The Function of Accounting Information Systems in the Enron and Bernard Madoff Fraud Cases

CASE STUDY #1| The Function of Accounting discriminating tuition Systems in the Enron and Bernard Madoff Fraud Cases| | | | | | | What is the definition of history info brass? The Core Concepts of Accounting Information Systems textbook defines explanation randomness clay as a collection of entropy and bear on procedures that creates needed information for its users (Bagranoff, 2010). A fundamental factor in determining the success in an ecesis is its accounting information system. It is the combination of the organizations resources, such as its people, procedures, and product line records that it (the organization) maintains to provide financial data. The background of this case study is to disagree with the question of whether or not accounting information systems vie a role in the Enron and Bernard Madoff fraud cases. All organizations should nettle an adequate, effective, and efficient accounting information system in tack. In m y opinion, the Enron and Bernard Madoff fraud cases had the classic signs of sheer greed; the accounting information systems were perhaps manipulated, ignored, and compromised to financially example the personal gains of the individuals involved and did not assist with the cases.

An important billet of the accounting information system is its internal control system. indispensable controls are methods and procedures used by an organization to safeguard assets, drop dead transactions, and ensure accuracy of the accounting records. Enrons demise spira steer out of control when Jeffrey Skilling and his execu tives devised accounting loopholes that led ! to poor financial reporting and ultimately hide billions of Enrons debt from failed deals. This type of natural action should have been flagged immediately; however, in my opinion, thither was an abundance of say-so without control, which culminates opportunity. Enron clearly delegated too much ratiocination making indorsement without retaining proper control at high-pitched levels. What...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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