Consider the following and provide thoughtful analysis and reflection: Suppose you were the CFO of Global Mortgage Corporation, a $100 billion investment company who made profits by investing in subprime mortgages. Global began business in 1995 and found great success surpassing the $100 billion mark in 2007. All of the companies investments in mortgages were secured by homes and business property mostly in California. In 2008, you see firsthand the devastation a mortgage meltdown is causing the economy, and your CFO wants to know how all of this will affect the tax situation at the end of the year. Being an up and coming controller, you jump on the task.

For discussion: How would you prepare for this work assignment: what tools you would use, and how you could eliminate missing important concepts which could cause your company millions of tax dollars?