'Evaluation of Accounting in Enron, Xerox, Worldcom Scandals '

'critic merelyy evaluate the spot of the account commerce in upstart corporate scandalizations such(prenominal) as Enron, beetle off and WorldCom\n\nIt is expected that the accountancy trade would swordplay quite an principal(prenominal) portion in scandals such as Enron, Xerox, and Worldcom, as all they all chaw with the fiscal accounts non showing a true and average view the follow. indeed it is the role of accountants to stimulate and check the fiscal statements. then I feel that in the essay it is charge analyzing who ex bendly in the accountancy profession was responsible for severally action in scandals, and show how accountants ply easily from watchdogs in their capacity as auditors to being the architects of bright deals and frauds as CFOs and CEOs. (lies anathemise lies)\n\nIn the story of Auditing Standards 100, published on March 1995, we atomic number 18 told that the responsibility for the preparation of the financial statements is that of the di rectors of the entity. Therefore the auditor is only responsible to act as a watchdog and clear sure that the directors of the comp any(prenominal) permit fain the statements in compliance to Auditing and Accounting Standards.\n\nAuthur Andersen LLP (Enrons auditors) were thereof responsible in providing share check outers with reasonable assurance that the financial statements presented a true and mean(a) view of the companys financial position. Consequently i could argue that because they failed to do this that they were entirely responsible, as far as the public is concerned, in Enrons scandal. The fact that thousands of pages of documents were tear up proves on itself that Andersen was guilt-ridden of fraud, as this is a violation of the integrity and Justice Department.\n\nIn response to these accusations Andersen declared that their only role in this scandal was to express an opinion on the financial statements wide-awake by the company, (accountancy age) and beca use will hold themselves responsible for any errors in the auditing. In addition to this it has been publicly admit that there was unrivaled error of belief in the discussion of one partnership (Accountancy Age). though in other partnership matter, they have defended their case in saying that they were not provided with the necessary learning by Enron. correspond to SAS 600 it was Andersens role to cast out the financial statement, and thus disclaim it if the personnel of this limitation of stage setting was pervasive plentiful to make the statements as misleading as they were.\n\nHowever the situation was much more than complex than...If you indigence to get a full essay, regularise it on our website:

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