Miniscribe
Rather than face economic downturn, managers did this instead.
What is smooth the books?
Required up to this amount in restatements of previous financial statements in 2003.
What is $11 billion?
This company used "spring-loading" in accounting for acquisitions, making them look poor in the current year so any change in the acquisition would look positive in following years.
Who is Tyco?
CEO of Worldcom
Who is Mr. Ebbers?
An unreasonable and unrealistic obsession to meet quantitative goals
What is the pressure to maintain numbers?
Revenues increased the following year according to its financial statement after losing this top customer.
Who was IBM?
Managers tended to overstate their restructuring charges to then toss these extra charges into reserves in what is known as a ______
What are "cookie-jar reserves"
This company, after dropping its commission income system, saw a 94% drop in profits.
Who is Marsh and McLennan?
CEO of Miniscribe
Q.T Wiles
These people are susceptible to the "pressure to meet the numbers?"
Revenues increased from 111.3 million in 1985 to ____ in 1988
What is 600 million?
Accounting for this company involved taking this charge once Worldcom acquired another company, in which the difference on what these charges should be were based on mostly opinion.
What is a restructuring charge/ one-time restructuring charge?
A whistleblower made it apparent that this company admitted medicare patients into their facilities that they were not equipped to handle
Who is Healthsouth?
CEO of Tyco
Dennis Kozlowski
The most common form of numbers manipulation according to the SEC in 2004
What is Revenue Recognition?
They duped auditors by wrapping _____ to make them seem like disk drives in inventory.
What are Bricks?
Mr. Ebbers business strategy.
What is to achieve the best stock on Wallstreet?
This company made it to number 7 on the fortune 500 by booking revenues for contracts that were not to be fulfilled for decades
Who is Enron?
CEO of Marsh and McLennan
Who is Jeff Greenburg?
This can usually be attributed to odd accounting behavior which leads companies down a "slippery slope" toward ethical collapse.
What is a declining stock price?
Criteria to whether a division or employee would get a bonus.
What is their sales targets/ financial goals?
Financial statements were so income focused that its shareholder letters even contained this ration.
What is the income generated "per employee" ratio
The auditor who violated their independence in providing both audit and non-audit services to Enron.
Who is Arthur Anderson?
CEO of Sunbeam
Who is "Chainsaw" Al Dunlap
The second most common form of numbers manipulation according to 2004 data collections by the SEC
What is the postponement or misclassification of expenses?