Due Week 7 and worth 180 points
Based on the requirements of the Sarbanes-Oxley Act and SEC reporting requirements for publicly traded companies,
Write a four to five (4-5) page paper in which you:
- Evaluate the critical elements of accounting quality. Compare and contrast balance sheet quality with earnings quality. Explain why both are important to financial statement readers.
- Share one example of earnings management, explaining how it might be perpetrated and ways that investors might detect such behavior.
- Examine the role of the executive leadership team (e.g., CEO and CFO) in establishing an ethical environment and corporate culture that promotes high quality financial reporting.
- Assess the potential consequences for a publicly traded company when accounting quality is inadequate. Explain how management might minimize those consequences.
- Evaluate the requirements of the Sarbanes-Oxley Act regarding accounting quality, indicating whether the current provisions are adequate to protect stakeholders. Support your position.
- Use at least five (5) quality academic resources in this assignment. Note: Wikipedia and similar websites do not qualify as academic resources. You have access to Strayer Universityâ€™s Online Library at https://research.strayer.edu and the iCampus University Library Research page at https://icampus.strayer.edu/library/research.
Your assignment must follow these formatting requirements:
- Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
- Include a cover page containing the title of the assignment, the studentâ€™s name, the professorâ€™s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.