In: Finance
Present arguments for and against the SEC's role in the regulation of business.
For-The. complementary. policy. formulation. and implementation. functions. of SEC significantly. enhance information. processing, financial. reporting, collaboration. and oversight. in financial. markets. These. functions offer. numerous. advantages. to businesses, investors. and. all. other. stakeholders.Against-SEC. provisions .lead to. understatement. and. overstatement. of some. information. in financial. statements. For. example, some. of the SEC-fronted. accounting. provisions. are. conservative. in. that. they. require. sales, profits, and assets. to. be posted. in. values. that. are. way. below. the. alternative. approaches. they. are. required. to eliminate. This effectively. understates. the. values .of revenues. and assets. as a whole. An. example. is the. treatment of intangible. assets. in the. pooling-of-interests and. purchase. methods. accounting. for. acquisitions.
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