Description:   Now it looks like all of Facebook’s privacy issues may be going to cost the company big fines. Regulators at the Federal Trade Commission – otherwise known as the FTC – are in discussions with Facebook over what may turn out to be the largest fine the agency has ever imposed. Last March the Cambridge Analytica scandal erupted, focusing unwanted attention of Facebook’s handling of data privacy. And since that time, additional problems have emerged

Date:  February 14 , 2019

Source:  cnn.com

Link:https://www.cnn.com/2019/02/14/tech/ftc-facebook-fine/index.html

Discussion points: 

1) In the last few months have you changed any of your social media habits in response to stories of data breaches?

2) How would Facebook account for a large fine imposed by the FTC? How would it show up in the financial statements?

3) On page 242 in Wiley’s Financial Accounting: Tools for Business Decision-Making you can read a more positive news story about Facebook, of how the social media site was used to benefit a Canadian manufacturer. Consider having a class discussion on the pluses and minuses of Facebook .