Materiality in auditing

Materiality is a concept in auditing that attempts to set a dollar value guideline for the scope of evidence testing at the substantive level, analytical procedures, and to a lesser extent, controls testing. According to Krupo: “Materiality is the smallest misstatement of a company’s finances that would cause a person to change how they valueContinue reading “Materiality in auditing”

Amazon’s 1-click patent to be reexamined

It was recently announced that Amazon.com‘s 1-click payment patent will be reconsidered by the USPTO, but what is so interesting is that it was not filed by one of Amazon.com’s business competitors or by an NPO like the Electronic Frontier Foundation which protects online freedom, but from a New Zealand actor who paid the reexaminationContinue reading “Amazon’s 1-click patent to be reexamined”

Pressure to decrease gas taxes is misguided

Inevitably when the price of gas rises, drivers cry foul and the call comes to governments to alleviate the pain, in the form of reducing taxes on gas. However, the idea that governments should lower taxes on gas in response to globally increasing demand outstripping an increasingly unstable supply is a misguided approach that treatsContinue reading “Pressure to decrease gas taxes is misguided”

Nortel completes latest restatement

Nortel released their 2005 financials Friday and completed more restatements of prior years’ results. The restatements related to revenue recognition and decreased revenues and net income because the revenue should’ve been booked in different periods. Maybe this will mark a turning point for the Canadian communications equipment company and they can retain (or regain) theirContinue reading “Nortel completes latest restatement”