Business Regulation Case Study #2

In: Other Topics

Submitted By luffman78
Words 3671
Pages 15
Unit 3

Research Paper # 1

Business Law

Outline

Thesis--Government Regulation is needed in the U.S. to keep scandals from ruining our businesses livelihood and the financial futures of all Americans.

Introduction

Many acts have been created because of controversy and scandals that have and continue to happen in the U.S. These acts were introduced to prevent individuals and businesses from losing everything and to help the government to keep individuals and businesses safe from scams. Without these regulations there would be no standards and companies and corporations could do as they please. They also help to monitor the accounting of companies, keep the scandals at a minimum, and watch for trends so we don’t have another stock market crash. Too many people have lost everything when these types of disasters strike. Securities Acts of 1933 and 1934 The Securities Act of 1933 was enacted as a result of the stock market crash of 1929. It was the first major piece of federal legislation to apply to the sale of securities. The legislation was enacted as the need for more information within and about the securities markets was acknowledged. The 1933 Act was based on the idea that companies offering securities should provide potential investors with sufficient information about both the issuer and the securities to make an informed investment decision. The Securities Act of 1934 established the Securities and Exchange Commission (SEC). The 1934 Act also gives the SEC power to police the sale of securities in the U.S. This law prevents fraudulent activities of any kind. They deal with things, such as, insider trading, tender offers, and corporate reporting.

The Foreign Corrupt Practices Act of 1977 The Foreign Corrupt Practices Act of 1977 was enacted for the purpose of making it unlawful for certain classes of persons and entities to…...

Similar Documents

Regulation and Investment: Case Study of Bangladeshregulation and Investment: Case Study of Bangladesh

...World Dialogue on Regulation for Network Economies Regulation and Investment: Case study of Bangladesh Harsha de Silva[1] and Abu Saeed Khan[2] August 2004 Abstract The paper considers the available evidence in determining a relationship, if any, in the Telecom Regulatory Environment [TRE] of Bangladesh and investments in to its telecommunications industry over the last decade. TRE is segmented in to market entry, access to scarce resources, interconnection, tariff regulation and regulation of anti-competitive practices while investments are all non-divestiture foreign and domestic private and public investment. The TRE in Bangladesh is found to be wanting in all defined aspects. Interconnection is the worst of the five components, where a mobile only parallel network is being created due to regulatory ineffectiveness where almost ninety percent of mobile users do not have access to a fixed phone. Investments in to the fixed sector in Bangladesh dominated by the state owned virtual monopoly have been sorely inadequate and continue to be dictated by the funds availability [or lack thereof] of the Government. The mobile sector on the other hand has seen some amount of investments flowing in led by the widely acclaimed GrameenPhone. However, once standardized to compare across the region, it is found, even though using imperfect data to compare, that the reason for this flow......

Words: 12440 - Pages: 50

Week 2 Case Study

...Week 2 Case Study #1 Define the problem – Problems getting real artifacts and the demand for them. Enumerate the decision factors – alternative courses of action, using high quality look alike products to fulfill demand. Uncertainties – political turmoil in supply countries. Consider relevant information – determine what is relevant and then use it to decide the course of action. Will there be a market for look-alike products and will it be profitable? Identify the best alternative – use a decision tree or flow chart to plot/graph outcomes. Hire more craftsmen to craft similar or invest more in a volatile supply countries environment in an attempt to get more products? Develop a plan – Make happen the course you have decided on. Hire more skilled craftsmen to make products in countries that were not feasible to operate in. Evaluate – A decision was made and it was appropriate for the case. #2 Nature of the industry – How do buyers buy in this industry? In countries with serious turmoil and regulations on the export of artifacts, “knock offs” must be considered and offered for sale. The organization – What is it offering for the market? In this case both real artifacts and high quality, high end replicas to consumers. The factors that led to using replicas have driven up demand. A plan of action – What actions are available to the organization? Trying harder to work with supply countries to secure a dependable supply or offering high quality......

