Disciplines
- MLA
- APA
- Master's
- Undergraduate
- High School
- PhD
- Harvard
- Biology
- Art
- Drama
- Movies
- Theatre
- Painting
- Music
- Architecture
- Dance
- Design
- History
- American History
- Asian History
- Literature
- Antique Literature
- American Literature
- Asian Literature
- Classic English Literature
- World Literature
- Creative Writing
- English
- Linguistics
- Law
- Criminal Justice
- Legal Issues
- Ethics
- Philosophy
- Religion
- Theology
- Anthropology
- Archaeology
- Economics
- Tourism
- Political Science
- World Affairs
- Psychology
- Sociology
- African-American Studies
- East European Studies
- Latin-American Studies
- Native-American Studies
- West European Studies
- Family and Consumer Science
- Social Issues
- Women and Gender Studies
- Social Work
- Natural Sciences
- Anatomy
- Zoology
- Ecology
- Chemistry
- Pharmacology
- Earth science
- Geography
- Geology
- Astronomy
- Physics
- Agriculture
- Agricultural Studies
- Computer Science
- Internet
- IT Management
- Web Design
- Mathematics
- Business
- Accounting
- Finance
- Investments
- Logistics
- Trade
- Management
- Marketing
- Engineering and Technology
- Engineering
- Technology
- Aeronautics
- Aviation
- Medicine and Health
- Alternative Medicine
- Healthcare
- Nursing
- Nutrition
- Communications and Media
- Advertising
- Communication Strategies
- Journalism
- Public Relations
- Education
- Educational Theories
- Pedagogy
- Teacher's Career
- Statistics
- Chicago/Turabian
- Nature
- Company Analysis
- Sport
- Paintings
- E-commerce
- Holocaust
- Education Theories
- Fashion
- Shakespeare
- Canadian Studies
- Science
- Food Safety
- Relation of Global Warming and Extreme Weather Condition
Paper Types
- Movie Review
- Essay
- Admission Essay
- Annotated Bibliography
- Application Essay
- Article Critique
- Article Review
- Article Writing
- Assessment
- Book Review
- Business Plan
- Business Proposal
- Capstone Project
- Case Study
- Coursework
- Cover Letter
- Creative Essay
- Dissertation
- Dissertation - Abstract
- Dissertation - Conclusion
- Dissertation - Discussion
- Dissertation - Hypothesis
- Dissertation - Introduction
- Dissertation - Literature
- Dissertation - Methodology
- Dissertation - Results
- GCSE Coursework
- Grant Proposal
- Admission Essay
- Annotated Bibliography
- Application Essay
- Article
- Article Critique
- Article Review
- Article Writing
- Assessment
- Book Review
- Business Plan
- Business Proposal
- Capstone Project
- Case Study
- Coursework
- Cover Letter
- Creative Essay
- Dissertation
- Dissertation - Abstract
- Dissertation - Conclusion
- Dissertation - Discussion
- Dissertation - Hypothesis
- Dissertation - Introduction
- Dissertation - Literature
- Dissertation - Methodology
- Dissertation - Results
- Essay
- GCSE Coursework
- Grant Proposal
- Interview
- Lab Report
- Literature Review
- Marketing Plan
- Math Problem
- Movie Analysis
- Movie Review
- Multiple Choice Quiz
- Online Quiz
- Outline
- Personal Statement
- Poem
- Power Point Presentation
- Power Point Presentation With Speaker Notes
- Questionnaire
- Quiz
- Reaction Paper
- Research Paper
- Research Proposal
- Resume
- Speech
- Statistics problem
- SWOT analysis
- Term Paper
- Thesis Paper
- Accounting
- Advertising
- Aeronautics
- African-American Studies
- Agricultural Studies
- Agriculture
- Alternative Medicine
- American History
- American Literature
- Anatomy
- Anthropology
- Antique Literature
- APA
- Archaeology
- Architecture
- Art
- Asian History
- Asian Literature
- Astronomy
- Aviation
- Biology
- Business
- Canadian Studies
- Chemistry
- Chicago/Turabian
- Classic English Literature
- Communication Strategies
- Communications and Media
- Company Analysis
- Computer Science
- Creative Writing
- Criminal Justice
- Dance
- Design
- Drama
- E-commerce
- Earth science
- East European Studies
- Ecology
- Economics
- Education
- Education Theories
- Educational Theories
- Engineering
- Engineering and Technology
- English
- Ethics
- Family and Consumer Science
- Fashion
- Finance
- Food Safety
- Geography
- Geology
- Harvard
- Healthcare
- High School
- History
- Holocaust
- Internet
- Investments
- IT Management
- Journalism
- Latin-American Studies
- Law
- Legal Issues
- Linguistics
- Literature
- Logistics
- Management
- Marketing
- Master's
- Mathematics
- Medicine and Health
- MLA
- Movies
- Music
- Native-American Studies
- Natural Sciences
- Nature
- Nursing
- Nutrition
- Painting
- Paintings
- Pedagogy
- Pharmacology
- PhD
- Philosophy
- Physics
- Political Science
- Psychology
- Public Relations
- Relation of Global Warming and Extreme Weather Condition
- Religion
- Science
- Shakespeare
- Social Issues
- Social Work
- Sociology
- Sport
- Statistics
- Teacher's Career
- Technology
- Theatre
- Theology
- Tourism
- Trade
- Undergraduate
- Web Design
- West European Studies
- Women and Gender Studies
- World Affairs
- World Literature
- Zoology
Simon and Hobbs, Essay Example
Hire a Writer for Custom Essay
Use 10% Off Discount: "custom10" in 1 Click 👇
You are free to use it as an inspiration or a source for your own work.
Simon is taking this action for one reason and that is to increase the credit worthiness of the department store. This is through two ways. One by recording a fictitious sale of $ 10,000 she overstates the receivables account by $ 10,000. Similarly the exclusion of the salaries owed and the expired insurance from the accounts understates the accounts payable by $ 1300. These adjustments effectively overstate the assets while understating the liabilities and effectively giving the statement of financial position a healthy look.
The action taken by Simon is not ethical. The International Accounting Standards (IAS) regulations require that financial statements give a true and fair view of the status of the business. Simon contravenes this by disregarding the financial statement assertion of Cut-off. This assertion requires that transactions are recognised in the period that they occurred and not transferred to another period. The users of the accounts will therefore be misled by the way these transactions are recorded. This is against the accounting ethics.
The party helped by the action is the proprietor of the business. This is because the credit providers will be misled into advancing the credit facilities that Simon would not have otherwise obtained if these alterations were not done to the accounts. The party harmed by the action is the creditor; this is because they will be hoodwinked into advancing the credit facilities based on the fictitious accounts. These creditors could be either financial institutions or trade creditors. The assertion that accountants owe a duty of care to all users of financial statements requires that financial statements are recorded to reflect the substance of the transactions hence clearly portraying the economic implications of the transactions.
Stuck with your Essay?
Get in touch with one of our experts for instant help!
Time is precious
don’t waste it!
writing help!
Plagiarism-free
guarantee
Privacy
guarantee
Secure
checkout
Money back
guarantee