Audit & Accounting

The Big Four, plus major audit players Grant Thornton and BDO International, have joined forces to call for a new business reporting model.In a paper, the firms endorse the concept of accounting rules that are standards based, offering fewer details but giving more responsibility to auditors to interpret those rules. According to the six, the concept should lead to less fraud and more useful financial information -- and ideally protect their businesses from the liabilities audit work opens a firm up to.

With the close of 2006 approaching, we asked industry leaders to share their ideas of what the accounting profession will look like in five years: What will be its major concerns? Challenges? Hot new service areas? What will shape will the firm landscape have taken?

Merck & Co. disclosed four separate tax disputes that have combined potential liabilities for the drug maker of more than $5.5 billion.

RSM McGladrey has announced plans to join forces with U.K.-based RSM Robson Rhodes.

The International Federation of Accountants is seeking proposals for the development of an explanatory guide on implementing its quality control standard.

LarsonAllen announced that is has acquired the offices of Florida’s Chastang, Ferrell, Sims & Eiserman LLC, in a deal effective Nov. 1.

New research covering 86 countries has confirmed that while low corporate tax rates can help give a country a significant competitive advantage over economic rivals, the advantage tends to be short term.

The bankrupt maker of Twinkies and Wonder Bread has reportedly settled a Securities and Exchange Commission investigation into its recordkeeping and accounting.

To flatlanders, climbing a mountain may seem like a straightforward task. After all, from down below and at a distance, the summit can be seen clearly, even obviously. But experienced mountaineers know they face a different perspective when they hit the trail toward the top.Specifically, as climbing angles steepen, the summit in their view - seemingly so easily conquerable - is nothing more than a "false summit." False summits are intervening ridges or other terrain features that are positioned between the climber and the real pinnacle in such a way that the latter is obscured.

NASD FINES METLIFE UNITS $5M: The National Association of Securities Dealers imposed a $5 million fine against three MetLife Inc. units - MetLife Securities Inc. of New York, New England Securities Inc. of Boston, and Walnut Street Securities Inc. of St. Louis.In response to an inquiry that it sent in September 2003 centering on the late trading of mutual funds, the NASD said that the MetLife trio provided inaccurate and misleading responses. The MetLife firms neither admitted nor denied the charges, but consented to the entry of the NASD's findings.