General Motors project
This project requires you to research a company that is subject to Section 404 reporting on internal controls under the Sarbanes-Oxley Act and has restated its financial statements during the past six years. Section 404 requirements came into effect to large filers (defined as companies with market capitalizations greater than $75 million) on November 15, 2004. Identify a company that has restated its financial statements for fiscal years ending on or after November 15, 2004 to correct one or more misstatements. To locate your company, you can start with a Google search using the key word like "financial statement restatement." Companies also typically file amended reports such as 10-K/A's or 10-Q/A's when they restate. The GAO Financial Restatement Database provides good discussions about restatements as well as a list of firms that restated.
Your written report should be double-spaced, 12-point Times New Roman font, with 1" page margins. You may attach as many exhibits as you like (as long as they are relevant to your report). You must reference all attached exhibits in your report. Exhibits do NOT count towards your page length.
Your project report and presentation should address the following issues.
Required:
1. Did the company, its auditor, or the SEC, initiate or prompt the restatement? What explanations were provided to support the restatement(s)? [See restatement footnote or press release for explanation of restatement] Do you regard the explanations for the restatement as being convincing? Explain why or why not.
2. Based on a review of the financial statements of your company and any articles appearing in the financial press (e.g., Business Week, Wall Street Journal etc.) about your company, is there any reason to believe that the misstatements were perpetrated intentionally to conceal a deteriorating financial condition or to increase the values of managerial bonuses or stock options given to management? Explain why or why not.
Attachment:- Assignment.rar