I saw these reports on internal control over financial reporting on the Mylan annual reports. Management...

 

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I saw these reports on internal control over financial reporting on the Mylan annual reports. Management stated management has concluded that the Company maintained effective internal control over financial reporting as of December 31, 2014 2014 2015 2016 management has concluded that the Company maintained effective internal control over financial reporting as of December 31, 2015 Company maintained effective internal control over financial reporting as of December 31, 2016 DELOITTE & TOUCHE LLP stated our report dated March 2, 2015 expressed an unqualified opinion on the Company's internal control over financial reporting. our report dated February 15, 2016 expressed an unqualified opinion on the Company's internal control over financial reporting our report dated March 1, 2017 expressed an unqualified opinion on the Company's internal control over financial reporting Required: Look at the press release and reports on internal control over financial reporting. We don't know anything other than what is reported in the press release, so let's take the information as an adequate representation. 1. What would have been the financial affect of accruing the loss? Why might Mylan have been reluctant? Consider two constituencies: the reaction by investors and the reaction of plaintiffs. 2. What processes might should be place to review for lawsuits that might need accruing? If they did, how does an internal control get overridden or bypassed? COSO has this to say about a preferred process: Reviewing the completed financial reporting checklist (which is periodically updated for changes in financial reporting rules and standards) to ascertain that material presentations and disclosures have been prepared in accordance with Generally Accepted Accounting Principles I saw these reports on internal control over financial reporting on the Mylan annual reports. Management stated management has concluded that the Company maintained effective internal control over financial reporting as of December 31, 2014 2014 2015 2016 management has concluded that the Company maintained effective internal control over financial reporting as of December 31, 2015 Company maintained effective internal control over financial reporting as of December 31, 2016 DELOITTE & TOUCHE LLP stated our report dated March 2, 2015 expressed an unqualified opinion on the Company's internal control over financial reporting. our report dated February 15, 2016 expressed an unqualified opinion on the Company's internal control over financial reporting our report dated March 1, 2017 expressed an unqualified opinion on the Company's internal control over financial reporting Required: Look at the press release and reports on internal control over financial reporting. We don't know anything other than what is reported in the press release, so let's take the information as an adequate representation. 1. What would have been the financial affect of accruing the loss? Why might Mylan have been reluctant? Consider two constituencies: the reaction by investors and the reaction of plaintiffs. 2. What processes might should be place to review for lawsuits that might need accruing? If they did, how does an internal control get overridden or bypassed? COSO has this to say about a preferred process: Reviewing the completed financial reporting checklist (which is periodically updated for changes in financial reporting rules and standards) to ascertain that material presentations and disclosures have been prepared in accordance with Generally Accepted Accounting Principles

Answer rating: 100% (QA)

Step 12 1 What would have been the financial affect of accruing the loss Accruals are revenues or ex... View the full answer