Accounting Commons^™

Comment Letters On Proposed Statement On Auditing Standards, External Confirmations, May 28, 2009, Comments Are Requested By August 31, 2009, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Analysis Of The Lifo Inventory Valuation Method During The Onset Of Ifrs, Joseph Louis Romeo

Honors Scholar Theses

I propose that the Last in, First out (LIFO) inventory valuation method needs to be reevaluated. I will evaluate the impact of the LIFO method on earnings of publically traded companies with a LIFO reserve over the past 10 years.

I will begin my proposal with the history of how the LIFO method became an acceptable valuation method and discuss the significance of LIFO within the accounting profession Next I will provide a description of LIFO, the First in, First out (FIFO), and the weighted average inventory valuation methods and explore the differences among each. More specifically, I will explore …

Price Multiples As Indicators Of Stock Price Movement: Evidence From The 21st Century, Jason Zamichiei

Honors Scholar Theses

This paper examines the use of price multiples to predict stock returns. The price to earnings, price to sales, and price to book value multiples are regressed against annual stock returns to determine if a relation between the magnitude of the multiples and returns exists. The results indicate that there are relations between low price to earnings and price to sales multiples and positive returns. I find no evidence that the price to book value multiple can be used to develop a stock buying strategy.

Debate Over Fair Value Accounting: Should We Allow Politics To Take An Active Role In Setting Accounting Standards Or Should We Trust That The Sec Knows Best?, Melina Botcheva

Honors Scholar Theses

In light of the recent economic downfall, there has been significant media coverage on the topic of fair value accounting. There are many critics of the accounting rule, who place blame on it for the destruction of billions of dollars in capital between financial institutions. Other commentators, however, see the rule as necessary and applaud its ability to bring the turmoil in the economy into the spotlight promptly so that it could be addressed effectively. This paper will begin by conducting a study of fair-value accounting from its inception in previous standards and then follow it through to Statement No. …

Re: Notice 2009-17, Information Reporting Of Customer’S Basis In Securities Transactions, Alan R. Einhorn, American Institute Of Certified Public Accountants (Aicpa)

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Cpa Client Bulletin, May 2009, American Institute Of Certified Public Accountants (Aicpa)

Newsletters

No abstract provided.

Is Something Missing From Your Company's Satisfaction Package?, Deborah S. Archambeault, Richard Burgess, Stan Davis

Accounting Faculty Publications

Conventional wisdom suggests that salary, benefits, and other monetary factors are important aspects of keeping employees satisfied. But which factors have the biggest impact on overall satisfaction? While companies focus on the monetary factors, there are other components of the overall “satisfaction package,” that are just as important, yet often overlooked.

It comes as no surprise that satisfied employees are important to the success of any organization. In short, higher satisfaction increases productivity, improves service levels, and positively impacts a company’s bottom line. While keeping employees satisfied should be an important goal for any organization, a recent job satisfaction survey …

The Nomination And Motivations Of Irish Non-Executive Directors Of Listed Companies, Anna Egan, Rebecca Maughan, Joseph Coughlan

Conference papers

This paper reports the preliminary findings of an empirical investigation into the process of appointing non-executive directors and their motivations behind the adoption of the position. While research into the board of directors has been extensive, little deliberation has been given to the motives of non-executives who choose to sit on boards (Roberts, 2002). Given that the board of directors has been charged with much more responsibility in recent years and is being held to a higher level of accountability than would historically be expected (Donnelly and Kelly, 2005), the choice of non-executives to continue to take up roles on …

An Elusive Search For The Holy Grail Via Japan’S Lost Decade, Knowledge@Smu

Knowledge@SMU

Why did the Wall Street crash of October 1929 cause the global economy to decline and stagnate over a long time? Till today, macroeconomists are still trying to answer what Ben Bernanke describes as the “Holy Grail” – an enlightened understanding of what went wrong. Richard Koo, author of “The Holy Grail of Macroeconomics: Lessons from Japan’s Great Recession”, attempts an explanation with the “balance sheet recession” concept, based on his observations in Japan, where companies try to pay down their debt on time, if not earlier.

