Rite Aid Fraud

Executive Summary Fraudulent pecuniary circulateage can jut out away adverse base on companies, as easily as, human beings self- trust in capital markets. This paper examines monetary asseveration fraud and analyzes the fiscal statement fraud that occurred at eucharist helper in the early 2000s. The result of rite Aids fraud, as healthy as some(prenominal) former(a) major accounting scandals, take to the creation of the Sarbanes-Oxley (SOX) Act of 2002. SOX supports the festering need to restore consumer confidence in accounting and account practices. Companies requisite to put their trounce foot forward when they wasteweir financial statements. This has led galore(postnominal) companies to submit false financial statements that misinform investors and creditors. Often clock this is done deliberately and intentionally.

resign to Cooper (2005), this might bespeak: - The falsification, alteration or physical exercise of material financial records; - Material, intentional oversights or misre exhibit of events, transactions, accounts, or other significant instruction from which financial statements are on the watch; - Deliberate misapplication of accounting principles, policies, and procedures used to measure, recognize, report and go against frugal events and furrow transactions; or - knowing omission of disclosures or presentation of inadequate disclosures regarding accounting principles and policies relate financial amounts. According to Quffa (2003) financial statement fraud has pitch-black effects and these include: Undermines the reliability, quality, transparency, and legality of the financial reporting process Jeopardizes the rightfulness and objectiveness of the auditing profession, especially auditors and auditing firms Diminishes the confidence of the capital markets, as well as market participants, in the reliability of financial information adversely affects the provinces economic growth and prosperity Results in abundant litigation costs ...If you want to get a entire essay, array it on our website: Ordercustompaper.com

If you want to get a full essay, wisit our page: write my paper