Artificial intelligence is a topic of many science fiction tales in which it has dangerous consequences. In reality, the use of AI is assisting all kinds of industries and helping workers thrive against all kinds of economic factors. In accounting, AI enables greater focus on human interaction, making it chiefly important in customer communication and satisfaction. But what … [Read more...] about How AI Is Allowing Accountants to Thrive
The Financial Accounting Standards Board (FASB) was established in 1973. FASB is an independent body. It is located in Norwalk, Connecticut, United States. The FASB established the accounting and financial standards for the private and public companies as well as not for profit organizations following GAAP (Generally Accepted Accounting Principles). The Securities and Exchange … [Read more...] about The FASB and its Mission.
The US Congress created the Securities and Exchange Commission through the Securities Exchange Act of 1934. This act empowers the Securities and Exchange Commission and grants it broad authority over all the aspects of the securities industry. Securities Industry in the United States Traditionally, three types of organizations have been a part of the … [Read more...] about Securities Exchange Act of 1934.
Role of Information Technology in Financial Reporting and Management. How do banking and finance sector stand to gain from Information technology? Information technology has continued to play an important role in the growth of the business industry in the 21st century. The advent of computers, IT and the Internet has changed the way businesses operate. From HR to … [Read more...] about Role of Information Technology in Financial Reporting and Management
What was the role of the corporate culture of Enron in giving rise to the century's worst financial scandal? How it shaped the disaster that gave birth to the SOX? At the turn of the 21st century, the biggest scandal rocked the financial world. The Enron scandal turned out to be one of the worst cases that brought to light the lack of accountability among financial … [Read more...] about corporate culture of Enron and how it bred a scandal
The Sarbanes Oxley Act of 2002 The Enron scandal and its collapse occurred in 2001. The scandal proved self-regulation and peer review were insufficient to maintain accounting ethics. As a result, the Sarbanes Oxley Act of 2002 was introduced. The Act came into force after a series of Congressional hearings on the Enron scandal. The scandal had shaken the public’s and … [Read more...] about The SOX: Increased accountability of the CEO and CFO
Explain subrogation in an insurance contract. Subrogation in its most common form may be considered as substitution. In simpler words it is the substitution of the insurer to the insured’s rights. The question is ‘why the substitution’. It is because the first party or the insurer has made a payment to the second party or the insured for which (the payment) a third party is … [Read more...] about Subrogation in an insurance contract.
Explain Subrogation in an insurance contract. Subrogation in its most common form can be understood as substitution. In simper words it is the substitution of the insurer to the insured’s rights. The question is ‘why this substitution’. It is because the first party, the insurer made a payment to the second party, the insured and for the payment a third party is … [Read more...] about Study Notes