Acct415: Law for Accountants

Instructions

In a 750-1,000 word Microsoft Word document in APA (7.0) format, respond to the following scenario. You must include at least three outside references (in addition to the textbook). Ensure your essay has a title and reference page formatted in APA.

Milton Mende purchased the Star Midas Mining Co., Inc., for $6,500. This Nevada corporation was a shell corporation with no assets. Mende changed the name of the corporation to American Equities Corporation (American Equities) and hired Bernard Howard to prepare certain accounting reports so that the company could issue securities to the public. In preparing the financial accounts, Howard (1) made no examination of American Equities' books; (2) falsely included an asset of more than $700,000 on the books, which was a dormant mining company that had been through insolvency proceedings; (3) included in the profit and loss statement companies that Howard knew American Equities did not own; and (4) recklessly stated as facts things of which he was ignorant. Did Howard act unethically? The United States sued Howard for criminal conspiracy in violation of federal securities laws. Is Howard criminally liable? United States v. Howard, 328 F.2d 854, 1964 U.S. App. Lexis 6343 (United States Court of Appeals for the Second Circuit)

Refer to the Writing Assignment Grading Guidelines below for assignment requirements in content, organization, writing style, grammar and APA 7 format.

Your paper will be automatically submitted to Turnitin in the assignment dropbox. Originality reports will be returned to the faculty and student. Multiple submissions are allowed. For full credit, make sure that your Similarity Index does not exceed 20%. Refer to the following links for APA guidelines.

APA Style

Purdue OWL

Guidelines	Writing Assignment Requirements
Content (60%)	Response demonstrates a clear understanding of the key elements of assignment questions. Response thoroughly covers the elements in a substantive manner. Response demonstrates critical thinking and analysis. Content is complete and accurate. Introduction and conclusion provide adequate information on the given topic.
Organization (20%)	Paper structure is clear and easy to follow. Ideas flow in a logical sequence. Introduction provides a sound introduction to the topic and previews major points. Paragraph transitions are logical and support the flow of thought throughout the paper. The conclusion thoroughly reviews the major points.
Writing Style, Grammar, APA Format (20%)	Sentences are well constructed, complete, clear, and concise. Words used are specific and unambiguous. The tone is appropriate to the content and assignment. Grammar, spelling and punctuation are correct. APA guidelines (7th edition) are followed, such as headers, citations, references, etc. Effective use of aids, such as sections, summaries, table of contents, indices, and appendices (if appropriate)