What is the opinion based on the Treadway Commission? Why is the Treadway Commission so important?(See paragraphs below) Please raise thoughtful questions, analyze relevant issues, build on ideas, synthesize across readings and discussions, expand the class perspective, and appropriately challenge assumptions and perspectives.

The Treadway Commission started around 1985 when the commission began to study private sector financial reporting with the mission to identify factors that could lead to fraud and identify steps to reduce it. The Treadway Commission had three major objectives. First to consider the extent to which acts of fraud in financial reporting undermine the integrity of the reports, the opportunities to have fraud, how fraud can be prevented by detecting it sooner, if fraud is the result of a decline in professionalism, and lastly the extent to which the regulations and law may have contributed to the occurrence of fraud. Second is to examine the role of independent public accountants in detecting fraud in reference to if the detection has been neglected or insufficiently and can be enhanced. This also includes looking at auditing standards or procedures and their role in reducing fraud. Finally is to identify attributes of corporate structure that can contribute or fail to detect acts of fraud. The textbook explains that the commission focused on six recommendations the tone set by top management, the internal accounting and audit functions, the audit committee, management and audit committee reports, the practice of seeking second opinions from independent public accountants and quarterly reporting.

The Treadway Commission also started the Committee of Sponsoring Organizations who came out with a report called Internal Control- Integrated Framework, commonly referred to as the COSO report. This is a major source of guidance for internal control for both corporate governance and internal auditing. The COSO report is not without controversy as many frauds still relate to the main component of their internal control framework of the control environment.