Business Commons^™

The Convergence Of Multinational Standards And Practices In International Financial Reporting, Ashley Harper, Linda Leatherbury, Ana Machuca, Jodee Phillips

Faculty Publications and Presentations

The International Financial Reporting Standards (IFRS) is pending a move to incorporate a single set of accounting standards across International borders. The definitive decision for uniting the standards appears to be stalemated. The pending move by the United States to adopt financial reporting practices set forth by the IFRS to encompass a single set of reporting standards bears both advantages and disadvantages for multinational corporations. This paper examines some of the difficulties that can arise by using a single set of standards and addresses two significant studies regarding converging reporting standards. The paper concludes by discussing issues that could potentially …

Organizational Ethics In Accounting: A Comparison Of Utilitarianism And Christian Deontological Principles, Katherine Y. Masten

Senior Honors Theses

Within the field of accounting, there never seems to be a lack of conflict between an individual’s morals and the ethical responsibilities an employee has to the company. This paper will demonstrate many of these ethical conflicts within the field of accounting. It will also demonstrate how strong leadership and leaders who adhere to strong values and ethical systems will positively affect the relationship between employees’ ethical values and the application of their moral values to the company. A specific ethical dilemma that arises within accounting tends to be the utilitarian conflict. Since the greater good is accomplished in this …

Fair Value Accounting: How Bad Decisions Bring Blame To Beneficial Accounting Procedures, Thomas John Ciulla

Senior Honors Theses

The Great Recession has sparked a debate amongst accounting professionals and economic analysts. There has been a concerted effort to blame fair value accounting and FAS 157 as the recession’s root cause and an attempt to challenge FASB to return to the historic cost principle. This paper examines the guidelines and procedures for mark to market as established by FASB, observes the events leading up to the recession, conditions that materialized at the start of the recession, evaluates the role fair value played in the financial crisis, and considers how fair value should be used in the future.

The Effects Of Sarbanes Oxley On Current Financial Reporting Standards, Kiersten Clark

Senior Honors Theses

Many changes have taken place over the past eight years in almost every sphere of the business world. The first topic discussed within this paper will be the origin and background of Sarbanes-Oxley, why it was necessary, and what the primary causes of such regulation were. There are many new regulations that are required of companies, primarily publicly-traded companies, which will be covered in the next section. Finally, the last discussion will involve the impact of SOX and the Public Company Accounting Oversight Board on financial reporting and the changes that have taken place within companies. The impact of this …

Leases: Off-Balance Sheet Financing And The Strive For Transparency Today, Brian R. Edman

Senior Honors Theses

In today’s world, leases appear far and wide; they are commonplace throughout the business and accounting frontiers. Accounting for leases, however, is not so clear cut. Since there are various ways to account for leases, many companies pick and choose which they feel best suits their situation, even when this sweeps dirt under the rug along the way. The financial procedures for dealing with leases should entail benefits as well as limitations to ensure each company is fairly representing all of its financial information. Off-balance sheet financing is one of the hot topics in accounting for leases because of the …

The Shift Toward A Global Economy: Changes In Accounting Regulations To Repair A Broken Past And Lay A Solid Foundation For The Future, Drew Lewis

Senior Honors Theses

With the growth and development of a much more dynamic business market, many companies have seen opportunities to expand and profit. However, this has also led to much confusion over which specific regulations and entities should dictate how businesses should report and act. The Financial Accounting Standards Board and the International Accounting Standards Board have been working concurrently to provide a consistent standard that can be applied universally. Though there are many differences between the frameworks of the two organizations, compromises are being made to suit the general business realm.

The recent recession has also caused problems for the business …

Sarbanes Oxley Act Of 2002: Will It Be Effective In Preventing Another Enron Scandal?, Scott W. Eichar

Senior Honors Theses

The Sarbanes-Oxley Act of 2002 (SOX) was introduced to Congress as a result of the deceit and fraud taking place at Enron in December of 2001. The three factors that led to the scandal were Enron’s weak internal control, misleading off-balance sheet entities, and conflicting interests between Enron’s employees and their chief auditor, Arthur Andersen. The provisions of SOX were established, in part, to strengthen internal control, require proper disclosure for special purpose entities, and eliminate conflicts of interests between a firm and its auditors. The purpose of this paper is to measure the effectiveness of these implementations to prevent …

Rebuilding The Foundation: Reestablishing Ethics In The Accounting Professsion, Chad P. Laughlin

Senior Honors Theses

Today’s business world has become increasingly diverse in its view of ethics. This lack of objective decision-making has been made clear through the scandals and questionable accounting methods in recent years. In light of these instances, the accounting profession has taken steps to regain and ensure the public’s trust, which the profession relies on. In the absence of ethical practices, the profession loses its trustworthiness and reliability. This paper will discuss the key role of ethics in accounting and the efforts that have been made in the past and are being made currently to ensure that this vital component is …

The Viability Of The Fair Tax, Jonathan M. Clark

Senior Honors Theses

This thesis begins by investigating the current system of federal taxation in the United States and examining the flaws within the system. It will then deal with a proposal put forth to reform the current tax system, namely the Fair Tax. The Fair Tax will be examined in great depth and all aspects of it will be explained. The objective of this paper is to determine if the Fair Tax is a viable solution for fundamental tax reform in America. Both advantages and disadvantages of the Fair Tax will objectively be pointed out and an educated opinion will be given …

An Analysis Of The Obstacles Of Culture, Government, And Lack Of Support For International Accounting Standards, Bethany Theodore

Senior Honors Theses

With the prevalence of international markets comes the need for universal accounting standards. The International Accounting Standards Board has created a set of these standards, but unfortunately some skeptics have found that the obstacles of culture, government, and lack of support would make these standards impossible to implement. Since the globalization of international standards is inevitable, there must be a way to get past the present obstacles. Through an analysis of the countries of China, India, and Australia, it has been found that it is possible to have the same accounting standards among diverse countries. International accounting standards will become …