Financial Statement Fraud.Enron.AICPA

G overstatement marketable securities marketable

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Unformatted text preview: service liabilities Not recording loans or keep liabilities off Not the books the Not recording contingent liabilities © 2003, 2005 by the AICPA Asset Overstatement Frauds Asset (4th Most Common) Overstatement of current assets (e.g. Overstatement marketable securities) marketable Overstating pension assets Capitalizing as assets amounts that should be Capitalizing expensed expensed Failing to record depreciation/amortization Failing expense expense Overstating assets through mergers and Overstating acquisitions acquisitions Overstating inventory and receivables (covered Overstating earlier) earlier) © 2003, 2005 by the AICPA Disclosure Frauds Disclosure Three Categories of Disclosure Frauds: 1. Overall misrepresentations about the nature of the company or its products, usually made through news reports, interviews, annual reports, and elsewhere 2. Misrepresentations in the management discussions and other non-financial statement sections of annual reports, 10-Ks, 10-Qs, and other reports 3. Misrepresentations in the footnotes to the...
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This document was uploaded on 03/29/2014.

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