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AC/504 AC504 AC 504 Unit 1 Assignment 2


AC 504 Unit 1 Assignment 2 WorldCom Situation Read the Ethics Case WorldCom: The Final Catalyst on pp. 112–118 and answer the following questions from pp. 118: 1, 2, 3, 4, 5, and 6. Questions: Describe the mechanisms that WorldCom’s management used to transfer profit from other time periods to inflate the current period. 1. Why did Arthur Andersen go alone with each of these mechanisms? 2. How should WorldCom’s board of directors have prevented the manipulations that management used? 3. Bernie Ebbers was not an accountant, so he needed the cooperation of accountants to make his manipulations work. Why did WorldCom’s accountants go along? Why would the board of directors approve giving its Chair and CEO loans of over $408 million? 1. How can a board ensure that whistleblowers will come forward to tell them about questionable activities? Accounts Assignment Help, Accounts Homework help, Accounts Study Help, Accounts Course Help


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