where the accounting treatment envelope was pushed just a bit too far. In the case of Enron‚ David B. Duncan‚ the former Andersen partner in charge of the Enron audit who was the government’s chief witness in the trial against Arthur Andersen‚ stood behind the decisions that resulted in the widespread use of off-balance sheet financing in the reporting of certain partnership transactions. (3) Certainly he carried out the breadth of the related accounting pronouncements to the extent allowable. Off-balance
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AVOIDING INVESTMENTS IN FRAUDULENT COMPANIES: THE WORLDCOM FRAUD Introduction The purpose of this report is to investigate and discuss the accounting fraud that occurred at WorldCom in order to recommend improved strategies to Berkshire Hathaway’s management for avoiding investments in companies with fraudulent financials. Accounting fraud is a crime committed by high level employees at an organization to manipulate the organization’s financial statements and intentionally disguise company
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WorldCom Failure in relation to its Organizational Behavior LDR/531 - Organizational Leadership October 7‚ 2010 WorldCom Failure in relation to its Organizational Behavior INTRODUCTION Year 2002 saw an unprecedented number of corporate scandals: Enron‚ Tyco‚ Global Crossing‚ etc. In many ways‚ WorldCom is just another case of failed corporate governance‚ accounting abuses‚ and outright greed. Many people may question if there is a secret to operating a successful business in modern times.
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April 19‚ 2011 The choice of an open vs. closed adoption is one of the most important decisions a mother can make during the adoption process. For both processes an agreement is crafted to detail the rights of the birth parents in the life of the baby following the adoption. There are many pros and cons to both options. Both can be seen and evaluated in the following articles that clearly explain and discuss these two options. Also‚ another form of clarification is the textbook‚ Marriages and Families
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An Ethical Dilemma at WorldCom: A case study of Cynthia Cooper The Scenario One May afternoon‚ while sitting in his cubicle at WorldCom Inc. headquarters located in Clinton‚ Mississippi‚ Gene Morse was stunned to find an accounting entry for $500 million in expenses‚ which was not accounted for with any invoices. He immediately reported this entry to his boss‚ vice president of internal audit Cynthia Cooper (Pulliam & Solomon‚ 2002). Little did they know at the time that this discovery would begin
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O for A Door-to-Door Sales The Forgotten Channel CONSUMER T he days are long gone when it was common to find a stranger on your doorstep pushing aluminum siding‚ brushes‚ or encyclopedias. Yet even today‚ Mary Kay’s 1.7 million “beauty consultants” still drive up in their pink cars to demonstrate and sell cosmetics to women in their homes. And in some 70 countries around the world‚ millions of Kirby vacuum cleaners are being sold in households that have just
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to an infection from exposure to the bacteria. When the wound gets infected‚ surgeons are required to perform an arthroscopy‚ repeating the motion cutting the wound and washing it for approximately two to three hours. Another type of fracture was closed fractures; these are when the bone does not penetrate the skin. While adults and children can have the same types of fractures‚ a child’s bone are soft and bendable. Children have an epiphyseal plate at the end of a long bone known as a pediatric
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References: WorldCom profits scandal shakes stock markets‚ The Telegraph‚ 27 Jun 2002 (http://www.telegraph.co.uk/news/worldnews/northamerica/usa/1398577/WorldCom-profits-scandal-shakes-stock-markets.html) Haywood‚ Elizabeth M.‚ Dorothy A. McMullen‚ and Donal E. Wygal‚ 2004‚ Behind closed doors at WorldCom: 2001‚ Accounting Education‚ 19‚ 101-118. Wearing R.‚ Cases in Corporate governance (2005)‚ Sage Publications
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The WorldCom scandal was actually brought to light by the internal auditor‚ Cynthia Cooper. Cooper and her team‚ Gene Morse and Glyn Smith uncovered the fact that line costs were being transferred to capital accounts. Cooper was originally tipped off to the fact that something was amiss when the head of WorldCom’s wireless business paid her a visit‚ upset that he was loosing $400 million that had been set aside to make up for shortfalls if customers didn’t pay their bills. Scott Sullivan‚ CFO of
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WorldCom Case Study: Lack of Leadership‚ Lack of Ethics Emily Fearnow ORG 500- Foundations of Effective Management Colorado State University – Global Campus Dr. Cheryl Lentz May 15‚ 2011 WorldCom Case Study: Lack of Leadership‚ Lack of Ethics A multitude of choices made by executives at WorldCom led to the ultimate demise of the company as it was previously known‚ the employees and their livelihoods’‚ and the trust of the American people. In a time when corporations
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