CRAs is that they offer “advisory...
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...Case 5 - Sunco, Financial Services Industry: Financial services Region: India Source: Based on a simplified version of a real consulting engagement (Some case interviewers give very little information in the beginning of the case and want you to probe for information. Some others however give a lot of information to see how you handle such enormous quantities of data. This case belongs to the latter category.) The year is 2000. The case we are about to discuss today is based on the financial services industry in India. Before I tell you about our client, I am going to give you some information about the industry structure. The industry has 2 sub-segments: Commercial Banks and NBFCs, which stands for Non Banking Finance Companies (the idea is to throw some complex sounding acronyms to see how the candidate handles it). Both these segments are highly regulated by the banking regulator but the key differences between the two segments are as follows: Commercial banks are typically national players whereas NBFCs are regional players the reason being that the former is a scale business NBFCs are not allowed by the banking regulator to offer an important product called checking accounts (or current accounts as it is called in certain countries) to their customers. Before I explain what that this product is tell me if you know the difference between an asset and a liability product for a bank is (candidates who are not familiar with the...
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...vad researcher tror ska eller borde inträffa vid särskilda omständigheter. Teorier som föreskriver (prescribe) istället för förklarar (describe) särskilda handlingar kallas för normativa teorier eftersom att dom baseras på normer som researchern som lägger fram teorierna har. T.ex. säger hur vi ska ta till oss och använda redovisningsmetoder. Kapitel 2 Theories of regulation Public interest theory There is the public interest theory of regulation which propose that regulation be introduces to protect the public. It assumes that the regulatory body (usually government) is a neutral arbiter of the public interest and does not let its own self-interest impact on its rule-making processes. “The regulator does its best to regulate so as to maximize social welfare. Consequently, regulation is thought of as a trade-off between the costs of regulation and its social benefits in the form of improved operations of markets”. Regulation put in place to benefit society as a whole rather than vested interests. Regulatory body considered to represent interests of the society in which it operates, rather than private interests of the regulators. Assumes that government is a neutral arbiter. Criticisms of public interest theory Critics question assumptions that economic markets operate inefficiently if unregulated. Question the assumption that regulation is virtually costless. Others question assumption of government neutrality; argue that government will only legislate and...
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...Seppo Honkapohja The 1980s financial liberalization in the Nordic countries Bank of Finland Research Discussion Papers 36 • 2012 Electronic copy available at: http://ssrn.com/abstract=2190375 The 1980s financial liberalization in the Nordic countries1 Bank of Finland Research Discussion Papers 36/2012 Seppo Honkapohja Monetary Policy and Research Department Abstract The financial liberalization in the four Nordic countries (Denmark, Finland, Norway, and Sweden) that took place mostly in the 1980s led to a major financial crisis in three of those countries. The crises in Finland, Norway, and Sweden are among the deepest financial crises in advanced market economies since World War II. Denmark experienced some banking problems but managed to avoid a systemic crisis. This paper reviews the process of liberalization and discusses the reasons why Finland, Norway, and Sweden drifted into financial and economic crises. Keywords: financial repression, credit rationing, capital account controls, financial deregulation JEL classification numbers: E42, F36, G28 I am grateful to Tapio Korhonen for extensive assistance. Adam Gulan, Hanna Putkuri, and Juhana Hukkinen helped in specific aspects of work. Jarmo Kontulainen and Juha Tarkka provided useful comments. The views expressed are my own and do not necessarily represent those of the Bank of Finland. 1 Electronic copy available at: http://ssrn.com/abstract=2190375 I Introduction The banking and economic...
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...RELATIONSHIP……………………………………………………………………………………………………..12 4. MANAGING FLEXIBILITY AND WORK-LIFE BALANCE: CULTURAL FACTORS AN HR MANAGER NEEDS INSIGHT INTO, IN ORDER TO UNDERSTAND THE FLEXIBILITY AND WORK-LIFE BALANCE TRADE-OFFS THAT ARE PREFERRED IN ANY PARTICULAR COUNTRY…………………………………………………………………………………………………………………..16 5. GIVEN THE IMPERATIVES OF MODERN CAPITALISM, IS IT LIKELY TO SEE CONVERGENCE ACROSS COUNTRIES OR AT LEAST CONVERGENCE ACROSS THE NATIONAL OPERATIONS OF MULTINATIONAL COMPANIES?................................................................................18 6. CONCLUSIONS…………………………………………………………………………….……………………………..19 7. REFERENCES………………………………………………………………………………………………………………19 1. INTRODUCTION Blyton and Jenkins (2007;74) defined Flexibility through two different approaches, “For employers, workforce flexibility refers to the ability to use labour in a more adaptable and variable way. For employees, flexibility refers particularly to the degree of choice available in their work arrangements”. This essay will analyse the evolution of flexibility and work-life balance since...
