Discussion #8

Respond to the two unrelated questions in a single post by the end of the day on Thursday (). This is a post first forum. In order to see other responses to these questions, you must first post your response.

Once you have made your initial response, please respond to a post of one of your fellow classmates by 11pm on Sunday.

In your follow-up response, it is not necessary for you to comment on all the points raised by your classmate. However, to receive full credit, you need to state something more than simply I agree with you

Prompt a

Can you come up with a specific example where there might be incentives by management to bias accounting numbers one way or another.

Prompt b

XYZ Corporation is an U.S. based corporation. It has decided to move some of its accounting and finance operations abroad. The company will continue to use U.S. GAAP for external accounting reporting purposes. The national culture to where these operations will be based is very different than the United States. Should the US based company management insist that the employees located in the international location follow the U.S. based corporate culture? Explain?