research paper

Overstated income (overstatedrevenues, understated expenses or a combination) is an area of concern to theSEC. Go to http://www.sec.gov/divisions/enforce/friactions.shtmland locate an enforcement release where there is a discussion of overstatedincome and issues with the audit or auditor. Prepare a memo to explain why theSEC had an issue with income overstatement and how the auditor could have donea better job.