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

The U.S. remains the only industrialized country that doesn’t guarantee workers paid family leave.

Questions:

  1. What pressures on U.S. employers are causing them to expand benefits in order to attract and retain workers?
  2. What are some of the increasing trends to cover things that plague families beyond parental leave?
  3. According to the Bureau of Labor Statistics, what percentage of civilian workers in 2018 could get paid time off from work to care for a new child or ill family member? What percentage of workers at small companies could get the same time off?
  4. What is the new bill that President Trump signed with respect to Paid Family Leave?

Source:

McGregor, J. (2019). The new paid family leave. The Washington Post, Dec. 30 (Retrievable online at https://www.washingtonpost.com/business/2019/12/30/new-paid-family-leave/?arc404=true).

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, Video Updates.

After Bishop Michael J. Bransfield was banished from his post as head of the Catholic Church in West Virginia, the church-owned residence he had lived in was put up for sale.

Questions:

  1. Why do you think the diocese was willing to take a $3.4 Million Loss?
  2. Why do you think that the diocese did not hire a real estate agent, advertise the property’s sale online, or hold an open house?
  3. In addition to his home, what other excessive spending is attributed to Bishop Bransfield?
  4. Was this case considered a “fraud?” Why or why not?

Source:

Davis, A.C. (2019). Disgraced bishop spent $4.6 million on mansion that sold for only $1.2 million. The Washington Post, Dec. 29 (Retrievable online at https://www.washingtonpost.com/investigations/disgraced-bishop-spent-46-million-on-mansion-that-sold-for-only-12-million/2019/12/29/6d7ad002-225f-11ea-a153-dce4b94e4249_story.html).

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.

Elon Musk has implied that the $420 stock price he floated for taking Tesla private was not a covert reference to weed, contrary to widespread speculation.

Questions:

  1. What number is a widely recognized coded reference to marijuana and why?
  2. Which media outlet interviewed Elon Musk when he mentioned the 420?
  3. Based on past news items about Elon Musk, do you believe the interview or the speculated “weed” backstory about the number? Why or why not?
  4. What do they mean about the “premium” and “going private” in the story? Explain.
  5. When was $420 a reality for Tesla?

Source:

Bostock, T. (2019). Elon Musk’s $420 target for Tesla stock probably wasn’t a reference to weed. Businessinsider.com, Dec. 23 (Retrievable online at https://www.businessinsider.com/elon-musk-denies-his-420-stock-about-weed-wasnt-high-2018-8)

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

According to Accounting Today, Bernie Ebbers, infamous for the World Com fraud was granted early release for health reasons.

Questions:

  1. What is the First Step Act and why did the author think that this had a bearing on the case?
  2. How long had Bernie Ebbers served?
  3. When MCI went bankrupt as a function of the fraud, which company acquired it?
  4. If you had been an investor, would you have approved of early release? Why or why not?
  5. At the end of the article, what other fraudsters were mentioned and what were the outcomes of their appeals?

Source:

Dolmetsch, C. (2019). WorldCom’s Ebbers wins early release . Accounting Today, December 20 (Retrievable online at https://www.accountingtoday.com/articles/worldcoms-bernard-ebbers-wins-early-release-from-prison?position=editorial_10&campaignname=ACT%20Daily-12232019&utm_source=newsletter&utm_medium=email&utm_campaign=ACT_Daily_Daily_TEST%2B%27-%27%2B12232019&bt_ee=dTd6MPjduXoPmCpPvg4x7ppeZw01kzXlFdPM5isNbuk%3D&bt_ts=1577098906745)  

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, Video Updates.

According to the New York Times, Boeing fired its chief executive officer, Dennis A. Muilenburg, on Monday after investors became weary of Muilenburg’s clumsy handling of the 737 Max crisis that angered lawmakers, airlines, regulators, and victims’ families.

Questions:

  1. Who is going to replace Muilenburg?
  2. When do the Boeing Board and Washington insiders typically meet for a telephone conference and why?
  3. How much has Boeing’s stock fallen during the crisis and how many companies are affected by changes in its supply chain?
  4. What is the Starliner and what happened to it this week?