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...infrastructure systems in every city are mostly managed by private organizations. As we are more depending on technological management of such critical infrastructure and centralization of such system throughout the network, cybercrime targeting those critical infrastructures can have detrimental effects for both private and government sectors. There has been a steady increase in numbers of cybercrime with its benefits over the traditional crime in the past decades. Cyber criminals are getting smarter and equipped with more resources with every passing days and are becoming bigger threats. Therefore, it is important to scrutinize those cybercrime-related issues as well as to delve into planning a well-thought out countermeasure for both private and government sectors in various aspects for betterment of safer society of the information era. In this paper, Part I addresses how government intervention justifies telling private industry how to set up or improve their cybersecurity with its policies. Part II addresses the impacts on national security due to government regulation by private industry’s compliance. Part I. Government Regulation of Private Sector Cybersecurity Cyber criminals always look for vulnerabilities such as unsecured network to gain backdoor access to attack critical infrastructure or collect...
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...Review of Warehouse Receipt System and Inventory Credit Initiatives in Eastern & Southern Africa Final report commissioned by UNCTAD under the All ACP Agricultural Commodities Programme (AAACP) *The views expressed in this paper are those of the author and do not necessarily reflect the views of the United Nations September 2009 CONTENTS CONTENTS ............................................................................................................................................. i ACKNOWLEDGEMENT .....................................................................................................................iii GLOSSARY OF ABBREVIATIONS .................................................................................................. iv GLOSSARY OF ABBREVIATIONS .................................................................................................. iv SUMMARY ............................................................................................................................................ 1 Introduction ....................................................................................................................... 1 Observations on the different approaches ......................................................................... 1 Policy conclusions and recommendations ........................................................................ 3 Specific proposals .....................................................................
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...universities. CORPORATE SOCIAL RESPONSIBILITY A ROLE IN GOVERNMENT POLICY AND REGULATION? Constantina Bichta Desktop published by Jan Marchant © The University of Bath ISBN All rights reserved Centre for the study of Regulated Industries (CRI) The CRI is a research centre of the University of Bath School of Management. The CRI was founded in 1991 as part of the Chartered Institute of Public Finance and Accountancy (CIPFA). It transferred to the University of Bath School of Management in 1998. It is situated on the 8th floor of Wessex House (North), adjacent to West car park. The CRI is an interdisciplinary research centre investigating how regulation and competition are working in practice, both in the UK and abroad. It is independent and politically neutral. It aims to produce authoritative, practical contributions to regulatory policy and debate, which are put into the public domain. The CRI focuses on comparative analyses across the regulated industries. CRI activities and outputs include: • • • • • Regulatory statistics, information and analysis Discussion papers and Occasional papers Regulatory Briefs, Reviews and International series Research Reports and Technical papers Seminars, courses and conferences Direct links with regulated industries, the regulators, the academic...
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...economic system; relation size and growth of public and private corporate sector, social responsibility of business; broad features of India's now economic policy. UNIT-II Trend and pattern of industrial growth; review of industrial policy developments; industrial licensing policy; liberalisation of the private sector; trends and issues in corporate management; growth and problems of the small scale sector; public sector reforms and privatisation the problem of industrial sickness; MRTP Act, SICA and Industrial Disputes Act. UNIT-III Development banks for corporate Sector (IDBI, IFCI, ICICI) - trends pattern and policy; regulation of stock exchanges and the role of SEBI; banking sector reforms, challenges facing public sector banks; growth and changing structure of non bank financial institutions; problem of non performing assets in Indian Banks. UNIT-IV Trend and pattern of India's foreign trade and balance of payments; latest EXIM policy-main features; policy towards foreign direct investment; globalisation trends in Indian economy; role of MNC's; India's policy commitments to multilateral insitiutions - IMF, World Bank and WTO. NOTE : The question paper will be set by the external examiners. The external examiner will set 8 questions in all, selecting not more than two questions form each unit. If a case study in included in the question paper then it will carry marks equivalent to two questions. The candidates will be requited to attempt five questions in...
