Question : (TCO 2) What are the key provisions of the Public Company Accounting Reform and Investor Protection (Sarbanes-Oxley) Act of 2002? Question 3. Question : (TCO 5) Give an example of a non-cash financing and investing activity and explain when and how it would be reported in the financial statements. Question 4. Question : (TCO 3) What is the purpose of the closing process?
Normally, a reconciliation is required between the proprietary fund financial statements and the business-type activities column in the government-wide financial statements. C. Statements include the Statement of Net Assets (Balance Sheet); Statement of Revenues, Expenses and Changes in Fund Net Assets: and Statement of Cash Flows. D. The Statement of Cash Flows may be prepared using either the direct or indirect methods. 7. Which of the following choices regarding the fiduciary fund financial statements is true?
o. It involves fraud rings and investment advisors p. It involves interstate investors q. It involves real estate agents, appraisers, lenders, and closing agents r. It involves sophisticated investors 6. A loan processor may send out a form to verify the past two years of employment history, gross income, as well as verify the probability of continuing employment. This form is referred to as the: s. VOE t. VOD u. VNE v. JOB 7.
3 In this lecture we will consider in detail the fundraising provisions of Chapter 6D (sections 700 to 742) of the Corporations Act. 4 The fundraising provisions protect investors by requiring a corporation that seeks to raise funds by issuing ‘securities’ to disclose relevant information so that investors can make informed investment decisions. 5 Although your textbook (in Chapter 18) draws a distinction between raising share capital and debt capital, you should be aware that Chapter 6D is concerned with ‘securities’ and therefore generally with shares, debentures or hybrids/combinations of share and debt capital instruments. 6 The term ‘security’ is defined in section 761A of the Corporations Act (a provision in Chapter 7, Financial services and markets) but with one exclusion (see section 700(1)). 7 Note, in particular, that the definition of security includes shares, debentures and options to acquire, by way of issue, shares or
SAN DIEGO STATE UNIVERSITY College of Business Administration Finance 656 Fall 2013 Impact of Dodd-Frank Wall Street Reform and Consumer Protection Act on Goldman Sachs Group, Inc. II Contents Contents 1 2 Introduction ................................................................................................................. 1 Impact Analysis ........................................................................................................... 2 2.1 2.2 2.3 2.4 Transparency and Accounting for Derivatives.................................................... 2 Improvements to Bank and Thrift Regulations ................................................... 3 Ends too Big to Fail Bailouts .............................................................................. 5 Securitization ....................................................................................................... 6 References ............................................................................................................................ 8 1 Introduction 1 Introduction The Goldman Sachs Group, Inc. (further mentioned as GS) is a leading global investment bank, securities and investment management firm that provides a wide range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments and high-net-worth individuals. GS reports activities in the following four business segments: Investment Banking, Institutional Client Services, Investing & Lending and Investment Management. The institution provides mergers and acquisitions advice, underwriting services, asset management, and prime brokerage to its client. The bank also engages in market making and private equity deals, and is a primary dealer in the US Treasury security market.1 The Dodd–Frank Wall Street Reform and
ANALYIS OF COMPANY STRATEGY PRESENTATION TO THE BOARD OF NUCOR CORPORATION [Type the author name] Strategic Company analysis and recommendations submitted for Board approval   TABLE OF CONTENTS 1. INTRODUCTION 1.1 Report Purpose 3 1.2 Company Overview 3 2. NUCOR CORPORATE STRATEGIES 2.1 Strategy Execution and Implementation 4 2.2 Policies and Operating Practices 4 3. INDUSTRY ANALYSIS 3.1 Porter’s 5 Forces Analysis 5 3.1.2 Conclusion from Porter’s 5 Forces Analysis 6 4. COMPANY ANALYSIS 4.1 SWOT Analysis 6 4.1.1 Strengths 6 4.1.2 Weaknesses 6 4.1.3 Opportunities 7 4.1.4 Threats 7 4.1.5 Conclusions from SWOT analysis 7 5.
The board of directors is responsible for overseeing and exercising corporate powers and certifying the company’s business affairs while managing the goals and objectives for long-term interests of the shareholders. Organizational Annual Report and SEC Filing The SEC requires publically traded companies to file annual financial reports, and these reports are open to the public. Investors are interested in these reports because it helps in determining the financial health of a company. As a means for providing guidelines, principles, and objectives for the financial markets in the United States, the Sarbanes-Oxley Act of 2002 enhances the SEC’s roles for reforming corporate accountability. This also includes establishing a private-sector regulator to oversee the auditing profession to combat accounting fraud, and enhancing financial disclosures.
DEFINITION A state law that imposes standards for offering and selling securities. Such laws aim to protect individuals from fraudulent or overly speculative investments. OVERVIEW Originally prepared by Deepa Sarkar of the Cornell Law School Securities Law Clinic. Individual states adopted legislation that regulated the sale of securities in the decades prior to enactment of the federal securities laws. The term “blue sky” suggests the type of fraudulent activity targeted by state securities laws; in Hall v. Geiger-Jones Co., Supreme Court Justice McKenna used the phrase to characterize “speculative schemes which have no more basis than so many feet of ‘blue sky’ .” Blue sky laws developed in the frenzied years leading up to the Great Depression, in response to fact that more and more ordinary investors were losing money in highly speculative or fraudulent schemes promising high investment returns, such as oil fields and exotic investments in foreign countries.
On the other hand, the Commodity Futures Trade Commission (CFTC) promotes competitiveness and efficiency in futures and options markets. CFTC also protects investors against unfair practices, manipulation and fraud. SEC played an important role in investigating Citigroup Global Markets’ case. Their investigations revealed that Citigroup had structured and market a collateralized debt obligation (CDO), called Class V Funding III. The bank had also exercised considerable influence over the $500 million of the assets in their CDO portfolio.
Mini-case 2 Letting Go of Lehman Brothers Question 1: Do you believe that the U.S. government treated some financial institutions differently during the crisis? Was that appropriate? To assure the financial stability and viability of the U.S. financial system, the U.S. Federal Reserve, the Comptroller of the Currency and the Federal Deposit Insurance Company (FDIC) have the responsibility to support, protect and buffer financial institutions whose failures, they believe, might have a significant effect on the market as a whole. Before making a decision about whether an institution should be poured capital into, the Federal Reserve will consider the institution`s collateral and the ability to repay loans. The Federal Reserve said that the companies that did receive bailouts, such as AIG, Fannie Mae and, Freddie Mac, clearly had the collateral and showed great promise of paying them back in the future, while Lehman Brothers did not.