The paper "Committee of Sponsoring Organizations - Corporate Planning" is a good example of a business case study. COSO i. e. Committee of Sponsoring Organizations of the Tread way Commission formed in 1985 and it is U. S.private sector. The main focus of COSO is to establish factors that can be identified as fraudulent financial reporting and to reduce such incidents. COSO is a joint sponsorship with the American Institute of Certified Public Accountants, American Accounting Association, Financial Executives International, The Institute of Internal Auditors and the Institute of Management Accountants. INTERNAL CONTROL The concept of COSO is one way of internal control.
The internal control consists of interrelated components like Control Environment, Risk Management, Control activities, Information & Communication and Monitoring. COSO also established Enterprise Risk management framework which consists of eight components in order to support four categories of business objectives. The eight components of enterprise risk management are Internal Environment, objective setting, event identification, Risk assessment, Risk Response, Control Activities, information & communication and Monitoring. AMERICAN DEPOSITORY RECEIPTS (ADR) The ADRs can be issued by any foreign company in order to represent their own that is to be traded in United States Financial markets.
Many Non-US companies can be traded on United Stock exchanges through the issue and use of ADRs. With the purchase of the ADRs, the US investors able to buy shares of foreign companies without inviting cross-border transactions. The ADR is carried in U. S. dollars in all respects such as price, dividend and it can be traded as US-based company, though the foreign company issued ADRs. The ADRs can be issued by US depository bank. Sometimes the prices of ADR close to the home price market.
In respect of foreign companies who are situated in the UK attracts 1.5% stamp duty reserve tax. So ADRs only to be issued by foreign companies so that US investors free to purchase or trade the securities of foreign companies. But M/s Riordan Industries is not a foreign company and hence it cannot issue ADRs. The corporate personnel who are looking the investment need not waste time on this issue. The decision is based that the headquarters of M/s Riordan Industries situated at San Jose, which is a city of California and hence it is US-based company for which it cannot issue ADRs. ENTERPRISE LIABILITY Every enterprise gets benefited from the society by using the local resources hence it is liability be extended towards society.
Mere earning of profits and doing the business is not enough. Hence the enterprises have common responsibility towards society so that society should be not damaged at any angle. As for as the concern of M/s Riordan Industries, it is engaged in the manufacture of plastics and its allied items such as plastic bottles, fans, heart valves, medical stents, customs plastic parts etc.
but the world itself is troubling with plastic since there was no other option to ruin the plastic and its related items. Simultaneously universe is overcrowded with the plastic.