Reference no: EM131299862

Case Study: MicroStrategy, Inc.

In six to eight pages, supported by evidence from your text and from other research (at least two resources are required), answer the following questions:

- Evaluate the accounting decisions made by MicroStrategy from an earnings management perspective. What was the company trying to accomplish through the use of these accounting techniques? How did its decisions lead the company down the proverbial "ethical slippery slope?"
- What motivated MicroStrategy and its management to engage in this fraud? Use the pressure and incentive side of the fraud triangle to help in answering the question. How would you characterize the company's actions in this regard with respect to ethical behavior, including a consideration of Kohlberg's stages of moral development?
- Why is independence considered to be the bedrock of auditor responsibilities? Do you believe PwC and its professionals violated independence requirements in the AICPA Code of Professional Conduct? Why or why not? Include in your discussion any threats to independence that existed.
The paper
- Must be six to eight double-spaced pages in length (not including title and references pages) and formatted according to APA style as outlined in the Ashford Writing Center.
- Must include a separate title page with the following:
o Title of paper
o Student's name
o Course name and number
o Instructor's name
o Date submitted
- Must use at least two scholarly sources in addition to the course text.
- Must document all sources in APA style as outlined in the Ashford Writing Center.
Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center.

Evaluates the Accounting Decisions Made by MicroStrategy from an Earnings Management Perspective, and Discusses What the Company Was Trying to Accomplish Through the Use of These Accounting Techniques. Total: 7.00

Discusses How the Decisions Led the Company Down The Proverbial "Ethical Slippery Slope". Total: 4.00

Discusses What Motivated MicroStrategy and its Management to Engage In This Fraud Using the Pressure and Incentive Side of the Fraud Triangle. Total: 4.00

Discusses How to Characterize the Company's Actions with Respect to Ethical Behavior, Including a Consideration of Kohlberg's Stages of Moral Development. Total: 4.00

Discusses Why Independence is Considered to be the Bedrock of Auditor Responsibilities and if the PwC and its Professionals Violated independence Requirements in the AICPA Code of Professional Conduct.