Use the information above, the details in the supporting videos and links, the module material and your own understanding and critical analysis of the key readings discussed in both the module’s lectures and seminars to find answers to the questions below. You can also use some of the academic articles available on the ‘recommended readings’ list for this module available on blackboard.
1) In his interview, Chris Boxall; one of Patisserie Valerie’s stock owners stated that;
“Reality – at Patisserie Valerie – looked really good. I do not think cash can lie, but accounting can!”
In light of your understanding of the Patisserie Valerie Case and the module’s material:
How do you think accounting representations might have enabled this fraudulent misstatement incident to take place? In your discussion, provide a detailed critique of the claim that accounting mirrors and can objectively represent economic reality. (25 Marks)
2) Based on your understanding of the term ‘Accountability’:
Discuss how accounting institutionalises the concept of accountability in business organisations – Draw on the case of Patisserie Valerie to illustrate your discussion.
In your discussion, develop a commentary on how different forms of accountability can affect relationships between actors in an organisation.
(25 Marks)
School of Business Semester 2 – Fall 2019/2020 Accountability, Representation and Control (MN7262)
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3) Different parties were discussed in relation to the Patisserie Valerie case; the company chairman; Luke Johnson, the company’s chief financial officer and Grant Thornton as the company’s auditor.
Discuss whether it is easy to identify the party/parties who should be held accountable for the Company’s misstatement. Also, explain the reasons why you were or were not able to identify an accountable party or parties. (25 Marks)
4) Answer Both Parts of this Question:
A) Critically discuss how managers’ extreme focus on ‘efficiency’ in organisations generally affected the development of accounting control systems over time. (10 Marks)
B) How can we, as accounting practitioners and researchers, contribute to a better understanding and implementation of the concept of ‘Control’?
(15 Marks)
