Newspaper logo  
 
 
Local Stories, Events
Health Care & Environment

09.18 'Terrifying' New Climate Models Warn of 6-7°C of Warming by 2100 If Emissions Not Slashed

09.17 New Report Details 10 'Critical Transitions' to Tackle the Climate Crisis and Feed the World

09.16 Common pesticide makes migrating birds anorexic [Neonicotinoids, again...]

09.16 ACT plans far-reaching electrification of vehicles and homes in drive to reduce emissions

09.16 'Like a sunburn on your lungs': how does the climate crisis impact health? [Important]

09.16 $1m a minute: the farming subsidies destroying the world [Important]

09.15 German Study: Alarming Levels of Dangerous Plastics in Children's Bodies

09.15 Sea levels may rise more rapidly due to Greenland ice melt

09.15 The world has a third pole – and it's melting quickly

09.14 Not Just the Bees, First-of-Its-Kind Study Shows Neonics May Be Killing Birds Too [A GESTALT: Like happened at Boeing, deregulation has displaced scientific and engineering professionalism in many companies and governments to focus on profits/economics almost exclusively. But after similar failure of scientific rigor, die-off reports of bees, worms and sea-life, generally, there must be a moritorium on production, sale and use of all potentially dangerous chemicals!]

09.13 Trump Rollback of Key EPA Water Protection Rule Denounced as 'Callous' and 'Immoral' Giveaway to Big Polluters

09.13 Worms fail to thrive in soil containing microplastics – study

09.13 Dolphins in Channel carry 'toxic cocktail' of chemicals [What is safe to eat?]

09.11 How Can We Address Climate Change Through Agriculture? [3:43 video]

09.11 New solar tech could revolutionise electricity production

09.11 'It can kill you in seconds': the deadly algae on Brittany's beaches

09.10 How to look after your mental health

09.10 Who’s Ready for the Electric Moped Moment? [Uses car lanes instead of sidewalks!]

09.09 The Climate Investment That Promises 400 Percent Returns

09.09 Suicide rates are rising across the US, especially in rural areas

09.08 Blend solar panels with agriculture, new study recommends

09.08 Before Hurricane Dorian, Charleston Already Had a Flooding Crisis

News Media Matters

09.16 From Voice of America to NPR: New CEO Lansing's Glass House

09.15 'No Policy, No Facts, Just Displays of Violence': Ocasio-Cortez Says Hysterical Ad Proves GOP Has No Response to Progressive Vision [0:30 video]

09.14 Sanders Campaign Hits Back Against 'Dishonest' Biden Attack on Medicare for All [The facts don't lie, but America's media totally does lie when paid by advertisers to distort single-payer as more expensive: 1:35 video]

09.12 Media bias is OK – if it's honest [‘It should be obvious that there can’t be such a thing as a neutral journalist.’]

Daily: FAIR Blog
The Daily Howler

US Politics, Policy & 'Culture'

09.18 Why Trump Can’t Learn: An Educated Guess by a Veteran Teacher [Might dyslexia explain the Republican party, generally?]

09.18 'Heartless and Unconscionable': Outrage as General Motors Cuts Off Healthcare for 50,000 Striking Workers [Hideous corporate behavior putting 50,000 families at greater health and bankruptcy risk.]

09.18 Whole Foods Will Cut Health-Care Benefits for Nearly 2,000 Employees [Hideous corporate behavior putting 2,000 families at greater health and bankruptcy risk.]

09.18 US healthcare is booming. So why do one in five workers live in poverty?

09.18 Greta Thunberg to Congress: ‘You’re not trying hard enough. Sorry’

09.17 'The silenced': meet the climate whistleblowers muzzled by Trump

09.17 Democrats have long blamed 'culture' for black poverty. Joe Biden is no exception

09.17 The Guardian view on the future of work: share out the benefits

09.16 America is stuck with Brett Kavanaugh

09.16 Sanders Responds to Biden's Praise for Pharma Companies: 'Their Behavior Is Literally Killing People Every Day'

09.15 'Americans are waking up': two thirds say climate crisis must be addressed

09.15 The Plutocratic War on People: Centrists and Conservatives are Ignoring the Giant Elephant in Our National Living Room

09.14 The U.S. Health-Care System Found a Way to Make Peanuts Cost $4,200

09.14 California church leaders 'used homeless as forced labour' [A coarsening of public behavior...]

09.14 Taco Bell customer who was treating homeless group to meals says she was kicked out of restaurant [A coarsening of public behavior...]

