Use the Internet or Strayer Library to research a recentaccounting scandal within the last five (5) years where the SECaccused public companies of accounting irregularities.
Write a three to four (3-4) page paper in which you:
Analyze the audit report that the CPA firm issued. Ascertain thelegal liability to third parties who relied on financial statementsunder both common and federal securities laws. Justify yourresponse.
Speculate on which statement of generally acceptable auditingstandards (GAAS) that the company violated in performing theaudit.
Compare the responsibility of both management and the auditorfor financial reporting, and give your opinion as to which partyshould have the greater burden. Defend your position.
Analyze the sanctions available under SOX, and recommend the keyaction(s) that the PCAOB should take in order to hold management orthe audit firm accountable for the accounting irregularities.Provide a rationale for your response.
Use at least two (2) quality academic resources in thisassignment. Note: Wikipedia and other Websites donot qualify as academic resou