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 the Financial Times, Citigroup’s head of high-yield bond trading for Europe, the Middle East, and Africa has been suspended for routinely not paying for food in the company’s cafeteria.

Questions:

  1. How much was the trader routinely making at Citigroup?
  2. Why was Mr. Shah such an important trader for Citigroup?
  3. Who was the other example that the article mentioned?

Source:

Everett, G. (2020) A Citigroup trader making more than $1 million a year has been suspended on allegations of stealing food from the company cafeteria. Market Insider, Feb. 4 (Retrievable online at https://markets.businessinsider.com/news/stocks/citigroup-head-trader-suspended-alleged-stealing-food-cafeteria-fixed-income-2020-2-1028873041)

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According to the New York Times, the former chief of WorldCom, convicted in one of the largest corporate accounting scandals in U.S. history, died yesterday, just over a month after his early release from prison.

Questions:

  1. What happened to World Com in 2002?
  2. How long was Ebbers sentence and what were the allegations against him?
  3. How did Ebbers start his career?

Source:

Staff. (2020). Bernie Ebbers, Ex-CEO Convicted in WorldCom Scandal, Dies. The Associated Press in the New York Times, Feb. 3 (Retrievable online at https://www.nytimes.com/aponline/2020/02/03/business/bc-us-obit-bernard-ebbers.html)

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

According to the New York Times, L Brands (the parent company for Victoria’s Secret and Bed, Bath & Beyond) has somehow avoided the messy board scrutiny of cronyism and time devoted to gender misconduct and sexual harassment training. Instead, the company has focused on the practice of retaliation against those alleging sexual harassment complaints.

Questions:

  1. At the middle of this story is Monica Mitro, one of the highest-ranking female executives. Why didn’t Ms. Mitro go to Human Resources with her allegations of inappropriate treatment?
  2. For the accounting professional, why is this case important?
  3. What happened after she went to a person she thought she could trust and who was this person within L Brands?
  4. Why didn’t the Board do anything about this situation?
  5. What happened as a result of Ms. Mitro’s retaliation lawsuit?
  6. Opinion: Do you think that L Brands is unique?

Source:

Stewart, J.B. (2020). A Top L Brands Executive Complained of Harassment. Then She Was Locked Out. The New York Times, Feb. 3 (Retrievable online at https://www.nytimes.com/2020/02/03/business/victorias-secret-l-brands-leslie-wexner.html)

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According to the Wall Street Journal, Anheuser-Bush InBev SA, the world’s largest brewer, has developed a machine-learning technology that can identify risky business partners and potentially illegal payments.

Questions:

  1. How does the analytics platform, named Brew Right, proactively monitor legal risks and prevent violations?
  2. How do companies typically examine the compliance practices of acquired businesses?
  3. How does BrewRight pull data and manipulate it for learning purposes or investigations?

Source: Tokar, D. (2020). AB InBev Taps Machine Learning to Root Out Corruption. The Wall Street Journal, Feb. 1 (Retrievable at https://www.wsj.com/articles/ab-inbev-taps-machine-learning-to-root-out-corruption-11579257001?mkt_tok=eyJpIjoiTldSak1USTJNbVF4WXpVMCIsInQiOiJVbk1TMElvZnFQWGZyTmQydnJOWlFlSEJLWWVYa2RkZXZPOTcxTzl1dWNSWjdLSnVOVmxrZVcrc0hWMk44WitWNHhseTZYTVZEd2NkMEVHSHNxa2taXC9QQVVkV2lXWGFKTkNBaUN0bFM3OEVTQ2VWVlFRZldzSHBSOHRyOHU4YzNCZGhHMkFoQTV1Z1hFaDU5M3VzdmNRPT0ifQ%3D%3D)

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According to the New York Times, General Motors said that it was investing $2.2 billion in a Detroit plant where it will produce all-electric trucks and sport utility vehicles, fulfilling a key promise made during last year’s union negotiations.

Questions:

  1. What other efforts are afoot in Detroit to reinvigorate Detroit, the legacy center of the American automotive industry?
  2. What is Michigan MEGA and its role in this reinvigoration?
  3. How many vehicles has GM built at Detroit-Hamtramck since it opened in 1985?
  4. According to the article, how many automotive jobs have been created in the Detroit area in recent years?

Source:

Chokshi, N. (2020). G.M. Making Detroit Plant a Hub of Electric and A.V. Efforts. The New York Times, Jan. 27 (Retrievable online at https://www.nytimes.com/2020/01/27/business/gm-detroit-electric.html )

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According to Business Insider, Walmart is testing higher starting wages for some store employees.

Questions:

  1. What are the two new positions with the higher starting salaries?
  2. What will the higher salaries be as compared to the standard hourly salary?
  3. What is the new model Walmart is promoting with this change?
  4. Besides the new model, why is Walmart doing this?

Source:

Climent, S. (2020). Walmart is testing higher starting salaries for some employees in 500 stores as the war for talent heats up. Business Insider, Jan. 27 (Retrievable online at https://www.businessinsider.com/walmart-tests-higher-minimum-wage-stores-2020-1)

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Some of the biggest names in gaming are leaving Twitch for extremely lucrative contracts, according to CNN.

Questions:

  1. What is Twitch?
  2. What are gamers doing instead of staying with the platform that has brought them fame?
  3. What tech platforms are luring these gamers?
  4. How much revenue has the online video gaming industry earned in 2019?

Source:

Liao, S. (2020). Gaming’s biggest names are ditching Twitch for $10 million contracts. CNN Business, Jan. 27 (Retrievable online at https://www.cnn.com/2020/01/26/tech/video-game-streaming-wars/index.html).

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 BusinessInsider.com, Shake Shack has rolled out a four-day workweek for managers at a third of its locations.

Questions:

  1. What other chain restaurant CEOs interviewed in the article see labor as its biggest challenge?
  2. What other benefits are being tested by some chains to retain and attract good employees? Discuss.
  3. What is the domino effect that the article mentions?

Source:

Taylor, K. (2020). Shake Shack has rolled out a 4-day workweek at dozens of locations, as the CEO says it’s ‘never been harder’ to attract and retain workers. BusinessInsider.com, Jan. 14 (Retrievable online at https://www.businessinsider.com/shake-shack-expands-four-day-work-week-managers-2020-1).

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According to BusinessInsider.com, restaurants are delivering more food than ever before. 

Questions:

  1. How are delivery sales of food expected to compare from 2011 to 2022?
  2. How does the delivery revenue compare to delivery profit?
  3. For chain restaurants, what is the main problem with using services like Uber Eats or GrubHub to deliver food?
  4. What does the article suggest that many restaurants will do to increase delivery profit?

Source:

Taylor, K. (2020). Delivery is set to be restaurants’ biggest challenge in 2020, as workers battle ‘tablet hell’ and customers brace for price increases. BusinessInsider.com, Jan. 20 (Retrievable online at https://www.businessinsider.com/delivery-growth-and-questions-for-restaurants-2020-1)

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According to the New York Times, Micron Technology, an Idaho semiconductor company, is at the heart of Mr. Trump’s trade war.

Questions:

  1. What products does Micron make?
  2. How is the trade deal meant to help Micron?
  3. How will the trade deal hurt Micron?
  4. What does the trade deal fail to do?

Source:

Swanson, A. and C. Kang. (2020). Trump’s China Deal Creates Collateral Damage for Tech Firms. The New York Times, Jan. 20 (Retrievable online at https://www.nytimes.com/2020/01/20/business/economy/trump-us-china-deal-micron-trade-war.html)