The term of creative accounting refers to select accounting methods for the preparation of financial statement that provide the result desired by the accounting preparers. Especially when the firms are under a financial difficulty, the need of creativity would be very apparent because it might be difficult for parties such as auditors, with an oversight function, to report that the account preparers are doing anything wrong (Deegan, 2010).
When the economy is moving into recession, the most companies are likely to manipulate their financial statement to be in the upward direction in order for the favourable profit by overstating the asset and understating the liability. b) No, the roles and responsibilities of auditors and regulators are very vital at improving control. Auditors perform audits to evaluate whether the policies and process are designed and operating effectively and provide recommendations for improvement. They also help to monitor and evaluate the effectiveness of the organizations risk management processes.
They may prepare a comprehensive assessment of any wrong doing that might lead the organization into financial loss. As for the role of regulators, they will determine how best to cause firms subject to their jurisdiction to develop control policies and procedures to meet the performance objectives. In fact, auditors and regulators are part of the pillars of corporate governance. The auditors and regulators definitely work to predict the warning of the recession and give notification to the company.
However, they could not be in position to finish final decision and to control every improvement and process. Just like the HIH insurance case, the directors still make wrong decision, even if there was the concurrence of the actuaries and the auditors. It does not matter how efficiently they played their role, it matters how efficiently the four pillars which are boarder of directors, management, auditors and regulators could be harmonized with. In other word, this failure should not be the reason to reduce the roles of auditors and regulators.
Why Work with Us
Top Quality and Well-Researched Papers
We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.
Professional and Experienced Academic Writers
We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.
Free Unlimited Revisions
If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.
Prompt Delivery and 100% Money-Back-Guarantee
All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.
Original & Confidential
We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.
24/7 Customer Support
Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.
Try it now!
How it works?
Follow these simple steps to get your paper done
Place your order
Fill in the order form and provide all details of your assignment.
Proceed with the payment
Choose the payment system that suits you most.
Receive the final file
Once your paper is ready, we will email it to you.
Our Services
No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.
Essays
No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.
Admissions
Admission Essays & Business Writing Help
An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.
Reviews
Editing Support
Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.
Reviews
Revision Support
If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.