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Research a company that has been in the news for unethical practices, such as Enron, Tyco,

• Research a company that has been in the news for unethical practices, such as Enron, Tyco,

Global Crossing, or WorldCom.

• Post a 250- to 300-word response that summarizes your ideas about the following:

o What was the nature of the controversy regarding this company’s practices?

o How were accounting practices involved?

o If you had been an accountant for this company, how would you have acted? Explain

why.

o What might have been done to prevent the controversy?

o What was the affect of unethical behavior on the profitability of the company?

 

CheckPoint: Regulatory Bodies

• Post your response to the following question, using 250 to 300 words: What are the major

regulatory bodies and their functions?

 

Assignment: Internal Controls

• Write a 750- to 1,050-word paper in APA format, including citations and references,

summarizing your ideas about internal controls.

• Include the following:

o An introduction to internal controls, explaining in your own words the two primary goals of

internal control

o A description of how the Sarbanes-Oxley Act of 2002 has affected internal controls

o An explanation of why a company that announces deficiencies in its internal controls

would probably experience a fall in the price of its stock

o A synopsis of what you consider to be the limitations of internal controls – Cite specific

examples.

o A conclusion that summarizes your main points

o A comparison of the internal control principles of (1) establishing responsibility, (2) using

physical, mechanical, and electronic controls, (3) segregation of duties, and (4)

independent internal verification.

• Post your completed paper as an attachment.

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