Purchase Solution

Should Accounting Have to Approve Estimates?

Not what you're looking for?

Ask Custom Question

Overoptimism by project sponsors.
Inconsistent forecasts of industry and macroeconomic variables.
Capital budgeting organized solely as a bottom-up process.

Do you think that accounting should have to approve all estimates and hold management accountable for anything that doesn't seem right? Why or why not?

Purchase this Solution
Solution Summary

81 words offer an opinion on whether all project estimates that seem unrealistic should need approval from accounting.

Solution Preview

No, because of the fact that management must ascertain dozens of different financial statement elements wherein subjective estimates of ...

Purchase this Solution
Free BrainMass Quizzes
Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

SWOT

This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

View More Free Quizzes
Related BrainMass Solutions

  • This post addresses Dobbs revenue recording practices.

    (There is no accounting rule against Dobbs' practice. The company should record the sale when the conditions have been satisfied by the owner. The only reason that the company is delaying the shipment until January is to manipulate revenue.

  • Deferred Income Tax

    568635 Intermediate Financial Accounting III - Book-Tax Differences You have just been promoted to assistant controller of Doncast company.

  • Guarding against inflated time estimates

    377701 Guarding against inflated time estimates It is often suggested that time estimates for I.T. project work elements should be generated primarily by those involved in carrying out the work (e.g. analysts and programmers).

  • Good-N-Safe Insurance Agency's finance department has been s

    Because they're overwhelmed with work they can justify allowing one of their inspectors, who also happens to be accounting savvy, to process the necessary purchase order, approve the purchase order, make the final approval for payment, and prepare the

  • An accounting estimate is an approximation of a financial st

    The related disclosures for accounting estimates also needs to be analyzed by the auditor, in order to determine if the appropriate disclosures have consistently been made over the period under audit.

  • Utilitarianism and Deontology with respect to the Organizati

    A section of the paper requires that I evaluate utilitarianism and deontology with respect to the organizational culture of the accounting profession. I have searched for many hours trying to find references and have been unsuccessful.

  • Point Estimates in Accounting

    Many estimates in accounting are point estimates using regression parameters. For example point estimates can be used in regression to estimate the total costs that a business should have incurred at a given volume of activity.

  • Financial and managerial accounting

    Financial accounting would use estimates as less as possible while Managerial accounting would have estimates in its reports Because of these differences, the type of information gathered and reported differs.

  • Finding probabilities associated with a commercial loan officers approval statistics.

    I didn't give you an approximate value for part c) due to the large combinatorial numbers. Sorry!

View More Related Solutions