CPAR Auditing Practice

CPAR - 2020/September, Seg. 4 - Earnings Management: Cause and Effect

Earnings management is a method of manipulating financial records in order to present a positive outcome of a company’s financial position and performance. It imposes a significant risk that investors, the Securities and Exchange Commission (SEC), and accounting standard setters have been aware of and are trying to find ways to minimize. In September, 2019, the SEC charged Marvell Technology Group, Ltd with misleading disclosure violations to investors when it engaged in an undisclosed revenue management scheme in order to meet publicly issued revenue guidance. Charles Hecht, partner at Balestriere Fariello, starts our segment by giving us his thoughts on SEC crackdowns on earnings management.

Learning Objectives:

  • Identify the issues that surface when it comes to manipulating revenues according to the SEC,
  • Recognize proposed amendments to SEC Rule 2-01 of Regulation S-X, Qualifications of Accountants,
  • Determine the reasons PCAOB can’t conduct audits, and
  • Identify the two amendments of the Dodd-Frank Act.

Speaker / Author:

Charles Hecht, Balestriere Fariello


Price (USD)

Standard: $69.90


Course Code : CPAR1474-FM

Release Date : 10/02/2020
Expire Date : 11/14/2021
Credits :
CPE 2.00
QAS 2.00

Length : 1hr 40min
Course Level : Update
Course Type : Self-Study
Format Type : eLearning
Mobile Compatible
Field Of Study : Auditing

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