Internal Accountants Report to Management - 1033 Words

Internal Accountant’s Report to Management Diana Liminovic ACC/556 Forensic Accounting Kimberly Warren Introduction Since our company is preparing for an upcoming government contract bid, management has decided that a full Financial Status Review (FSR) prior to the release of the bid is essential. This report is to provide supporting information prior to the bid in order to evaluate if any irregularities with regard to fraud and/or abuse of the company have taken place and if so, to what effect. The report is divided into four sections, which will cover information on the effect of potential occupational fraud and abuse on the company. It will also discuss U.S. government oversight of accounting fraud and abuse and its effect on†¦show more content†¦Many of the frauds were with regard to revenue recognition, which has led to many improvements by now. Noticeable changes have been made in the way firms from particular industries book revenues as a result of the heightened SEC scrutiny of revenue accounting; companies have become more conservative when it comes to the timing of the revenue r ecognition. Particularly many Internet companies have reduced the total amount of the revenue being recognized compared to the situation before the heightened scrutiny. According to a survey in FORBES, less fraud cases have been reported recently. Enforcement cases and prosecutions over the last decade were very well publicized which had a positive effect on the attitude of many companies senior management. Also it is said that governments enforcement efforts have had a deterring effect. Moreover, additional requirements imposed by Sarbanes-Oxley Act (SOX) made senior executives more concerned about the financial results reported and on which they have to sign off. It is clear that the US financial reporting environment has changed and based on the positive current events, constantly improving reporting requirements, rules and regulations, even greater changes are expected in the future. Corruption schemes Corruption has unfortunately been a very common phenomenon in the work environment throughout the years. It is defined as  ¨an intent to gain particular personal advantage at the cost of organization ¨ he/sheShow MoreRelatedSarbanes Oxley : Corporate Responsibility For Financial Reports750 Words   |  3 Pagesprofoundly impacted both management and accountants albeit in mostly similar ways. The following exploration will compare and contrast these views held by management and accountants regarding Sarbanes-Oxley. According to Green (2004) Sarbanes-Oxley legislation is comprised of various sections, of which five are the most significant. These sections are Section 302, Section 401, Section 404, Section 409, and Section 802. Section 302 pertains to Corporate Responsibility for Financial Reports. This section requiresRead MoreSarbanes Oxley : Corporate Responsibility For Financial Reports Essay760 Words   |  4 Pagesimpacted both management and accountants although in mostly similar ways. The following exploration will compare and contrast these views held by management and accountants regarding Sarbanes-Oxley. According to Green (2004) Sarbanes-Oxley legislation is comprised of various sections, of which five are the most significant. These sections are Section 302, Section 401, Section 404, Section 409, and Section 802. Section 302 pertains to Corporate Responsibility for Financial Reports. This section requiresRead MoreEssay on Accounting715 Words   |  3 Pagessuccess. Accountants have different duties depending on the size and nature of the company where they are employed. Usually accountants prepare and analyze financial reports that polish up-to-date information for government agencies, businesses, and other organizations. The data accountants provide information that influences nearly every business and government decision. This is important because a company’s financial condition is the most important thing. Accountants also have many opportunitiesRead MoreThe Ethics Of Sarbanes Oxley Act1667 Words   |  7 Pagesprovides guidance of assessment to internal control. For an accounting perspective, internal control is a system for internal and external auditors to measure performance and recommend the improvement of the control. It is definitely correct that both enforcement and the system are to address the risks of frauds. In the meantime, a new regulatory agency, the Public Company Accounting Oversight Board (PCAOB) was create d to monitor the work of public accountants. Among SOX and the PCAOB, accountingRead MoreAccountant Role In Business Essay1742 Words   |  7 Pages11/11/2017 Marta Silva â€Å"Are Management Accountants Important Strategic Partners in Corporate America’s Management teams? Despite the great stride in efforts made by the financial industry in the last twenty years, many still view management accountants as they were in the 1980s; the ‘scorekeeper’, the ‘corporate cop’, sitting in their cubicles running numbers from dusk to dawn. However, in the modern era accountants have started taking on new roles in corporations, becoming strategic plannersRead MoreAccounting1024 Words   |  5 Pagesgroups of functions performed by accountants? Answer: According to the text, Accountants observe, identify and measure financial terms and are often referred to as analyze. * Discuss the activities that are part of each group. Answer: the economic events are recorded, classified into meaningful groups and then summarized. They (accountants) report on economic events by preparing financial statements and reports, they also interpret these reports for management, investors, and creditors. Read MoreLegal And Regulatory Environments And Ethics1712 Words   |  7 Pagesdisputes. Forensic accountant are very important part of the business for the expert services, legal system such as financial statement analysis on securities and exchange tax, fraud schemes and bankruptcy. However forensic accounting is used for the investigation and prosecution of fraud. (Curtis, 2008) Said, that accounting curriculum needs to be upgraded because accounting professionals or accountants are key player in account management and financial management. Accountants are involved in accountingRead MoreManagement Accounting : Code Of Ethics1588 Words   |  7 PagesManagement Accountants’ Code of Ethics A code of ethics is necessary for the success of any type of business whether it be a professional service organization such as a law firm or an accounting firm, a manufacturing company such as Chrysler, Toyota, Apple or Microsoft, or a retail company such as Walmart or Target. Within each type of organization lie various types of services that are governed or controlled by a specific set of standards and code of ethics. Each set of standards and code of ethicsRead MoreThe Changing Role of Managerial Accounting in a Dynamic Business Environment1723 Words   |  7 PagesENVIRONMENT Learning Objectives 1. Define managerial accounting and describe its role in the management process. 2. Explain four fundamental management processes that help organizations attain their goals. 3. List and describe five objectives of managerial accounting activity. 4. Explain the major differences between managerial and financial accounting. 5. Explain where managerial accountants are located in an organization, in terms of formal organization, deployment in cross-functionalRead MoreAnalyzing Career Choices1340 Words   |  5 Pages This requires a good decision-making system. This report presents a way such decision can be carried out. Accountant and auditor job Pay and compensation According to the US Bureau of Labor Statistics (2012), the average annual pay for accountants and auditors is $61,690. The amount the lowest paid accountants and auditors received was $38,940, while the highest was about $106, 880 (Bureau of Labor Statistics, 2012). Majority of accountants and auditors are full timers and some work more than