BUS 223 Lecture 11: BUS223 – Lecture 11
8 Sep 2017
School
Department
Course
Professor
Document Summary
Information and communications -> directed at supporting the control environment through fair and truthful transmission of information: ongoing monitoring -> to provide assessment capabilities and to uncover vulnerabilities, control environment -> refers to culture issues. Executive compensation: ethical challenges are raised against these practices even from within the business perspective. Insider trading: trading by shareholders who hold private inside information that would materially impact the value of the stock and that allows them to benefit from buying or selling stock. Deemed material if it could possibly have a financial impact on a company"s short- or long-term performance or if it would be important to a prudent investor in making an investment decision. The commission has treated the detection and persecution of insider trading violations as one of its enforcement priorities. It is considered patently unfair and unethical because it precludes fair pricing based on equal access to public information.
