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1. One of the current debates discussed in your text has to do with historical cost vs. fair value accounting. How does historical cost differ from fair value? Why do businesses favor the use of fair value accounting? What are your thoughts?
2. Class, this week’s reading discusses the importance of managing legal compliance and ethics. The text discusses the US Federal Sentencing Guidelines. The US Sentencing Commission allows prosecutors to determine appropriate penalties by assessing the quality of an organization’s compliance program. What do the sentencing guidelines state with respect to ethics programs? Are Federal judges required to follow these guidelines?