Accounting Audits/Reports suppose to be not lying to give Right Informations accurate fast.
Some ceo to falsify their performance or to con investors money. Falsify the company accounts to show huge profits. Below are the reasons why not to.
Accounting is a kind of reporting for the CEO. You mess up the reporting, you totally are unable to run the company effectively. CEO needs accurate reportings to make critical decisions. Without accurate reporting. The ceo runs the company blindly. Let say you have 3 accounting reports = one for Owner, one for income tax & one for ceo accurate running. Your accounts staff become over-work. And eventually unable to produce the 3 reports on time. Without updated accounting report, the ceo soon runs the company blindly.
Your employees thinking the company is making profit. Stop working harder & want bigger bonus & salaries.
When you falsify the company accounts to show profits, you need to pay more income tax. Then your company gets into cashflow problems. Because the cashflows don't exist.
Many ceo know that you can pay satanic auditors a fee to falsify the company accounts. But what these ceo do not know is that these satanic auditors blackmail more & more money every 1-3 months. Until the company goes bankrupt. You get into more & more cashflow problems.
When you falsify the company accounts to show big profits, you need to pay Owner more dividends. You get into more cashflow problems
After a few yearly circles of fake accounts, because of tight cashflows. The ceo cut down on employees foods salary. Then the company productivity goes down. And finally the company goes bankrupt failure.
If the ceo is got caught in falsifying the company accounts. The ceo may go to prison. It is illegal to falsify company accounts.
Without accurate accounting reports, the ceo is unable to get accurate feedbacks on his company actions. Whether he does correctly or wrongly. He therefore run the company blindly.
As the accounting reports are fake, the ceo performance is highly over-estimated. This inaccurate appraisal of ceo performance, the Owner/Senior CEO is very difficult to select good CEO. There is no fair CEO performance indicators.
Those workers willing to falsify the accounts for you are dishonest people. They cheat the company more money. Cashflows become tighter.
Running a country is same as running a company. Accounting reports need to be accurate for country revenues to run the Country effectively. See above. Just change company accounts to country reserve accounts. And apply accordingly.
When CEO cheat. Then company is cheating also. When CEO true self. Then Company is truthful also.