Goals of Financial Reporting Ethics

Write a short paper discussing the importance of using financial reporting to formulate a firm’s goals. Additionally, provide a summary of how ethics and SOX compliance play a role in financial reporting. Address your paper to the ethics of properly reporting earning, debt, and cash flow. As you continue in the course, you will learn about the value of financial statements as they connect with strategic planning internally for the company and how these statements affect stock valuation. Company valuation and stock valuation are related and companies are often measured against their competitors in the marketplace. If companies provide ethical and honest reporting of earnings, then investors have the information needed to successfully invest in stocks. The measure of one company’s stock is measured in conjunction with other companies in groups or indexes of stocks. The Dow Jones Industrial Average is just one of the indexes that rely on the honest and ethical reporting of corporate earnings.  Your response should demonstrate thoughtful consideration of the ideas and concepts presented in the course and provide new thoughts and insights relating directly to this topic. Your response should reflect scholarly writing and current APA standards.     References you can use (this given to us by our professor) 1. Lessons in Corporate Finance: A Case Studies Approach to Financial Tools, Financial Policies, and Valuation (Chapter 2 Only) 2. Financial management and the planning cycle [Video file]. (2011). 3. Gupta, P. P., Sami, H., & Zhou, H. (2018). Do companies with effective internal controls over financial reporting benefit from Sarbanes–Oxley… 4. Kramer, B., & Johnson, C. (2009). Chapter 1: Four basic financial statements. Financial statements demystified. McGraw-Hill Professional Publishing. 5. Laux, J. (2010). Topics in finance part I-introduction and stockholder wealth maximization. American Journal of Business Education, 3(2), 15-21. 6. Saviana, S., & Kuzmina Merlino, I. (2015). Improving financial management system for multi-business companies. Procedia- Social and Behavioral…