A new generation of communication, advertisements and financial announcements has begun to take over the accounting world. Many accountants have used social media platforms, such as Facebook and Twitter, to reach new clients, and disclose vital data about their company. But, not many have proper control of these posts.
Financial statements or news about their financial affairs have always been public for the people to see on the company’s website, but now a new platform to post financial statements has emerged. More and more companies have posted crucial information about their financial statements online through a company’s social media channel such as Facebook. According to the SEC, companies are able to use social media outlets to announce
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It can be faster and simple by just replying to their post instead of writing lengthy emails. A great channel to have short and fast communication with clients is Twitter, but issues may arise with this form of communication. A crucial limit of Twitter is its very short posting constraint. With the limit of 140 characters, how can one answer a client’s question. When answering a client’s question about his/her financial position, one needs to be clear and make conspicuous disclosures. A misinterpretation of the content may raise issues such as diligence, prudence and it can be perceived as false or misleading. This can lead to a violation of due care principle under the AICPA. As an accountant, one has the duty to perform to the best of one’s ability and in accordance with the interest of the …show more content…
There is too much sensitive information that can affect the overall progress of a company. If there are regulations in placed, communicating through social media can be effective. Some regulations that firms can implement are: don’t post information or news that you know is false, be respectful and sensible, be transparent on your relationship with the company, don’t disclose privilege or confidential information and be aware of inadvertently creating CPA-Client relationships. Such regulations can help CPA’s use social media more professionally and social media can even help the firm
All financial information and notes are used to asses a company’s health and predict what the coming year may hold. The information found on the financials contains a large amount of information and once one understands how to interpret it then one has a visual of the company’s health.
The annual report or 10-K of a company is a useful source of information for many agents outside of the corporation. Shareholder’s can view the contents of an annual report to get a more comprehensive idea of what the company is built upon. Additionally, annual reports show a company’s progress over the past financial periods and give a detailed breakdown of company investing and operations. The 10-K and all related documents are easily accessible on a company’s website for the public to view. i
Facebook is currently the most popular means of social media with nearly a billion users per month (eBizMBA, 2014). Such heavy usage raises the possibility of users sharing massive amounts of data, intentionally or otherwise, via the internet. Facebook collects all this data and stores them. A critical examination of Facebook’s pr...
The challenges and risks that social media brings to higher education range from small distractions keeping students inattentive in their studies to serious legal concerns. With the rapid advancement and impact of social media, potential for cyberbullying, and possible slander, many higher education institutions realize the need for changes in policy. Administrations cannot stop the force of social media. Scholars, like Rodgers, feel that creating new policies are an attempt at establishing control to protect the institution. Instituting social media policies are the best way an institution can safeguard itself for legal purposes.
Many organizations have had to change the way they operate because social media has become such a powerhouse that has to be implemented in their marketing and communication strategies.
Social media start as a very personal tool for users to communicate with their friends and closely related people. Soon after, business area have also take the advantage of this innovative way of exchanging information.
Schofield (2014) researches the difference between public and private company financial reporting. For instance, a private company has fewer consumers reviewing their financial statements, whereas public companies could have multiple consumers reviewing financial statements. In addition, private companies typically have less specialized accounting personnel, whereas public companies will have several. Lastly, Schofield (2014), reviewed the number of amendments proposed and finalized to help benefit private companies financial reporting.
Social media is a revolution, which we are currently experiencing. It has changed the way people communicate and interact with one another, and opens up many more avenues to share news, information, and just general chit chat. Social media is relatively quiet young, but is here to stay for the foreseeable future. We are now at a point where online, we can share, read and react to lots of individual information being posted on microblogging websites, such as Twitter, Facebook, Google+, Tumblr and more. Twitter in particular has been widely embraced, and will centre most of the discussion.
Effective communication in an organization is one of the components of its success. Managers are charged with navigating communication obstacles while making every effort to harness its benefits. This onus placed on managers is compounded by organizational advancements and the application of new technologies. One relatively new organizational technology being applied is the use of social media. Social media creates communication issues yet conversely alleviates specific communication barriers by playing several roles within organizations today.
Social media is an imperative public relations tool for companies to utilize in their business practices. Social media cannot be regulated so anyone can say what they please about the company, whether it is good, bad or ugly. Social media is developing rapidly and there are new platforms
Platforms such as Facebook and Twitter allow users to access company information, photos and employees as well as ask questions and express personal experiences with the company. It also allows potential employees to understand the vibe of the organization and gain a deeper and more personal understanding than a website. However, with social media, it is important to not ove...
Increased competitions and high expectations of the companies have put high pressure on the accountants. Making the most accurate decisions and helping the companies maximize their financial performances have become almost basics of the accountants’ duties. Many business owners question why they need to seek the services of an accountant when they can do many things themselves with the help of the technological tools. Today, an accountant must provide more than what technology can do for the company. They have to set business plans, goals and provide guide to achieve them with less cost and most profit. They have to advise business on their investments and project the most profitable decisions for the company. Beside the investments, accountants expected to consult the firms on their consolidations with other firms. Making decisions and researches on reducing costs, and sharing resource while providing variety of offerings puts lots of stress on the
Stout, Kay. "The battle of full disclosure on Facebook, Twitter, LinkedIn, Plaxo, Orkut et al." Another Point of View. N.p., 20 Nov 2009. Web. 1 Apr. 2014. .
..., which can result in decreased productivity. An employee may be spending more time viewing their friends’ posts and pictures, rather than focusing on their job. Social media can be addicting to some people. This should be monitored by all business owners. Employees can attend a party with people taking pictures, and then the pictures can be misconstrued or distorted. Online reputational concerns can be critical for businesses along with their employees. It can result in loss of employment, loss of economics, and unforgivable social humiliations. Businesses are at another disadvantage while using social media because followers can post negative comments on the business’s Twitter, Facebook, and Instagram site. Also, a hacker can retrieve the company’s page and post false information. A business or organization’s reputation will suffer from these actions. (Oravec 97)
Secondly, the social media has made it easier for businesses and business people such as bankers, business owners, brands, and even celebrities to communicate faster and to get things accomplished. Through social media interaction networks such as Twitter, Instagram, What...