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...Indian economic system; relation size and growth of public and private corporate sector, social responsibility of business; broad features of India's now economic policy. UNIT-II Trend and pattern of industrial growth; review of industrial policy developments; industrial licensing policy; liberalisation of the private sector; trends and issues in corporate management; growth and problems of the small scale sector; public sector reforms and privatisation the problem of industrial sickness; MRTP Act, SICA and Industrial Disputes Act. UNIT-III Development banks for corporate Sector (IDBI, IFCI, ICICI) - trends pattern and policy; regulation of stock exchanges and the role of SEBI; banking sector reforms, challenges facing public sector banks; growth and changing structure of non bank financial institutions; problem of non performing assets in Indian Banks. UNIT-IV Trend and pattern of India's foreign trade and balance of payments; latest EXIM policy-main features; policy towards foreign direct investment; globalisation trends in Indian economy; role of MNC's; India's policy commitments to multilateral insitiutions - IMF, World Bank and WTO. NOTE : The question paper will be set by the external examiners. The external examiner will set 8 questions in all, selecting not more than two questions form each unit. If a case study in included in the question paper then it will carry marks equivalent to two questions. The candidates will be requited to attempt five questions in all, selecting...
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...Department of Business Administration BUSN69, Degree Project – Accounting and Auditing Master Thesis, 15 ECTS Spring 2014 The evolution of CSR Reporting in the Banking Sector of Greece An analysis of specific characteristics of CSR Reporting Author Papakostopoulos, Georgios Supervisors Jonnergård, Karin Loft, Anne 2014-10-20 1 2 Abstract Title The evolution of CSR Reporting in the Banking Sector of Greece An analysis of specific characteristics of CSR Reporting. Seminar Date 2014-06-02 Course BUSN69, Degree Project – Accounting and Auditing Author Georgios Papakostopoulos Supervisors Karin Jonnergård and Anne Loft Keywords Banks, CSR, Development, Reporting, Standardisation Purpose This thesis aims to examine the development of CSR reporting in the banking sector. The emphasis is set on a number of characteristics. Trends for standardization will be also examined Methodology The methodology undertaken is generally based on a qualitative research approach through a combination of content analysis with interviews. The research has a partly longitudinal, inductive and comparative character. Theoretical Perspectives The theoretical aspects that were used in the analysis were a combination of the theoretical framework of the Legitimacy, Stakeholder and Institutional theory with the reporting requirements from a number of standards, guidelines, initiatives and indices. Empirical Foundation ...
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...Measurement of Financial Development: A Fresh Approach Noureen Adnan 1 Financial development can be defined as the policies, factors, and the institutions that lead to the efficient intermediation and effective financial markets. A strong financial system offers risk diversification and effective capital allocation. The greater the financial development, the higher would be the mobilization of savings and its allocation to high return projects. Financial development can be measured by a number of factors including the depth, size, access, and soundness of financial system. It can be measured by examining the performance and activities of the financial markets, banks, bond markets and financial institutions. It is observed that higher the degree of financial development in a country, the wider will be the availability of financial services. A developed financial system offers higher returns with less risk. In this paper it is attempted to collect main components of financial development including Banks, Stock markets, insurance companies and bond markets for 41 economies during the period of 1988 to 2009. The method of principal component is utilized to extract a single financial development index out of them. Principal component analysis is a modern tool of data analysis. The main aim to apply principal component to achieve a meaningful index out of complex and multidimensional elements of financial development and to re-express the data with minimum noise and maximum extract, so that...
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...PHILIPPINE SCHOOL OF BUSINESS ADMINISTRATION, Q.C. 1029-Aurora Blvd. Cubao, Q.C. Selected Pawnshop Businesses along Sumulong Highway, Marikina City: Factors of Success Submitted by: Leira Susana Arceo Escala Charmaine Santos Tesalona Mariel Navata Nieto John Michael Temporal Soria Ralf Louise Sauro Vico Submitted to: Dr. Carolina D. Ditan Table of Contents Title Page Acknowledgement List of Tables List of figures Chapter I Introduction Background of the study Theoretical Framework Research Paradigm Statement of the Problem Hypotheses of the Study Significance of the Study Scope and Delimitations Definition of Terms Chapter II Review of Related Literature Foreign Literature and Studies Local Literature and Studies Chapter III Research Methodology Research Design Sampling Design Research Instrument Data Gathering Procedure Statistical Treatment Chapter IV Presentation, Interpretation and Analysis of Data Chapter V Conclusion and Recommendations Summary Conclusion Recommendation Bibliography Appendix Appendix I. Letter to the respondents Appendix II-A. Questionnaire for customers Appendix II-B. Questionnaire for employee/staff ...
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