It’s been a decade or so since the FASB started talking about principles-based accounting. We are not sure what caused the impetus, but we think the first serious discussion occurred when the FASB issued a document for public comment on October 21, 2002. It wasn’t particularly compelling then, and it hasn’t gotten any better with [...]
Richard Bove is a bank analyst who had the audacity to tell the truth, such as predicting troubles for the bank industry at the beginning of the financial crisis. BankAtlantic did not care for the truth to be revealed to the public, so it sued him. After all, Bove had no right to disclose the [...]
The Christmas and New Year’s break allows university faculty not only to enjoy family and friends, but also it supplies a moment to do some nontechnical reading. After all, we don’t need that much time to look over our teaching notes. Faculty need something constructive to do during the three or four weeks we have [...]
With Christmas nearly upon us, these two Grumpy Old Accountants have become a bit melancholy (not totally unexpected at this time of year given our advancing ages), and have decided to ask Santa for some help in restoring the glory of our beloved accounting profession. The result: our Christmas “wish” List for Santa.
On November 28 Judge Rakoff rejected a proposed settlement between the SEC and Citigroup. Pundits have applauded this rebuff, many with good reasons, but everybody is still missing the point of these civil fines. And the bad guys are free to defraud investors another day.