Source:

Gelles, D. and N. Kitroelf. (2019). Boeing Fires C.E.O. Dennis Muilenburg. The New York Times, Dec. 23 (Retrievable online at https://www.nytimes.com/2019/12/23/business/Boeing-ceo-muilenburg.html)

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

According to the Washington Post, Boeing will halt production of its new 737 MAX commercial jetliner in January 2020.

Questions:

  1. How long will the production halt last?
  2. How many employees will be laid off?
  3. How much is it estimated that the entire U.S. gross domestic product for a period this year has been impacted by the problems with the 737 MAX?
  4. What other companies do you think have been impacted by the 737 MAX problems?

Source:

Gregg, A. (2019) Boeing will halt 737 MAX production in January as FAA reviews software fix. The Washington Post, Dec. 16 (Retrievable online at https://www.washingtonpost.com/business/2019/12/16/boeing-will-halt-max-production-january-faa-reviews-software-fix/)

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

According to BusinessInsider.com, the Trump Administration is pushing for funds meant for low-income neighborhoods to be funneled to the NFL for a new stadium.

Questions:

  1. Who proposed the rule change and to whom?
  2. When was the law or rule passed?
  3. What are the pros and cons for putting stadiums in opportunity zones?
  4. Do you agree with using this funding for stadiums? Why or why not?

Source:

Zeballos-Roig, J. (2019). The Trump administration may allow banks to treat NFL stadium financing as aid for the poor – and they could even get a big tax break. BusinessInsider.com, Dec. 16 (Retrievable online at https://markets.businessinsider.com/news/stocks/trump-administration-may-allow-nfl-stadium-financing-designate-aid-poor-2019-12-1028766746)

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

According to the Washington Post, a pair of Las Vegas computer programmers pleaded guilty last week to operating massive unauthorized streaming services that authorities say rivaled the libraries of Netflix, Amazon Prime and Hulu and cost copyright owners millions.

QUESTIONS;

1. How did the two men steal these amounts of money?

2. What was iStreamitAll’s subscription cost?

3. How many subscribers did these criminals have and how much were they able to earn each year?

4. When are they scheduled to go to trial?

Source:

Telford, T. (2019). Two men plead guilty to running illegal streaming services with more content than Netflix, Hulu. The Washington Post, Dec. 16 (Retrievable online at https://www.washingtonpost.com/business/2019/12/16/men-plead-guilty-running-illegal-streaming-services-with-more-content-than-netflix-hulu/)

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

According to Accounting Today, the founder of apparel licenser Iconix Brand Group, which last month settled a high-profile dispute with the rapper Jay-Z, was charged by federal prosecutors with inflating the company’s revenue and earnings.

Questions:

  1. Who was named in the indictment? What are their roles in the investigation?
  2. How much was the civil settlement that Iconix paid to resolve 2013 to 2015 allegations that financial data were manipulated and transactions were not properly accounted for?
  3. This is the third suit for alleged fraud brought by Manhattan U.S. Attorney Geoffrey Berman in the last 4 months. What were the other two?
  4. What was Jay-Z’s role in the SEC investigation? What was Jay-Z’s settlement with Iconix and what was it for?

Source:

Accounting Today staff. (2019) Ex-Iconix CEO charged in accounting fraud. Accounting Today, Dec. 5 (Retrievable online at https://www.accountingtoday.com/articles/iconix-brands-ex-ceo-charged-by-u-s-in-accounting-fraud)

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

According to Business Wire, BDO USA has appointed its first woman chair of the Board.

Questions:

  1. Who is this woman and how long has she been in the accounting profession?
  2. In what primary areas of accounting has she worked?
  3. When did she take over this post as chairperson?

Source:

Business Wire Staff. (2019). BDO USA, LLP Names Kelly Johnson as Board Chair; Four Partners Elected to Board of Directors. Business Wire, Dec. 3 (Retrievable online at https://finance.yahoo.com/news/bdo-usa-llp-names-kelly-140000802.html