Words: 543 - Pages: 3

Regulation and Investment: Case Study of Bangladesh

...World Dialogue on Regulation for Network Economies Regulation and Investment: Case study of Bangladesh Harsha de Silva and Abu Saeed Khan August 2004 Abstract The paper considers the available evidence in determining a relationship, if any, in the Telecom Regulatory Environment [TRE] of Bangladesh and investments in to its telecommunications industry over the last decade. TRE is segmented in to market entry, access to scarce resources, interconnection, tariff regulation and regulation of anti-competitive practices while investments are all non-divestiture foreign and domestic private and public investment. The TRE in Bangladesh is found to be wanting in all defined aspects. Interconnection is the worst of the five components, where a mobile only parallel network is being created due to regulatory ineffectiveness where almost ninety percent of mobile users do not have access to a fixed phone. Investments in to the fixed sector in Bangladesh dominated by the state owned virtual monopoly have been sorely inadequate and continue to be dictated by the funds availability [or lack thereof] of the Government. The mobile sector on the other hand has seen some amount of investments flowing in led by the widely acclaimed GrameenPhone. However, once standardized to compare across the region, it is found, even though using imperfect data to compare, that the reason for this flow could be the rub off of the attractiveness of the region and not......

Words: 1190 - Pages: 5

Business Studies Qantas Case Study

...Business Studies Qantas Case Study CHAPTER 4 2. Situational Analysis Swot Analysis of Qantas Strengths: • Extensive network / part of the One world alliance • Excellent airport locations and facilities • Globally recognised brand name and logo • Excellent safety record – probably the best in the world (not one death on a Qantas flight) • Operational excellence: Qantas has twice won the Cumberbatch trophy for engineering excellence. Weaknesses: • Speculation that British airways will quit its $1.3 billion stake in Qantas. • Higher labour and other operating costs than its competitors • An ongoing disputes between Qantas management and militant unions Opportunities: • For its new international budget brand, Australian Airlines • Taking advantage from the Ansett collapse by hiring new staff, expanding routes and purchasing / leasing more aircraft • Developing further E-commerce operations Threats: • Strategies of its main competitors especially Singapore Airlines and Air New Zealand (international) and Virgin Blue (domestic) • Increase in government regulations to protect its smaller rivals • Rising fuel costs • Further fall in Australian dollar • Further weakening in the international market / economy As a result of Ansett’s collapse, Qantas is currently in the growth stage domestically (with increased sales, revenue and market share) but in the decline stage......

Words: 1608 - Pages: 7

Case Study 2 : Scotland

...SUPPORT Business Management Extended Case Studies (Set 2) [INTERMEDIATE 2] [pic] The Scottish Qualifications Authority regularly reviews the arrangements for National Qualifications. Users of all NQ support materials, whether published by LT Scotland or others, are reminded that it is their responsibility to check that the support materials correspond to the requirements of the current arrangements. Acknowledgement Learning and Teaching Scotland gratefully acknowledge this contribution to the National Qualifications support programme for Business Management. © Learning and Teaching Scotland 2006 This resource may be reproduced in whole or in part for educational purposes by educational establishments in Scotland provided that no profit accrues at any stage. Contents Introduction 4 Case Study 1: Mined Matters 7 Case Study 2: Is it Only a Game? 13 Case Study 3: Gardners Take the Biscuit 18 Case Study 4: Tanfastic!! 24 Introduction This resource is to support the learning and teaching process for Business Management at Intermediate 2 level. It consists of four case studies, each of which is accompanied by a number of questions. Each question has been allocated marks and, in each case, the total number of marks is 25. There are also suggestions on the type of answers that could be considered as a suitable response to the question. The case studies The case studies have a number of......

