Analyze the sanctions available under sox

Assignment Help Accounting Basics

Reference no: EM131975233

Problem

The Securities and Exchange Commission (SEC) regulates public companies. The SEC has found that some of these companies have violated GAAP by using creative accounting practices to mislead investors and creditors regarding the health of their company.

A recent accounting scandal within the last five (5) years where the SEC accused public companies of accounting irregularities.

Analyze the audit report that the CPA firm issued. Ascertain the legal liability to third parties who relied on financial statements under both common and federal securities laws. Justify your response.

Speculate on which statement of generally acceptable auditing standards (GAAS) that the company violated in performing the audit.

Compare the responsibility of both management and the auditor for financial reporting, and give your opinion as to which party should have the greater burden. Defend your position.

Analyze the sanctions available under SOX, and recommend the key action(s) that the PCAOB should take in order to hold management or the audit firm accountable for the accounting irregularities. Provide a rationale for your response.

Reference no: EM131975233

Questions Cloud

Which excel ribbon contains the charts menu : Which Excel ribbon contains the Charts menu? Where can you find the Line Graph area in Excel?

What is the present value of each of the single amount : What is the present value of each of the following single amounts:

Compute the after tax salvage value of the equipment : Your firm is considering a new product development. an outlay of $90,000 is required for equipment, and an additional net working capital of $5000 is required.

Confidence interval for true population mean watermelon : Assume the population standard deviation is 4.9 ounces. Based on this, construct a 90% confidence interval for the true population mean watermelon weight.

Analyze the sanctions available under sox : Analyze the sanctions available under SOX, and recommend the key action(s) that the PCAOB should take in order to hold management or the audit firm accountable.

Compute the total cash flows of the project : Compute the total cash flows each period associated with the analysis of this project and clearly indicate them on a time line.

Confidence interval for the true population proportion : In a sample of 440 adults, 268 had children. Construct a 99% confidence interval for the true population proportion of adults with children.

What are the tax consequences to sean and xyz partnership : What are the tax consequences to Sean and the XYZ Partnership if Sean receives only a? 20% profits interest with no determinable? FMV?

What is heuser after-tax cost of debt : If its marginal tax rate is 35%, what is Heuser's after-tax cost of debt?

User Account

All Pages