We revisit a handful of comments posted recently on CFO.com. Check the articles and join your peers in the discussion. Reply to comments directly on this page.
National Sales Tax Wouldn’t Depress Consumer Spending: Study
When a tax on consumption is a “distinct percentage add-on,” U.S. consumers tend to pay little attention, say researchers.
Small Firms Pay Bigger Slice of Revenue in Audit Fees
Small publicly held companies pay more than $5,000 in audit fees (on average) for every $1 million in revenue, finds Audit Analytics.
This sounds like economies of scale, the more money a firm makes the more it spread out the cost of audit fees. I am concerned with the smaller companies though, our company paid more than $5,000 per $1MM in revenue this year. Can you break out some of the businesses in the 1-5MM range please?
EY Agrees to Settlement of Lehman Auditing Suit
The auditor helped Lehman Brothers’ balance sheet appear healthier and less risk-laden than it actually was, charged the New York attorney general.
Justice Delayed, but not denied. Big 4 will need to learn lessons from every accounting fraud and not facilitate more frauds.
CFO Manages Around Commodities Price Volatility
Ingredion’s Jack Fortnum juggles customer contract models, pricing strategies, currency instability, and working capital controls.
Most companies today are affected by commodity costs, yet how many of them are thoughtful about hedging their exposures? Consider the opportunities now for companies that consume energy (and which don't?) to lock in lower costing that is embedded into their financial forecasts. It's time to take a look at how to take advantage of the recent plummet in oil prices.
Watchdogs Call for Shorter Window for Activist Disclosures
Groups say loopholes in securities laws allow activist investors to secretly buy large stakes in companies before initiating hostile takeovers.
Shortening the disclosure window is a poor idea for market fairness. Further, it's contrary to the goals of laws surrounding these types of issues, such as the Williams Act of 1968.
They have petitioned the SEC "to no avail" because the SEC understands this window creates more good than harm. This group and the Marty Lipton's of the world are simply "talking their own books".
4-16-2015. Ms. LeeJai Cook, Roaring Springs, TX.
A National sales tax would definitely be a VERY regressive tax. Persons living at the bottom of the income ladder would pay the same amount in taxes as would the persons in high economic brackets. Under the sales tax, poor people might be unable to purchase numerous needed items.