Case Study 2 Fi504

Mr. President: It is my understanding that your keep community, LJB Company, wishes to move forward and bugger off a popular entity. Im glad my theater cornerstone be of assistance in helping your company feign this transaction. First we must review any bracing rules or regulations that apply to private companies converting public. In 2002 the U.S. enacted the Sarbanes-Oxley Act which mandates dissimilar edible aimed at strengthening integrated accountability and government and bear upon the fiduciary responsibility of both officers and directors of public companies. As direct in section 404 of the Act, the Securities and Exchange Commission (SEC) is requiring the attention of public companies to report on the internal controls of their organization in their one-year reports including: a statement of managements responsibility in establishing and maintaining the companys internal controls over pecuniary reporting, managements assessment of the effectivenes s of these controls, and an identification of the mannequin utilize to evaluate the effectiveness of the internal controls. Good corporate governance within an organization may make a company more attractive to potential buyers, investors, and other cap sources.

I would also like to touch base on any(prenominal) of things that were reported to me that I nursed that your company was doing right. Your company is doing a fine job investing in its long-term employees strangely with your accountant. The role of accountants extends to treasurer and controller as well. I curb your accountant should be re sponsible for purchases and completing month! ly jargon reconciliations. I suggest that your company invest in the ineradicable ink machine for large quantities back end be produced and this can also help your internal control by cosmos able to trace the printed checks. Your company is doing a anatomy of things pervert when it comes to internal controls. The risk of fraud, and the cost associated with it, exists in completely organizations, not just public...If you want to get a wax essay, regularize it on our website: OrderCustomPaper.com

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