Posts Tagged: litigation

Trademarks Gone Wild

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

A bitter legal battle is raging between a best-selling author and a management guru against America’s largest Greek yogurt manufacturer. For Chobani, it is a fight about an ambitious brand campaign and its straining process that is built around the phrase “How Matters.” For Dov Seidman, “How Matters” revolves around his business of helping companies… Read more »

Why Won’t My Car Start?

Posted by & filed under Accounting Information Systems, Accounting Principles, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Intermediate Accounting, Managerial Accounting, Video Updates.

Before many subprime borrowers drive their car off the lot, their car is equipped with a starter interrupt device, which allows lenders to remotely disable the ignition. This article and video highlight the problematic issues related to “electronic repossession.” Questions: 1. What percentage of car loans are estimated to be lending for subprime borrowers? 2…. Read more »

Ouch! Sometimes Consent Forms Hurt!

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

According to the New York Times, an increasingly common practice used by hospitals is that some medical experts call drive-by doctoring assistants, consultants, and other hospital employees into cases and these incidents are charging patients or their insurers hefty fees. Most times patients do not realize these individuals have been involved or are charging until… Read more »

Payroll Accounting Fraud

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

A former accountant for the University of Sioux Falls has been indicted for wire fraud for reportedly collecting more than $25,200 in unearned paychecks. Brent Alan Fowler, 52, faces 20 counts of wire fraud for individual payroll deposits. Questions: 1. What is the potential jail time for Mr. Fowler, if he receives the maximum punishment?… Read more »

European Backlash!

Posted by & filed under Accounting Information Systems, Auditing, Financial Reporting and Analysis, Financial Statement Analysis, Managerial Accounting.

According to the New York Times, across Europe, Google has been under fire. This reflects the broader challenges facing American technology companies. Fairly or not, Google has become a glaring proxy for criticism of an intrusive American government and concern over America’s unmatched technology dominance. Questions: 1. What other U.S. tech companies are being carefully… Read more »

The Justice System and The Costs of Being Poor

Posted by & filed under Accounting Principles, All Articles, Cost Accounting, Financial Accounting, Financial Statement Analysis, Intermediate Accounting, Managerial Accounting.

According to Mr. Edsall, the new growth industry, on the backs of the poor, seems to be private probation, correctional, and detention companies. In fact, Corrections Corporation of America, is listed on the New York Stock Exchange and reported revenues of $1.69 billion in 2013. Questions: 1. This collection of private probation companies and the… Read more »

Rip Off: We Work Hard for the Money!

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

Although Guadalupe Rangel worked nearly 70 hours per week, he never saw any overtime pay at the Schneider warehouse in Mira Loma, California. As a result he joined a lawsuit involving hundreds of warehouse workers where he will likely receive more than $20,000 in back pay as part of the recent $21 million legal settlement… Read more »

Fraudsters are always looking for a way to rip off the Government

Posted by & filed under Accounting Principles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Fraud Accounting, Intermediate Accounting, Managerial Accounting, Video Updates.

This article details a wheelchair scam that was designed to exploit blind spots in Medicare, which often pays insurance claims without checking them first. The fraud begins with criminals disguised as medical-supply companies. Questions: 1. Based on the article, which major internal control allowed this fraud to happen? 2. What type of control slowed down… Read more »

Bad Blood

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, Auditing, Cost Accounting, Managerial Accounting, Video Updates.

Questions: 1. Explain why this is such an unusual labor action. 2. Based on John A. Davis’ blog, what could the board chairman do to help rebuild family unity and commitment to Market Basket? 3. At this point, Market Basket as a continuing entity is hemorrhaging financially. From a corporate governance standpoint, do you think… Read more »

Lose-Lose and Win-Win: Time for Change

Posted by & filed under Accounting Principles, All Articles, Cost Accounting, Financial Reporting and Analysis, Managerial Accounting.

Most airline tickets are nonrefundable and require a hefty change fee plus any fare differential. And many hotel rooms are totally nonrefundable and nonchangeable, so you could lose the entire value of your room. So why isn’t it the same policy when the airlines or hotel changes your arranged plans? As this article points out,… Read more »