Words: 6378 - Pages: 26

Acct504 Case Study 2

...Accounting 504 Case Study 2 Keller Graduate School of Management Prepared by: Purvi Patel Prepared for: Professor Ganesh 3 Oct, 2013 To: LJB Company President From: Purvi Patel, Accounting firm Subject: Evaluation of LJB Company’s Internal Control Structures Date: 3 April 2013 Hello LJB Company President: First, I would like to thank you for hiring my accounting firm to evaluate LJB’s internal controls system. This report will inform you of any new internal control requirements required for LJB to go public, advise you of what the company is doing right, recommend that LJB purchase an indelible ink machine and advise you what areas the company can improve. Introduction After observation LJB’s operations, I have determined LBJ needs to make changes regarding its internal controls system. All publically traded companies operations’ must comply with the Sarbanes-Oxley Act (SOX) accounting standards. As cited in by Kimmel (2011), complying with the internal controls practices set forth by the SOX act prevents fraud, encourage efficiency and effectiveness of operations, and insure a company is in compliance with applicable laws. The internal control standards outlined by the SOX act include a control environment, risk assessment control activities, information, communication and monitoring. NEW INTERNAL CONTROL REQUIREMENTS FOR GOING PUBLIC Sarbanes-Oxley Act of 2002 (SOX), enacted on July 29,2002, is a United States Federal law that imposed new......

Words: 1613 - Pages: 7

Case Study #2

...Case Study #2: Internal Control Most companies that start off as a private corporation want to ultimately become a public company in the future. Becoming public usually provides businesses the opportunity to raise capital in hopes of expanding. There are definitely some pros in becoming a publicly traded and owned entity. LBJ Company is considering going public in the future, and they are requesting the writer to evaluate their internal control systems. They would also like to be made aware of any new internal control requirements if they decide to go public. Lastly, they would like to know what they have been doing right and what they have been doing wrong, and whether or not they should purchase the indelible ink machine. The writer will now inform the president of LBJ of any new internal control requirements if they decide to go public. Internal control consists of all the related methods and measures adopted within an organization to safeguard assets, enhance the reliability of accounting records, increase efficiency of operations, and ensure compliance with laws and regulations. Internal control systems have five primary components and they are as follows: • A control environment. It is the responsibility of top management to make it clear that the organization values integrity and that unethical activity will not be tolerated. • Risk assessment. Companies must identify and analyze the various factors that create risk for the business and must determine how to......

Words: 1097 - Pages: 5

Business Studies Qantas Case Study

...Business Studies Qantas Case Study CHAPTER 4 2. Situational Analysis Swot Analysis of Qantas Strengths: • Extensive network / part of the One world alliance • Excellent airport locations and facilities • Globally recognised brand name and logo • Excellent safety record – probably the best in the world (not one death on a Qantas flight) • Operational excellence: Qantas has twice won the Cumberbatch trophy for engineering excellence. Weaknesses: • Speculation that British airways will quit its $1.3 billion stake in Qantas. • Higher labour and other operating costs than its competitors • An ongoing disputes between Qantas management and militant unions Opportunities: • For its new international budget brand, Australian Airlines • Taking advantage from the Ansett collapse by hiring new staff, expanding routes and purchasing / leasing more aircraft • Developing further E-commerce operations Threats: • Strategies of its main competitors especially Singapore Airlines and Air New Zealand (international) and Virgin Blue (domestic) • Increase in government regulations to protect its smaller rivals • Rising fuel costs • Further fall in Australian dollar • Further weakening in the international market / economy As a result of Ansett’s collapse, Qantas is currently in the growth stage domestically (with increased sales, revenue and market share) but in the decline stage internationally. In response Qantas has planned to hire more staff and increase......

Words: 1608 - Pages: 7

Case Study 2

... | ABC Wireless Communication BPO | | Case Study 2 | N/A | 2/10/2013 | | 1. Service contract for ABC Wireless Communication 2.1. Introduction: ABC Wireless Communication is a leader in the telecommunication industry. It provides wireless service to more than 1million customers in an around the US. ABC Wireless has been in business for 22 years. Our yearly revenue is about 100M. We have 5 thousand employees in the US. The company is very proud of its network and emphasizes the reliability of its network compare to its competitors. It has 2,589 cell sites comprising of HVAC units, Generators, and RF equipment. Maintaining this equipment is crucial to our network performance. Each cell site has from 1-4 HVAC units along with a permanent generator. Our equipment generates a lot of heat and will shut down if the shelter that houses the equipment gets above 95degrees. This is why our HVAC units are so essential. Our generators are used as emergency backup whenever we lose commercial power to our cell sites. This is also important to our business. The generator and HVAC are significant to keeping our telecommunication equipment running at all times. We are a telecommunication company and all of our employees are skilled in wireless equipment operation, maintenance, and installation. Our core business is geared towards wireless innovation, maintenance, operation and most of all quality customer experience on our network. In order for us to concentrate on......

