Sunbeam Fraud – ONLINE Discussion (4 questions only)

I’m studying for my Accounting class and need an explanation.

Please answer the following in response to the company Sunbeams Accounting Fraud:

  1. Do you believe that accounting tricks such as “cookie jar” reserves and “channel stuffing” contributed to the downfall of Sunbeam? Why or why not?
  2. Where were the accountants?
  3. Do you believe the companies or accountants were blackmailed into settlement with regulators? (Explain)
  4. How can we, as accountants, protect the public?

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