1. Which of these assertions were relevant to Paragon’s construction projects? For each of the assertions that you have listed, describe an audit procedure that Arthur Andersen could have employed to corroborate that assertion. We think the assertions relevant to Paragon’s projects are as follows: 1) Existence and occurrence, 2) Completeness, and 3) Valuation or allocation. The case details mention two examples of Paragon’s aggressive revenue recognition that Arthur Andersen would have caught
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Auditing 1/26/15 Enron Enron began as Northern Natural Gas in 1932. In 1979 the company reorganized and became InterNorth. InterNorth was in the business of creating energy products such as natural gas and plastics. Later InterNorth merged into what was known as Enron with the new CEO Kenneth Lay running the show. He then began moving the headquarters to Houston, where they began selling off assets to limit their losses initially. The misleading financial accounts began when Jeffrey Skilling
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Research Paper One: The Role of Federal Regulations in Corporate America ------------------------------------------------- ------------------------------------------------- Richa Chopra ------------------------------------------------- ------------------------------------------------- Kaplan University ------------------------------------------------- The Role of Federal Regulations in Corporate America Introduction Dishonesty, greed, cover-ups, and bail-outs are some of the things
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Assignment 3: Fraud in the AIS Ditanyan Patterson Jay E. Wright, CPA, CFE Strayer University ACC.564 August 17, 2014 Abstract After researching for a firm that was involved in a fraud and/or embezzlement case I came upon the embezzlement of Koss Corp. Koss Corp was a company in Milwaukee, Wisconsin that manufactured stero headphones, speaker phones, computer headsets, wireless headsets, and much more. The case of Koss came about because of inaccurate financial ststements, books and records
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SYNOPSIS In the early 1990s, Enron International entered into an agreement to build two gas fired power plants in India. The plants would help supply electricity in a country whose rapidly growing power needs were far exceeding existing generating capacity. The plants were to be gas fired, receiving a portion of the gas from Indian fields and a portion from a facility Enron was building in Qatar. While the general idea behind the projects had been approved at the highest levels of the federal
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Content Abstract 3 Introduction 4 The Accountant’s responsibility to clients 4 The Accountant’s responsibility to third parties 5 The Accountant’s responsibility to the government 5 Action or claims against accountants by clients 6 Action or claims against accountants by third parties 6-7 Action or claims against accountants by the government 7 Accounting-Client privilege 7 Whistleblowing 8 Conclusion 8-9 Reference
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The Sarbanes-Oxley Act Creates Ethics in Accounting While contemplating the question of has the Sarbanes-Oxley Act (SOX) made a difference in ethical behavior; the question came to mind; has any law ever succeeded in legislating ethical behavior? The short answer is no, but SOX has lessened the chance of unethical behavior going un-detected. In 2006 top executives at over 150 companies took advantage of lenient reporting policies; where they chose the lowest stock price during a previous quarter
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Adoption of the Sarbanes-Oxley Act of 2002 as an Important Piece of Legislation Professor Ronald Pereira Strayer University BUS 309 Ethics June 12, 2011 1. Analyze the new or enhanced standards for all U.S. public company boards, management, and public accounting firms that the SOX required. The Sarbanes Oxley Act, commonly known as SOX, came into existence in 2002, named after Senator Paul Sarbanes and Representative Michael Oxley, in response to the ever increasing instances of financial
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transparency in the system, but it has actually had the opposite effect than was intended with regards to CEO compensation. The research indicates that CEO compensation has increased for many companies post-Sarbanes-Oxley. Due in large part to the Enron scandal, SOX needed to address outside independent audit firms to improve the accuracy of financial reports disclosed by publicly traded companies. These financial reports are used by investors, bankers and interested consumers to determine how well
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Reporting Practices and Ethics Paper Mandy L Gutting HCS/405 02/09/2015 University of Phoenix Abstract All health care organizations must comply with their state and federal standards when treating their patients. All elements of an organization plays their part to ensure that the reporting processes and ethical standards are in place. Standing alone, will commit errors, breaches of HIPAA, and fraud and abuse. Every day, health care organizations are faced with financial practices
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