Discuss halliburtons accounting methods

Reference no: EM131529461

Question: (Based on an article by nationally syndicated columnist Michael Kinsley). Michael Kinsley chides both Halliburton Corporation, a large construction company, and its auditor, Arthur Andersen, for allowing Halliburton to book a percentage of cost overruns that Halliburton has attempted to collect from Until 1998 cost overrun collections were not booked until received. Since that time Halliburton "began guessing how much of a disputed surcharge would ultimately get paid and crediting itself in advance."

Required: a. Is there a case that can be made for allowing Halliburton to book these overruns? whar arguments, if any, support Halliburtons accounting methods?

b. What situations should prevent Halliburton from booking these overruns prior to collection?

Reference no: EM131529461

Questions Cloud

Did your search return results which pertained to the issues : Did your search return results which pertained to the issues you identified? If not, please modify your search query until your results are more on point.

Why the materiality principle requires a unifying standard : Sterling called conservatism, "the fundamental valuation principle of accounting." List and briefly discuss as man areas savor can in which I I I.

Price of procter and gamble stock : What is the expected return of your portfolio and what is the standard deviation of your portfolio - Price of Procter and Gamble Stock

Explain potential costs and failures of quality for hospital : Discuss ways that a hospital might measure quality. Explain potential costs and failures of quality for Memorial Hospital and discuss how each can be measured.

Discuss halliburtons accounting methods : (Based on an article by nationally syndicated columnist Michael Kinsley). Michael Kinsley chides both Halliburton Corporation, a large construction company.

Were there any objections to the acts passage : Were there any objections to the Act's passage?What implications are there for trademarks, patents and copyrights with internet use.

How your organization foster trust and open communication : How does your organization foster trust and open communication? What are the goals that people share in common? Motivations

Define the customer value proposition : Provide a definition of marketing from the American Marketing Association. Define the customer value proposition.

How do objects-different from postulates : 2. Do you think that the funds flow statement is more "factual" and less "interpretative" than the income statement and balance sheet?

User Account

All Pages