Accounting Scandals: Possible Topics for Accounting Essays

Accounting essays and Finance essays do not always have to be boring. One of the most interesting topics a student can discuss in Accounting essays which, if one right, can leave a reader to be entertained and at the same time informed are corporate accounting scandals. These come to public consciousness through the disclosure of wrongdoing by executives of big public corporations. Accounting scandals may take the form of any or a combination of the following:

  • misuse or misdirection of corporate funds
  • overstatement of revenues
  • understatement of corporate-related expenses
  • overstatement of or overvalue of corporate assets
  • underreporting the existence and nature of liabilities

Accounting scandals can be discussed in Accounting essays in the manner that the people doing it are able to do such fraud through “creative accounting”. Another interesting angle is how the perpetrators are able to do it without auditors knowing about it and how the problem is avoided from being seen at financial reports. Still another angle worth being pursued on the topic of accounting scandals is how the government and its finance agencies play a role in the launching and conduct of investigations connected with corporate accounting fraud.

It is often the case that accounting scandals are only the root of a larger problem within the corporate structure. This problem will often result to a much graver result such as the dissolution of the company, the departure of its key executives and employees, or its takeover by another accompany or the government. However, it should also be noted that the abuse happening in accounting standards are actually considered legal or quasi legal where a country’s financial laws are concerned. This is because these corporate scandals involve lawyers sometimes, to ensure that the methods used by the perpetrators to embezzle money or transfer it to a place where it cannot be recovered or traced are permissible under a country’s laws.

About Author: Author