Words: 1552 - Pages: 7

Business Law 2 - Case Study 1

...Case Study 1 – Millan V. Dean Witter Reynolds, Inc. Plaintiff: Maria Millan Defendant: Dean Witter Reynolds, Inc. Appellant: Maria Millan Appellee: Dean Witter Reynolds, Inc. History of the case Trial Court: Dean Witter won. The broker was found 85% liable and the firm was found to be 15%. Lower appellate court: Dean Witter won. Overall winner: Decision upheld, the broker was found 85% liable and the firm was found to be 15% Facts: Maria Millian sued both her son and Dean Witter Reynolds, Inc. for negligence, gross negligence, conversion, and breach of fiduciary duty. Maria Millian opened two brokerage accounts with Dean Witter Reynolds, Inc. with her son. Her son Miguel forged her signature on an account application form and opened the account in her name. Miguel began to steal money from his mother’s account which totaled about $287,000. Trial court directed a verdict for Dean Witter on issues of vicarious liability. They found Dean Witter is 15% liable and Millan is 85% responsible due to not discovering the fraud sooner. Plaintiff’s theory: Miguel and Dean Witter Reynolds, Inc. stole money from Maria Millian by deceiving her. Because Miguel opened fraudulent accounts in the name of Maria Millian and wrote checks payable to cash, and because the company did not verify the signatures, Millian sued for negligence, gross negligence, conversion, and breach of fiduciary duty. Defendant’s theory: Dean Witter Reynolds, Inc. was not fully responsible......

Words: 427 - Pages: 2

Case Study 2

...Case Study 2 DeVry University Professor Cleary Acct. 504 28May14 Case Study 2 Table of Contents Introduction ……………………………………………………………………………………….3 Required changes ………………………………………………………………………....………3 Practices to keep …………………………………………………………………………....…….3 Practices to change ……………………………………………………………………………….4 Conclusion ………………………………………………………………………………………..5 References ………………………………………………………………………………………...6 Introduction This letter is to address some concerns that the president of LJB Company has come to the author to address. The particular areas of concern are the internal controls that are present at the company. Additional concerns include changes that may need to be made if the company goes public, best practices that should be kept, and practices that need to be altered. This letter will address the issues listed in order with a summary and conclusion at the end. Required Changes This section will cover the required changes that need to be made to conform to regulations that will need to be followed if the company decides to go public. LJB will need to conform to the Sarbanes-Oxley Act if the company decides to go public. Some key features of the act that will have to be taken to be in compliance with the act include the following; the issuance of an internal control report and have an outside auditor evaluate the soundness of the report. The auditing company may not also provide any consulting services to the company. For further information regarding......

Words: 821 - Pages: 4

Case Study 2

...Case Study 2 -Internal Control Due by Sunday of week 5, 11:59PM, Mountain Time LJB Company, a local distributor, has asked your accounting firm to evaluate their system of internal controls because they are planning to go public in the future. The President wants to be aware of any new regulations required of his company if they go public so he met with a colleague of yours at a local restaurant. The President of the company explained the current system of internal controls to your colleague. Your colleague has since been promoted to a tax position so she has passed on the information below so you can generate recommendations for the partner at your accounting firm to share with the President of LJB Company. Since LJB Company is a relatively lean organization, they have a lot of faith in their long-term employees. They have one accountant who serves as Treasurer and Controller which streamlines many of their processes. In this dual role, he purchases all of the supplies and pays for these purchases. He also receives the checks and completes the monthly bank reconciliation. The accountant is so busy that the company handles petty cash a bit differently. All employees have access to the petty cash in a desk drawer and are asked to only place a note if they use any of the cash. The accountant has recently started using pre-numbered invoices and wants to buy an indelible ink machine to print their checks. The President is waiting to hear from you if this is a necessary......

