Posts Tagged: compliance with regulations

Catch 22: Money from Legalized Marijuana

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, IFRS, Intermediate Accounting, International Accounting, Managerial Accounting, Video Updates.

Banks, including state-chartered ones, are reluctant to provide traditional services to legal marijuana businesses in Washington state and Colorado. Since the marijuana businesses are conducted almost entirely in cash, it is exceedingly difficult for these shop owners to open and maintain bank accounts, and ultimately accept credit cards. Questions: 1. Why won’t the banks open… Read more »

Deutsche Bank Shrinks its Balance Sheet

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, IFRS, Intermediate Accounting, International Accounting, Managerial Accounting.

Deutsche Bank said it would significantly shrink its balance sheet to comply with stricter leverage rules as the lender missed analysts’ expectations in the second quarter. Questions: 1. What are some of the factors on why the bank is shrinking its balance sheet? Be specific. 2. Why have Deutsche Bank’s profits fallen recently? 3. Explain… Read more »

Where are the Controls?: Corporate Ethical Breaches Identified by Auditors

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, IFRS, Intermediate Accounting, International Accounting, Managerial Accounting, Video Updates.

According to a 2011 internal audit, executives at the British drug maker GlaxoSmithKline were warned about critical problems with the way the company conducted research at its drug development center in China. Potential financial risk and regulatory action are likely due to the sales practices that are currently at the center of a bribery and… Read more »

Labor Department Violations

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, IFRS, Intermediate Accounting, Managerial Accounting.

On Tuesday, the Labor Department announced that it had levied a $34,000 fine on C. J.’s Seafood for safety violations. This is the company that supplies crawfish to WalMart. In addition, the agency also ordered C. J.’s to pay $214,000 for wage and hour violations. Questions: 1. Where is the company based? 2. Specifically, how… Read more »