The Impact Of The Sarbanes-Oxley Act On Regional Firms, Hyejoon Yoon

Renée Crown University Honors Thesis Projects - All

There have been major audit failures involving the largest companies such as Enron, WorldCom and Tyco. As a result of these audit failures, the Sarbanes-Oxley Act was passed in 2002 to establish enhanced standards for oversight of accounting professionals including U.S. public company boards, management, and public accounting firms. After the Sarbanes-Oxley Act was passed, there has been increased attention on major public accounting firms regarding audit quality, audit pricing, independence, risk assessment, and legal liabilities. In order to maintain the independence, three of the four major accounting firms sold their consulting practice, even though consulting practices are again growing …

The Effectiveness Of The Sarbanes-Oxley Act In Constraining Earnings Management, Liwin Troy Lee

Renée Crown University Honors Thesis Projects - All

Widespread concern about earnings management, the management of financial information to mislead investors, was one of the key factors leading to the passage of the Sarbanes-Oxley Act of 2002 (SOX). In this study, I investigate whether SOX is effective in limiting earnings management. Earnings management is a concern because misrepresentation of a company’s financial position and the results of its performance can mislead investors into making poor investment decisions. This study examines earnings changes before and after the passage of SOX to see whether small positive earnings changes were less likely in the post-SOX period, supporting the effectiveness of SOX …

Paul M. Klekner (B), Roger R. Schnorbus

Robins School of Business White Paper Series, 1980-2022

This is a fictitious case study, including the name of the restaurant and the people involved.

Paul Klekner graduated first in his class from the Culinary Institute of America (CIA) in 1998; his fellow students named him the chef most likely to succeed in the future. After graduation, he and his wife, Sarah, moved back to his home in Richmond, Virginia where he was employed as a chef at several restaurants including Bottega and Old Original Bookbinders. In 2003, he decided to open his own restaurant, Rogerios, in the Tobacco Row section of Richmond. With an inheritance of $300,000 he …

Disclosure Of Management Guidance In Conference Calls: Materiality, Determinants And Consequences, Benjamin Lansford, Jimmy Kiat Bee Lee, Jennifer W. Tucker

Research Collection School Of Accountancy

The SEC advises firms to release all material information in their earnings announcement press release before their corresponding conference call. Until May 2009, the NYSE went further by explicitly prohibiting the disclosure of new material information in a conference call. However, we document that the S&P 500 firms, including those that are NYSE-listed, disclose a non-trivial amount of management guidance exclusively in their conference calls. Firms in challenging forecasting environments rely more on the conference call, probably because the call enables managers to “flesh out” the guidance. In contrast, firms with relatively low investor visibility and high litigation risk rely …

Aicpa Responds To New York Mobility Column, Ernest Almonte

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Revisiting Financial (Accounting) Literacy: A Comparison Of Audit Committee Members And Business Students, Don E. Giacomino, Joseph L. Wall, Michael D. Akers

Accounting Faculty Research and Publications

While financial literacy is important for an audit committee in discharging its duties there is no authoritative guidance or definition and limited empirical research as to what constitutes financial literacy of audit committees and business students. Coates et al. conducted a study that examined the financial literacy of corporate board members and MBA students at the University of Chicago using an instrument developed by Schipper and WeiL Their findings suggest that both groups lack the appropriate level of financial literacy. This paper extends that research by using the same instrument to examine the financial literacy of undergraduate accounting finance students …

Integrating Modern World Tax Issues Into The Classroom, Annette M. Nellen

Faculty Publications

The article examines the benefits of interdisciplinary and integrated coursework that brings modern world issues into a tax classroom. Among the topics suggested for possible integration into such a course are virtual worlds and climate change. It says the subjects where chosen for their currency and the advantages they offer in engaging college students and providing an opportunity for them to apply integrated learning in the course. Some resource materials relevant to tax issues are also provided.

