Ebook Fraud examination (3rd edition): Part 2
➤ Gửi thông báo lỗi ⚠️ Báo cáo tài liệu vi phạmNội dung chi tiết: Ebook Fraud examination (3rd edition): Part 2
Ebook Fraud examination (3rd edition): Part 2
PARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2 and Inadequate Disclosure FraudsFinancial Statement FraudLearning Objectives I After studying this chapter, you should be able to:1Discuss die role that financial statements play in capital markets.2Understand the nature of financial statement fraud.3Become familiar with financial statement fraud s Ebook Fraud examination (3rd edition): Part 2tatistics.4Sec how financial statement frauds occur and arc concealed.5Outline rhe framework for detecting financial statement fraud.6Identify financiEbook Fraud examination (3rd edition): Part 2
al statement fraud exposures.7Explain how information regarding a company’s management and directors, nature of organization, operating characteristicPARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2of three chapters on financial statement fraud, also known as management fraud. This chapter discusses die numerous financial slalctncnl frauds discovered in corporate America between 2000 and 2002. We discuss die common elements of these frauds and the conditions that led Io this rash of financial Ebook Fraud examination (3rd edition): Part 2statement fraud. Ein.inci.ll statement frauds almost always involve company management and arc: the result of pressures to meet internal or external eEbook Fraud examination (3rd edition): Part 2
xpectations. This chapter provides a framework for detecting financial statement fraud, whic h emphasizes the: need Io consider the: context in w hichPARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2sylvania. From the start, the company grew rapidly through acquisitionsand the opening of new stores, expanding to five northeastern states by 1965. It was officially named Rite Aid Coiporation in 1968, the same year it made its first public offering and started trading on the American Stock Exchang Ebook Fraud examination (3rd edition): Part 2e. In 1970, Rite Aid moved to the New York Stock Exchange. Today it IS one of the nation's leading drugstore chains, employing approximately 70,000 peEbook Fraud examination (3rd edition): Part 2
ople in 27 states and the District of Columbia. Rite Ad currently operates approximately 3,330 stores with total sales of $17.5 billion at the end of PARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2tives of Rite Aid. The U.S. attorney for the middle district of Pennsylvania simultaneously announced related criminal charges. The SEC's complaint charged former CEO Martin Grass, former CFO Frank Bergonzi, and former Vice Chairman Franklin Brown with conducting a wide-ranging accounting fraud sche Ebook Fraud examination (3rd edition): Part 2me. The complaint alleged that Rite Aid overstated its income by massive amounts in every quarter from May 1997 to May 1999. When the wrongdoing was uEbook Fraud examination (3rd edition): Part 2
ltimately discovered, Rite Aid was forced to restate its pretax income by S2.3 billion and net income by $1.6 billion, the largest restatement ever rePARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2himself at the expense of Rite Aid's shareholders. Finally, the SEC alleged that Grass fabricated finance356 Pait 5 Management Fraudcommittee minutes for a meeting that never occurred, in connection with a corporate loan transaction.Wayne M. Carlin, regional director of the SEC's Northeast Regional Ebook Fraud examination (3rd edition): Part 2Office, stated: "The charges against Rite Aid’s executives reveal a disturbing picture of dishonesty and misconduct at the highest level of a major coEbook Fraud examination (3rd edition): Part 2
rporation. Rite Aid's former senior management employed an extensive bag of tricks to manipulate the company's reported earnings and defraud its invesPARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2 edge of col lapse, Grass fabricated corporate records in a vain effort to forestall the inevitable."The SEC's complaint alleged the following:Accounting Fraud Charges• As a result of the fraudulent accounting practices described below. Rite Aid inflated its reported pretax income by the following a Ebook Fraud examination (3rd edition): Part 2mounts:IQ980.382Q980.663Q980.16FY980.09IQ990.712Q990.055333Q990.94FY99Percentage not mathematically calculable—reported pretax income of s 199.6 milliEbook Fraud examination (3rd edition): Part 2
on, when nctunl results were loss of SI4.7 millionIQ000.54The schemes that Rite Aid used to inflate its profits included the following:•Upchargcs—RitePARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset, Ebook Fraud examination (3rd edition): Part 2 did not disclose to the vendors, resulted in overstatements of Rite Aid’s reported pretax income of $8 million in FY 1998 and $28 million in FY 1999.PARTManagement FraudCHAPTER 11Financial Statement FraudCHAPTER 12Revenue- and Inventory-RelatedFinancial Statement FraudsCHAPTER 13 Liability, Asset,Gọi ngay
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