Words: 611 - Pages: 3

Business Ethics: Case Study 2: Starbucks’ Mission

...approach for climate-optimized flight planning applied for a case study the North Atlantic Flight corridor (NAFC) performed within the collaborative project REACT4C (Reducing Emissions from Aviation by Changing Trajectories for the benefit of Climate) funded under the European FP7 programme. Ultimate goal was to identify maximum mitigation gain (in climate impact) for a specific investment, hence minimal marginal mitigation costs. For this purpose consecutively those flights trajectories options are selected which offer the highest mitigation potential taking into account five archetypical weather patterns in NAFC, and traffic samples in eastbound and westbound both direction. Using a concept of 4-dimensional climate cost functions integrated into a simulation system for operational planning (SAAM), we identified climateoptimal trajectories, by generating Pareto fronts from marginal costs of a mitigation routing option versus reduction of climate impact. Quantitative estimates of overall mitigation potential of such climate-optimized trajectory planning for the NAFC region yield an increase in mitigation potential / marginal mitigation cost coefficient. Using system approach in optimization, results in a cost reduction of 96% or a mitigation increase by a factor of 5. 1 corresponding author, Atmospheric Dynamics, Institute of Atmospheric Physics, Münchner Str. 20, 82334 Oberpfaffenhofen. 2 Atmospheric Dynamics, Institute of Atmospheric Physics,......

Words: 3765 - Pages: 16

Case Study 2

...Case Study 2 -Internal Control Due by Sunday of week 5, 11:59PM, Mountain Time LJB Company, a local distributor, has asked your accounting firm to evaluate their system of internal controls because they are planning to go public in the future. The President wants to be aware of any new regulations required of his company if they go public so he met with a colleague of yours at a local restaurant. The President of the company explained the current system of internal controls to your colleague. Your colleague has since been promoted to a tax position so she has passed on the information below so you can generate recommendations for the partner at your accounting firm to share with the President of LJB Company. Since LJB Company is a relatively lean organization, they have a lot of faith in their long-term employees. They have one accountant who serves as Treasurer and Controller which streamlines many of their processes. In this dual role, he purchases all of the supplies and pays for these purchases. He also receives the checks and completes the monthly bank reconciliation. The accountant is so busy that the company handles petty cash a bit differently. All employees have access to the petty cash in a desk drawer and are asked to only place a note if they use any of the cash. The accountant has recently started using pre-numbered invoices and wants to buy an indelible ink machine to print their checks. The President is waiting to hear from you if this is a necessary......

Words: 1686 - Pages: 7

Case Study 2

...study Case Study -Internal Control LJB Company, a local distributor, has asked your accounting firm to evaluate their system of internal controls because they are planning to go public in the future. The President wants to be aware of any new regulations required of his company if they go public so he met with a colleague of yours at a local restaurant. The President of the company explained the current system of internal controls to your colleague. Your colleague has since been promoted to a tax position so she has passed on the information below so you can generate recommendations for the partner at your accounting firm to share with the President of LJB Company. Since LJB Company is a relatively lean organization, they have a lot of faith in their long-term employees. They have one accountant who serves as Treasurer and Controller which streamlines many of their processes. In this dual role, he purchases all of the supplies and pays for these purchases. He also receives the checks and completes the monthly bank reconciliation. The accountant is so busy that the company handles petty cash a bit differently. All employees have access to the petty cash in a desk drawer and are asked to only place a note if they use any of the cash. The accountant has recently started using pre-numbered invoices and wants to buy an indelible ink machine to print their checks. The President is waiting to hear from you if this is a necessary purchase before authorizing. On......

Words: 1689 - Pages: 7