Write a summary and synopsis on the following topics - 500 words
Financial accounting principles can be used fraudulently. From the strategies used to state assets and liabilities to misrepresent a true depiction of the organization's health, financial statement fraud is committed. You also learn the relationship between such accounting principles and fraud, identifying schemes used to commit financial statement fraud.
o Conceptual Framework for Financial Reporting
o The Sarbanes-Oxley Act of 2002
o Defining Financial Statement Fraud
o Costs of Financial Statement Fraud
When you write about the topics given, which focus on financial statement fraud and fraudulent financial reporting, there are several areas that need to be discussed within the topics outlined.
The Conceptual Framework for Financial Reporting was enacted to essentially dictate what should be included in appropriate financial reporting. By doing so, it enhances the due diligence of financial reporting. Any steps and other measures taken in financial reporting, as designated by authoritative boards and organizations, both public and private, have been put into place to increase transparency.
Most acts that govern financial reporting resulted from the various accounting frauds that the public has seen over the past several decades. Enron, including Arthur Anderson, Tyco, and others were the direct reason for increased laws and regulations over financial reporting. The Conceptual Framework for Financial Reporting mandates that the information reported by pubic companies fulfill certain requirements. The information has to be useful to those affected by the financial statements, which mainly ...
This solution discusses the main financial statement fraud topics outlined in the student's posting.