ACCT 6230 Week 4 Actual

This is a big assignment. Please write at least 2 paragraphs on question 1 and 2 that are posted below. The attachment is separate assignment but make sure you write at least 1 big paragraph if not then 2 paragraphs for each question. Ask questions before you start working on it. 

1. Some think that lawyers are lined up just waiting for the lawsuits to begin since the implementation of FAS 157. Discuss who the parties to the lawsuits might be, what they may be suing over, and how potential litigation might affect the decisions a company is making about their valuations (primarily for Level 2 and 3). There is quite a bit of material on the internet about this, share links to articles or blogs you may have found. How might significant litigation affect the usefulness of the new rules? To start you out, check out the June 2008 issue of Journal of Accountancy Article “A Litigator’s Perspective” by Antonio Yanez Jr. (in Weblinks)

2. There is a much controversy about whether or not Fair Value works when markets do not behave in a “normal” pattern such as in late 2008 and early 2009. Discuss Fair Value in both a normal and abnormal market situation; giving recent examples of entities/individuals who have spoken out on both sides of the controversy. Do you think Fair Value is really fair and truly provides the readers of the financial statements accurate information? Why or why not? Did Statement 157 cause in part or in whole, our recent economic crises? Use this discussion amongst your classmates to help you form an answer to the final homework question of the week.