Reference no: EM132218883

Assignment -

1) The Ford Pinto case is an important insight into corporate practice and the use of accounting.

Please choose one of the following questions to reflect on what you have learnt from this case study:

A) How is the Ford Pinto case study similar to Morgan's Hospital example in Accounting for Reality Construction?

2) There are a range of accounting stereotypes relevant to the profession.

These include appearance and personality stereotypes. Please choose one of the these stereotypes (such as: accountants are boring; accountants are conservative or pessimistic - there are many others).

Evaluate why this stereotype has become attached to accounting and why this stereotype is relevant or persists in the profession.

3) To conclude our conversations about the GFC, please consider these questions:

a) Why did the GFC have a global impact?

b) There is long history of significant corporate failures and accounting seems to be implicated in those failures. . However, the public seems to forget fairly quickly about the risks associated with accounting. In your opinion, why is it that the public forget?

c) In early 2018, President Trump repealed the Dodd-Frank Act, which was the only substantive legal change post the GFC. Thus, there is no effective legal/regulatory change post GFC. Does this concern you? If yes, why? If no, why not?

4) The GFC is a complex event and we are still, in some ways, suffering consequences from it. Some are concerned that we have learnt little from the GFC and conditions for another GFC continue to build.

a) Evaluate fair value accounting. What do some commentators support GFC, but others are concerned about it?

b) What was the role of rating's agencies in the GFC? How is the role of ratings agents different or similar to audit?

c) Do you believe there is an ethical issue when you sell a product to customers, while at the same time taking insurance against that product failing? You may wish to watch the section from Inside Job on responses of banks to the Congressional Inquiry before answering this question?

5) We have discussed much about the issues of sustainability, corporate social responsibility and the interface with business and the economic system of capitalism.

Please respond to one:

a) The Corporation documentary suggests that businesses are 'externalizing machines'. What does that mean to you? Does it concern you when it comes to businesses self-reporting on CSR or sustainability activities? If CSR or sustainability is about organisations taking responsibility, should we 'trust' what organizations disclose to us?

6) We have discussed the concept of the public interest this week. We examined it in relation to its meaning and in relation to regulation, we discussed it in relation to professional ethics and in relation to how the IASB understands and defines the public interest.

a) In accounting, we suggest that the client is important. Does the obligation to act in or maintain the public interest potentially raise a problem? If so, how? If not, how not?

b) Many people believe that the public interest means helping markets to function effectively. Is that sufficient?

c) What did you learn in looking at the article 'Metonyms and Metaphor'?

Attachment:- Assignment File.rar