Are management reports on financial statement responsibility useful?
Article Abstract:
The Securities and Exchange Commission (SEC) and the Committee of Sponsoring Organizations (COSO) of the Treadway Commission have issued new proposals regarding management reports. A COSO exposure draft (ED) recommends that management reports contain specific information on the effectiveness of a company's internal control system, while the SEC proposes that the issuance of management reports be made mandatory. The Treadway/SEC recommendations are aimed at protecting the investing public by specifying management's responsibility for the reliability of financial statements. An analysis of management reports issued voluntarily between 1985-90 indicates that the recommendations may not necessarily result in better information for users of financial statements.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1991
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What is internal control? Who owns it?
Article Abstract:
The National Commission on Fraudulent Financial Reporting, the Treadway Commission, reported the lack of a universal concept of internal control. The Treadway Commission found that there are varying interpretations and philosophies concerning internal control. There are a number of groups that have a stake in internal control. The internal auditor is considered to be the internal control expert for corporations. In addition, management shares a basic responsibility for internal control. Lastly, independent auditors review an entity's internal controls as part of an audit. The lack of a universal definition of internal control has important ramifications in that it dilutes the quality of financial reports and should be remedied.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1990
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NAA publishes new MAP statement
Article Abstract:
This formal statement the National Association of Accountants gives a guideline for understanding the allocation of administrative costs and service. An annotate bibliography is included.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1985
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