http://knowledge.wharton.upenn.edu/ Knowledge@Wharton is an online resource that offers the latest business insights, information, and research from a variety of sources. Content includes analysis of current business trends, interviews with industry leaders and faculty, articles based on the most recent business research, book reviews, conference and seminar reports, and links to other websites. en-us Copyright (c) 2009 The Wharton School of the University of Pennsylvania http://www.wharton.upenn.edu/faculty/no_pic.gif http://www.wharton.upenn.edu/faculty/ 125 45 Wharton Faculty Research Finance and Investment http://knowledge.wharton.upenn.edu/article.cfm?articleid=626&source=rss In the aftermath of the financial scandals at companies such as Enron, Worldcom and Tyco International, reconciling U.S. accounting and auditing standards with those used in Europe and other parts of the world has become more important than ever. Is real change finally underway in getting accountants to speak the same language? A Wharton conference on Oct. 18, titled “New Rules for American Business? Post-Scandal Directions for Policy and Governance,” plans to discuss that and other questions. Wed, 25 Sep 2002 00:00:00 EST Finance and Investment http://knowledge.wharton.upenn.edu/article.cfm?articleid=490&source=rss In a recent press release on third quarter performance, Amazon.com focused on a ‘pro forma’ loss of $58 million while conceding that the loss was $170 million under generally accepted accounting principles (GAAP). The difference came in accounting – or not accounting – for such expenses as the cost of “stock-based compensation, amortization of goodwill and other intangibles” as well as restructuring expenses, the company explained. Amazon is hardly alone in this practice. The SEC, however, warned early this month that it would sue any companies that use pro forma results to mislead investors. Wed, 19 Dec 2001 00:00:00 EST Strategic Management http://knowledge.wharton.upenn.edu/article.cfm?articleid=469&source=rss The dramatic disintegration of Enron has left a lot of people wondering how this huge, publicly-traded company could have fallen so far so fast. Wharton faculty and others help explain what went on behind the scenes at Enron, where it is now clear that management exploited loopholes in accounting procedures and created questionable partnerships involving top company officials, among other tactics. Wed, 21 Nov 2001 00:00:00 EST Finance and Investment http://knowledge.wharton.upenn.edu/article.cfm?articleid=300&source=rss The Financial Accounting Standards Board is proposing to change the way a company accounts for the premium – or payment in excess of fair market value – that it pays to acquire another company. The idea is to give analysts and others more information about merger activity, thereby allowing them to make better investment decisions. But as usual, there is more going on than meets the eye, and it may have as much to do with FASB sensitivities as it does with accounting practice. Wed, 31 Jan 2001 16:23:57 EST