Accounting fraud Coursework Example | Topics and Well Written Essays - 500 words

Accounting fraud - Coursework lessonThe aspect of Fair Value Accounting is being used differently all over the homo but it was wrongly used in Enron because it was not being checked upon by the relevant authorities. It becomes requisite for the regulation bodies to keep a check upon any such activity that is being carried out by the different companies. All these examples will help me in avoiding these issues while pursuing my career so that these kinds of fallacious activities are completely eradicated from the society.In my view accounting fraud is related to any act that conceals the facts relating to the monetary resource of the company. This concealment of facts can lead the potential buyers to be interested in the company and hence the shares of the company. some other example of accounting fraud can be taken in the case of companies who deliberately grip their financial bookings to an appropriate time in the future where they may balance out the profits. This specifical ly meaning that the company would cross out the transactions that are decreasing their total worth. This transaction can later on be put to the journals when the company has enough to overshadow the losses. This can help the company to discharge shares and increase their market value as Enron was able to do and achieve higher profits than they in reality deserved. In other words this practice can co-relate to the accounting frauds that can easily take stray in the absence of the regulatory bodies.I believe that the companies can take different measures to avoid fallacious activities that are being conducted. This revolves around the hierarchy of the company and the management is primarily responsible for any example of fraudulent activity that is taking place in the company. The managers should be held responsible for any omission or suppression of the transactions in the journals. This way the managers would be careful when handling their employees