Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Ethical Dilemma, Financial Accounting, Financial Reporting and Analysis, Intermediate Accounting, Uncategorized.

The Securities and Exchange Commission abruptly removed William Duhnke as chairman of the Public Company Accounting Oversight Board. 

Questions:

  1. According to the new chair, what does this firing report to do?
  2. Why has the PCAOB come under recent scrutiny?
  3. How long has Duhnke been chair?
  4. According to the article, why shouldn’t PCAOB members be replaced with every change in administration? 

Source:

Cohn, M. Shakeup at the PCAOB: SEC removes Duhnke, plans new board members. Accounting Today, June 4 (Retrievable online at https://www.accountingtoday.com/news/shakeup-at-the-pcaob-sec-removes-duhnke-plans-new-board-members?)

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According to the Washington Post, Donald Trump’s company will again try to sell the lease for the D.C. hotel.

Questions:

  1. What event prevented an attempt to unload the property the first time?
  2. According to Trump disclosure forms, how much did the revenue for the hotel drop last year?
  3. What has been the average recent occupancy at the hotel?
  4. What price will be considered for selling the property?
  5. List at least one conflict of interest issue surrounding the D.C. hotel.

Source:

O’Connell, J. and Shana Jacobs. (2021). Trump’s company puts D.C. hotel lease up for sale, again. The Washington Post, June 1 (Retrievable online at https://www.washingtonpost.com/business/2021/06/01/trump-dc-hotel-sale/)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Intermediate Accounting, Managerial Accounting, Uncategorized.

According to the New York Times, the Biden administration suspended oil drilling leases in the Arctic National Wildlife Refuge, unspooling a signature achievement of the Trump presidency and delivering on a promise by President Biden to protect the fragile Alaskan tundra from fossil fuel extraction.

Questions:

  1. How much oil is estimated to lie in this region?
  2. According to one quote in the article: ” Suspending leases in the Arctic Refuge is a major step [toward] __________________________.
  3. Does the suspension of the leases guarantee that drilling will be blocked in the Arctic refuge?
  4. What else has to happen?
  5. Why is this such an important issue?

Source:

Davenport, C., H. Fountain, and L. Friedman. (2021). Biden Suspends Drilling Leases in Arctic National Wildlife Refuge. The New York Times, June 1 (Retrievable online at https://www.nytimes.com/2021/06/01/climate/biden-drilling-arctic-national-wildlife-refuge.html)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Financial Accounting, Fraud Accounting, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized, Video Updates.

Four weeks after the Russian hack on Colonial Pipelines, the world’s largest beef supplier has been hit with a ransomware attack, threatening some of the U.S. meat supply.

Questions:

  1. Who is the company and how many facilities do they maintain?
  2. How much was paid to Russian hackers from Colonial Pipelines?
  3. What might be the effect on farmers if the plants are shut down for an extended time?

Source:

Collier, K. and W. Wilde. (2021). Cyberattack hits world’s largest meat supplier. yahoo!News. (Retrievable online at https://wileyaccountingupdates.com/wp-admin/post.php?post=5108&action=edit)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Intermediate Accounting, Managerial Accounting, Uncategorized, Video Updates.

According to Reuters, the shortfall in revenue for automakers due to a chip shortage is worse than anticipated.

Questions:

  1. What was the original revenue shortfall estimate for automakers due to a chip shortage?
  2. To what amount this revenue shortfall estimate increased?
  3. How many vehicles will this impact?
  4. How does this article explain the change in a strategy for supply-chain resiliency?

Source:

Reuters staff. (2021). Chip shortage to cost automakers $110 billion in revenues in 2021 – AlixPartners. Reuters.com (Retrievable online at https://www.reuters.com/article/us-autos-chip-shortage/chip-shortage-to-cost-automakers-110-billion-in-revenues-in-2021-alixpartners-idUSKBN2CV09H)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Financial Accounting, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized, Video Updates.

According to Reuters, Delta Air Lines will require all new hires in the United States to be vaccinated against COVID-19.