09.14 We Asked Prosecutors if Health Insurance Companies Care About Fraud. They Laughed at Us.

09.14 Elizabeth Warren’s Health Care Plan Still Leaves a Lot of Unanswered Questions

09.14 Medicare for All Would Cut Poverty by Over 20 Percent

Justice Matters

09.14 NY AG uncovers $1 billion in Sackler family wire transfers amid opioid probe: report

09.12 'Decades of Progress Are at Stake' as Trump Reaches 150 Lifetime Judicial Appointments and Right-Wing Court Takeover Accelerates

09.12 JUSTICE SOTOMAYOR ISSUES SCATHING DISSENT TO SUPREME COURT'S ASYLUM RULE DECISION: THE STAKES 'COULD NOT BE HIGHER'

09.11 Former top FEMA officials arrested on fraud charges in Puerto Rico

09.09 The great break-up of Big Tech is finally beginning [Facebook and Google effectuate the evil of data analytics]

High Crimes vs. Human Rights
Economics & Corrupt Capitalism

09.12 The insidious ideology pushing us towards a Brexit cliff-edge

09.12 Boeing's travails show what's wrong with modern capitalism

International & Futurism

09.18 If the world ran on sun, it wouldn’t fight over oil [1:45 video]

09.17 ONLY A GREEN NEW DEAL CAN DOUSE THE FIRES OF ECO-FASCISM

09.17 The Guardian view on Modi’s 100 days: trashing lives and the constitution

09.17 The Observer view on the threat posed to Israel by another Benjamin Netanyahu victory

09.17 For Palestinians, Israel’s elections promise nothing but defeat

09.17 I now look back on my 20 years of climate activism as a colossal failure

09.17 The world ignored the warning signs – and now the Middle East is on the brink

09.16 EXCLUSIVE: Iranian drones launched from Iraq carried out attacks on Saudi oil plants

09.16 'We walk with our heads high': the women who care for country by fighting fire with fire

09.16 Inheritance tax would be scrapped by the Brexit party – good news for the very rich

09.16 Tunisian exit polls suggest shock victory for political outsiders

Google
This site Web
  Print view: Thinking About Accounting
COMMENTARY:

Thinking About Accounting

by Fred Cederholm
The government and the legislative/ regulatory arms of the government have been the pimps for this new “black is white” snow job of the “opposites.” Governmental (or regulatory) accounting has become a terminal practice of misrepresentation.

I’ve been thinking about accounting. Actually I’ve been thinking about 2007/ 2008/ 2009/ 2010/ and 2011, the practice of accounting, the economy, business, government, and realities. Accounting is more than the collection of numbers on a few sheets of paper. Accounting has a long history of “telling what is what” at any point in time. It is supposed to be consistent, verifiable, and immune from manipulation. Au contraire, mon ami, au contraire... you might TH*NK... How does that old saying go? “Figures don’t lie, but the liars sure can figure.” Please read on...

You see when I was in graduate school in business at the University of Illinois working on a Master’s Degree in “Accounting Science” in the late 1970s. The U of I had the top accounting school in the entire US. I took the required colloquium in accounting “theory” with the brilliant Professor Park. We never knew what path (or subject) he was going to attack in any one of his class sessions. The criminal cases we covered and “discussed” seemed so disjointed and the perpetrators usually walked away initially with MILLIONS (remember that this over thirty years ago when a million was a big deal). If they were convicted at all, it usually had nothing really to do with the faulty accounting... well not really as the game played out. It was the “activity” adjuncts that nailed their sorry butts to the wall in the years later. Still... the accounting was critical to the frauds, the crimes, and the misdemeanors. And does surface prominently when the redress is sought, and the guilty parties are finally convicted.

