A case for required public forecasts
Article Abstract:
Accountants do not provide public forecasts even if there are indications that there may be a market demand for prospective financial information. This hesitation to offer a potentially useful service is driven by several practical constraints. One is the concern that unconscionable firms and accountants will misuse and abuse futuristic forum. Another is the potential legal risks that public forecasts entail. Accountants disseminating prospective information may be held liable if their forecasts prove inaccurate. A third concern is the public's ability to understand the forecasts. Notwithstanding these barriers, the accounting profession should consider their obligation to provide products that are based on the customers' information demands since accounting, after all, is a service business.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1993
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A new crisis in business ethics?
Article Abstract:
Business ethics has not necessarily deteriorated with the decline of the economy as was alledged in the Fortune magazine article 'The New Crisis in Business Ethics.' In the Apr 20, 1992 article, it was proposed that the weak economy has increased the temptation for managers and accountants to disregard ethical standards in favor of reports with impressive operating results. While it is true that public awareness of business ethics has grown in recent times, unethical practices in business did not just start to appear when the economy declined. Expectations for high ethical standards has risen largely due to the Treadway Commission's report that a strong ethical environment is essential to the business success and to increased regulation of business ethics.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1992
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