Questions:

  1. Does the requirement affect current employees?
  2. What will be the restriction for employees that are not vaccinated?
  3. How do you believe that this requirement will affect Delta’s bottom line?
  4. Discuss your thought concerning this policy.
  5. What will be the policies for passengers at this point?

Source:

Reuters Staff. (2021) Delta will require COVID-19 vaccine for new employees. Reuters.com, May 14 (Retrievable online at https://www.reuters.com/world/us/delta-will-require-covid-19-vaccine-new-employees-2021-05-14/)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Financial Accounting, Intermediate Accounting, Managerial Accounting, Uncategorized, Video Updates.

McDonald’s is raising the hourly wages for its U.S. company-owned restaurants by an average of 10%.

Questions:

  1. With this new raise at company-owned restaurants, how many workers does McDonald’s purpose to hire?
  2. With respect to the restaurant business, in general, why is McDonald’s doing this?
  3. What other fast-food restaurant, mentioned in the article and video, is also raising wages?
  4. How does this announcement impact McDonald’s franchisees?

Source:

Lucas, A. (2021). McDonald’s raises hourly wages for company-owned restaurants. CNBC.com, May 13 (Retrievable online at nbc.com/2021/05/13/mcdonalds-raises-hourly-wages-for-company-owned-restaurants.html)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Financial Accounting, Intermediate Accounting, Managerial Accounting, Uncategorized.

According to the Washington Post, the Colonial Pipeline system fuels a significant amount of the east coast’s gas supply. A recent cyberattack halted the supplier and led to panic purchases and price spikes.

Questions:

  1. Where were the highest rates of service station outages?
  2. Besides being a cyberattack, what were other characteristics of the attack?
  3. How much of the east coast’s gas supply does the Colonial Pipeline supply?
  4. Where is the source of the Colonial Pipeline’s petroleum?

Source:

Schaul, K., T. Meko, and D. Moriarty. (2021) Map of dry gas stations impacted by the cyberattack. The Washington Post, May 13 (Retrievable online at https://www.washingtonpost.com/business/interactive/2021/map-gas-shortages/?itid=sf_business)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Ethical Dilemma, Financial Accounting, Income Taxes, Managerial Accounting, Uncategorized.

According to the New York Times, new claims for unemployment benefits are inching down and a growing number of Republican governors around the country have announced that they are withdrawing from an array of federal pandemic-related jobless benefits.

Questions:

  1. Based on this withdrawal, how many workers will lose jobless claims and over what period?
  2. What will the programs being abandoned include?
  3. Employers, in what sectors, have complained of having trouble finding workers? 
  4. What states that have announced plans to end pandemic-related unemployment benefits, which are federally funded but administered by states, ahead of the Sept. 6 expiration date ?

Source:

Cohen, W. (2021). Plans to Reduce Jobless Benefits Spreads to 16 States. The New York Times, May 13 (Retrievable online at https://www.nytimes.com/2021/05/13/business/economy/weekly-jobless-claims.html)

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Financial Accounting, IFRS, Intermediate Accounting, Managerial Accounting, Uncategorized, Video Updates.

No, it’s not Chips A’Hoy! According to Reuters, U.S. President Joe Biden met with executives from major companies on Monday to discuss the global chip shortage that has severely hurt U.S. automakers and spurred Intel Corp to announce it plans to make chips for car plants at its factories in the next six to nine months.

Questions:

  1. What could the current supply crunch of chips lead to?
  2. How many corporate executives met with the Biden Administration on April 12?
  3. Executives from what tech companies were at the summit?
  4. How much has President Biden pledged to invest in semiconductor manufacturing and research as part of his broader focus on rebuilding U.S. manufacturing?

Source:

Bose, N. and S. Nellis. (2021). As Biden works to fix chips shortage, Intel promises help for hurting automakers. Reuters, April 12 (Retrievable online at https://www.reuters.com/article/us-usa-biden-chips-idUSKBN2BZ118)