[OPE-L:7869] Re: accounting for value

From: Tony Tinker (TonyTinker@msn.com)
Date: Tue Oct 29 2002 - 11:08:37 EST


Dear Jerry et. al, 

Accounting numbers may be tempered by reality, but there is no strict correspondence between the fortunes of businesses, and the figures in the financial statements.  Accordingly, a degree of subjectivity underpins all accounting disclosure, and what is published, and what is allow 'by the rules', is always subject to negotiation (between the auditor, client, SEC, FASB, and sometimes Congress). 

That said: yes you can reconstruct the numbers to obtain a better piclture (but you need a decent accounting education to be able to do that).  

If you'd like to see more stuff on the accounting specifics at Enron, I've prepared a PowerPoint & HTML presentation at : http://zicklin.baruch.cuny.edu/critical/.  Just follow "Enron: the Movie!"  link on the homepage.  

If anyone would like a copy of a paper that provides a fuller exposition of the accounting issues: "Enron Lays Andersen", that is currently under review, let me know and I'll send a copy. 
Tony Tinker
Professor and Editor
Critical Perspectives on Accounting
The Accounting Forum
Baruch College: CUNY Box B12-225
17 Lexington Avenue
New York, NY 10010
Email: TonyTinker@msn.com
Tel: 646 312 3175
Fax: 646 312 3161
Critical Conference Site: http://zicklin.baruch.cuny.edu/critical/
  ----- Original Message ----- 
  From: gerald_a_levy 
  To: ope-l@galaxy.csuchico.edu 
  Sent: Tuesday, October 29, 2002 6:34 AM
  Subject: [OPE-L:7867] accounting for value


  Alejandro and Tony -- thanks. I'm very happy that you 
  found the link in [7862] and other posts to be useful.
   
  Tony -- has there been any discussion amongst radical
  accountants about the implications for Marxian empirical
  works on value of the Enron, Anderson et al affairs?  
   
  How do we know that the numbers generated by corporations
  and the state are "real" and aren't "cooked"? 
   
  Are there any steps that Marxists who are engaged in this 
  field should take to qualify or modify the data?
   
  In solidarity, Jerry
   
  Critical Conference Site: http://zicklin.baruch.cuny.edu/critical/


This archive was generated by hypermail 2.1.5 : Thu Oct 31 2002 - 00:00:01 EST