Treadway

ambidextrous pecuniary insurance coverage has been on ongoing surface for decades, from the infamous Anderson and Enron case in 2001 back to the 1977-1984 ESM disposal Securities and Jose Gomez case, where Gomez received a loan for silence and intentionally represent the financial statements. In 1985 the National burster on Fraudulent Financial Reporting, also known as The Treadway Commission (Commission) was organise to search and study factors that could be linked or run for to unsound financial reporting. The Commission along with Committee of Sponsoring Organizations (COSO) issued the Treadway Commission Report (Report) which highlight the need to change corporate destination and encourage a system be put in place to identify factors that could eventually lead to fraudulent financial reporting. The Report includes recommendations to the company, the independent public accountant, the SEC and/or former(a) regulatory agencies, and to the education system. For purposes of this report we will focus on the one of the recommendations related to the company, The Tone at the Top. The Tone at the Top emphasizes that top management within which financial reporting occurs must set the right shadow that could prevent and or detect fraudulent activity early in the process.

If the tone of management and/or corporate is laidback then the likelihood of fraudulent reporting is higher. The Report recommends that the companies incorporate a framework which includes; identifying, understanding, and assessing the adventure of fraudulent financial reporting and to design and implement essential controls. Internal controls are used for preventing and detecting fraud. In 2002, chief operating officer of Tyco International, Ltd. (Tyco), Dennis Kozloski and Mark H. Swartz, chief lieutenant, were charged with stealing $cl cardinal and selling company shares for $430 million ultimately inflating the value of the stock. Kozloski claimed that the $150 million were bonuses that were authorized by the board. Many board... If you want to constitute a full essay, order it on our website: Ordercustompaper.com

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