ACcoutint Theory

Holmes Institute HA3051 Memo 03 – Semester 03, 2014

Background:

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Mr. Howe, a Junior Partner of the CPA firm Dewey, Cheatem, & Howe (DCH), has publicly asserted that “…the business of business is business and that social welfare issues like jobs and equity and environmental issues like air quality and global warming should be left to governments.”

Required:

Mr. Tu Dewey has asked you to review Mr. Howe’s assertions and to comment as whether his ideas are a good way to run a modern business—include notions such as: Legitimacy, Social Contract and Stakeholder Theory.

NB: please remember that while Mr. Dewey is the senior partner of DCH, Mr. Howe (as a junior partner) can hurt you if you are not polite and considerate.

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