Do Direct Cash Flow Disclosures Help Predict Future Operating Cash Flows And Earnings?, Steven F. Orpurt, Yoonseok Zang

Research Collection School Of Accountancy

Motivated by recent FASB, IASB, and CFA Institute comments, we explore the predictive value of direct method cash flow disclosures. A primary stated purpose of the direct method is to better forecast future performance. To examine this purpose, we first document that direct method line items, such as cash received from customers, are not reliably estimable using income statements and either balance sheets or indirect method statements of cash flows. When these estimation (articulation) errors are included in cash flows and earnings forecasting models, forecasting performance significantly improves. In addition, employing a future ERC (FERC) methodology, we find evidence suggesting …

Proposed Statements On Standards For Accounting And Review Services, Proposed Ssars, Framework And Objectives For Performing And Reporting On Compilation And Review Engagements, Proposed Ssars, Compilation Of Financial Statements, Proposed Ssars, Review Of Financial Statements, April 28, 2009,Comments Are Requested By July 31, 2009; Exposure Draft (American Institute Of Certified Public Accountants), 2009, May 28, American Institute Of Certified Public Accountants. Accounting And Review Services Committee

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Comment Letters On Proposed Statements On Standards For Accounting And Review Services, Proposed Ssars, Framework And Objectives For Performing And Reporting On Compilation And Review Engagements, Proposed Ssars, Compilation Of Financial Statements, Proposed Ssars, Review Of Financial Statements, April 28, 2009, American Institute Of Certified Public Accountants. Accounting And Review Services Committee

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Spring Meeting Of Council, April 26 - April 28, 2009, Volume 1, Jw Marriott Hotel, Washington, D.C., American Institute Of Certified Public Accountants (Aicpa)

Association Sections, Divisions, Boards, Teams

No abstract provided.

Spring Meeting Of Council, April 26 - April 28, 2009, Volume 2, Jw Marriott Hotel, Washington, D.C., American Institute Of Certified Public Accountants (Aicpa)

Association Sections, Divisions, Boards, Teams

No abstract provided.

Re: Comments On Reg-164370-05, Relating To The Application Of Section 108(E) To Partnerships And Their Partners (Aicpa Comment Letter To Department Of The Treasury And The Irs)., American Institute Of Certified Public Accountants (Aicpa), Alan R. Einhorn

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Insider Entrenchment And Ceo Compensation In Entrepreneurial Firms: An Empirical Investigation, Arno Forst

Theses and Dissertations

This study investigates the effects of insider entrenchment on Chief Executive Officer (CEO) compensation in firms conducting an initial public offering (IPO). The sample comprises 220 US firms that went public between 1996 and 2002. Corporate governance choices regarding entrenchment are captured by six provisions in the corporate charter and bylaws, as well as five anti-takeover statutes, which may or may not be in effect in the state of incorporation. Firm-level items are supermajority requirements for charter amendments, bylaws amendments, and merger approvals, along with the presence or absence of a staggered board of directors, poison pills, and golden parachute …

Fair-Value Accounting Of Derivatives And The Heterogeneity Of Investor Beliefs, Jack Dorminey

Theses and Dissertations

Using a sample of 51 banking organizations, I examine the effect of the Statement of Financial Accounting Standard 133 on the belief heterogeneity of market participants and how this heterogeneity affects abnormal trading volume surrounding earnings announcements. SFAS 133 is the first standard to require that all derivatives be recognized at fair-value and that the fluctuations in derivative fair-values be reported in either net income or other comprehensive income. The behavior of derivative instruments and the fair-valuation and treatment prescribed by SFAS 133 are complex. Due to the underlying complexity of both derivatives and the accounting treatment prescribed by the …

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 …

Proposed Statement On Auditing Standards, Subsequent Events And Subsequently Discovered Facts, April 10, 2009, Comments Are Requested By July 15, 2009; Exposure Draft (American Institute Of Certified Public Accountants), 2009, April 10, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Comment Letters On Proposed Statement On Auditing Standards, Subsequent Events And Subsequently Discovered Facts, April 10, 2009, American Institute Of Certified Public Accountants. Auditing Standards Board

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

Aicpa Statement On Today's Fasb Action On Fair Value, Barry C. Melancon

Exposure Drafts, Comment Letters, and Statements of Position

No abstract provided.

12th World Congress Of Accounting Historians, July 20-24, 2008, Istanbul -- Turkey, Oktay Guvemli

Accounting Historians Notebook

No abstract provided.