TAILIEUCHUNG - Sarbanes-Oxley and the Outsourcing of Accounting

Gaining effective control of a corporation enables the controlling owner to determine how profits are shared among shareholders. Although the minority shareholders are entitled to the cash flow rights corresponding to their share investments, they face the uncertainty that the entrenched controlling owner may opportunistically deprive them of their rights. The effects of entrenchment by the controlling shareholder include outright expropriation, ., the controlling shareholder benefits from self-dealing transactions in which profits are transferred to other companies he/she The controlling shareholder can also exercise de facto expropriation through the pursuit of objectives that are not profit-maximizing in return for personal utilities. The entrenchment problem created by the controlling. | 99 Sarbanes-Oxley and the Outsourcing of Accounting Paul Cervantes1 University of Arizona Abstract The following paper analyzes the outsourcing offshoring and offshore outsourcing of accounting following the passage of the Sarbanes-Oxley Act of 2002 SOX . The outsourcing of accounting services is growing at a phenomenal pace and is affecting firms of all sizes regardless of industry or market capitalization. This is leading to a strategic shift in what where and by whom accounting services are performed. The outsourcing of accounting following SOX is analyzed in five areas First the initial impact of SOX on onshore and offshore outsourcing of accounting in particular the emergence of India as a major destination for offshore outsourcing. Second the outsourcing of accounting services in small and medium sized firms in addition the application of outsourcing theory as a metric to gauge sourcing decisions. Third accounting pronouncements which impact the desirability to outsource accounting following SOX. Fourth transaction cost economics and its application to the outsourcing of accounting. Last the emergence of global accounting standards and the future of accounting outsourcing. These five areas provide a comprehensive outlook towards the impact of outsourcing on the accounting industry. 1 Paul Cervantes is an undergraduate of the Eller College of Management at the University of Arizona. He is a double major in Accounting and Business Economics. This research paper was completed during his Junior year as part of a two-semester set of courses focusing on outsourcing of professional services. He would like to sincerely thank Professor Amar Gupta for providing the insight and guidance necessary to cover a broad range of topics and to help him expand his view of the world. He would like to thank Professor Bill Schwartz Jr. for introducing him to the field of research and inspiring him to never quit. Katie Cordova whom he hold s dearly to his heart was incremental to .

• Kế toán - Kiểm toán
• information against
• spam threats
• rapidly recovers
• promoting entrepreneurship
• article concludes
• probably does
• Business analysis
• Protection Suite
• Business Edition
• Mental health
• discrimination against
• Health Declaration
• health legislation
• health information
• health care
• unmatched defense
• against email
• borne threats
• yielding significant
• direct effect
• greatest weight