Professor Park’s final exam for the class NONE of his students truly understood was basically three questions: “Is accounting an art? A science? And, Why?” It was an evening exam so Park told us we could take as much time as we wanted. Most of the grad students were baffled and were mad as HELL. During the last weeks of the class, I felt I had an idea about what “theory” Park was working towards in his advanced accounting theory colloquium. I started out defining “art” as a man made creation, a thing of beauty, an often misunderstood abomination, something whose value was different for each person. Yes, accounting might be construed as an “art.” But, there was far more...

Accounting was also a “science” in the sense that there are rules and natural consistencies which are cumulative --- that build upon each other. These can be stated and must be observed if the financial statements are to work for one and all of the users. There are a balance sheet with assets and liabilities, and an income statement which must work in unison to tell the complete story of any entity over time. There are debits and credits which must be equal in value. A reading of the financials should be similar in interpretation to each of multiple readers, or something is amiss. Accounting is really a language --- it is the language of business. The purpose of a language is to communicate. Its unfolding should divulge the same information to each of the different people who read and study its tale of what occurred in the time frame described. TH*NK about THAT in light of the events of the past years.

We have dug ourselves into a deep hole of debt. Our concepts of assets and liabilities have completely lost their way. Our money is backed only by a liability, and as such is no asset --- although there is still the across the board attempt to value all things in terms of money! Does that mean that all things are liabilities? He who owes the most wins? That has become the mantra of Wall Street and the investment lending community. Would the investment bankers have been so successful in riding this nation (and the world) into the ground were it not for this mishandling of the accounting behind the story? Would they have been able to market their derivative investments so successfully where opposites rule our TH*NK*NG and compromise our evaluative powers?

Trust me... there is no new math, no easy new path to riches, and NO new accounting which is not in reality criminal in intent. There are clearly some debits or credits missing in the financial statements we have been given to hype the most recent boom, bubble(s), fraud(s), and governmental policies. Things are about to change, they have too... The time honored truths which came from centuries of valid accounting information are going to resurface in this coming year, or year(s). This happens after every bust in history. We are only just beginning to be shared the accounting (black) magic of the Federal Reserve Bank. The bailout was not the TARP of $800 BILLION used to purchase and warehouse the bad (as in worthless) paper assets of the financial community. It will prove to be far more than the MULTIPLE TRILLIONs in electronic money actually showered world-wide by the FED. Off the books may have been the way of the past, but it will NOT be the fix of the future!

The government and the legislative/ regulatory arms of the government have been the pimps for this new “black is white” snow job of the “opposites.” Governmental (or regulatory) accounting has become a terminal practice of misrepresentation. Governments operate from an income (loss) statement only presentation of their situations. There is no balance sheet with the comprehensive statements of the assets and liabilities. They are at best package a statement of changes in liabilities as “their balance sheet.” It doesn’t work, but why should it have to, it is for the government??? The checks and balances are simply not there. Our only hope for a revelation of the whole accounting behind the story on page one of what has happened can lead us to a remedy, a fix, and a return to real prosperity. Watch the news and how accounting will prove at the center of all of it. We will be in for quite a year... CHEERS!!!

I’m Fred Cederholm and I’ve been thinking. You should be thinking, too.


Copyright 2010 Questions, Inc. All rights reserved. Fred Cederholm is a CPA/CFE, a forensic accountant, and writer. He is a graduate of the University of Illinois (B.A., M.A. and M.A.S.). He can be reached at asklet@rochelle.net.



Copyright © 2010 The Baltimore News Network. All rights reserved.

Republication or redistribution of Baltimore Chronicle content is expressly prohibited without their prior written consent.

Baltimore News Network, Inc., sponsor of this web site, is a nonprofit organization and does not make political endorsements. The opinions expressed in stories posted on this web site are the authors' own.

This story was published on December 27, 2010.

 

Public Service Ads: