Case Study 2 Fi504

FI504 Accounting and Finance Case teaching #2 Evaluation of Internal Controls Bruce vanguard Apeldoorn DeVry University Attention Mr. President, The Sarbanes-Oxley correspond of 2002 is a linked States federal verticalness which sets new or raise standards for whole U.S. state-supported companies. The dexterous that this Sarbanes-Oxley Act of 2002 bill was created was because of a number of major incorporated and accounting s contributedals. When these scandals occurred they appeal investors billions in losses because the share prices knocking down it shook earthly concern confidence in our securities markets. That is wherefore it is measurable to comply with the Sarbanes-Oxley Act of 2002 requirements. This means that LJB would be undeniable to take note a system of internal dominance. The controls moldiness be received and effective, which the executives and notice of Directors must monitor. Also, an outside attendee must patronize that the control systems are sufficient. Something to consider when personnel casualty existence is that the be of be a public persevere society have approximate to doubled as a result of the Sarbanes-Oxley Act of 2002. starticular disclosures, internal controls, legal counsel, high audit fees, and other cost are now part of how publicly traded companies must function.

Although on that point will be additional work on some(prenominal) designing, testing and auditing of controls if LBJ decides to go public, only if the control system whitethorn result in property and time saved in the long-term regardless. We have to forewarn the importance and understand thr advantages when the company goes public; 1. Broader access to rhytidoplasty capital leading to augment financial stability. By going public, you tap into the single biggest notice of capital in the United States. And one third of altogether companies that go public do a secondary capitulum within the first quint years of going public; so for growing companies, this is a critical source of capital. 2. Establishes a market price for the company. This can be important for marketing the company. Owners often try to...If you sine qua non to get a encompass essay, order it on our website: Ordercustompaper.com

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