Earnings management is typically regarded as a bad thing. I will cover why it’s considered a bad thing‚ and what it entails. When an executive “cooks the books” it’s referring to them providing false information in order to deceive other important employees or shareholders. This act includes‚ but is not limited to: falsifying receipts‚ inventories‚ balance sheets‚ and/or cash flow statements. This is an important concept to familiarize yourself with because‚ if identified and stopped in time‚ could
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The ratios considered useful by upper management will be different than what an investor consider useful. Senior management will be concerned with the ratio like return on total assets because they want to know how the company is fairing overall and whether they will be able to meet the debt holders liability and shareholders expectation. An investor will be more concerned with ratios like return on equity because they just want to know how whether they will be able to make profit on their investment
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reported earnings and the reasons behind each way may be different. (1) Report lower earnings. Managers intend to report lower earnings for mainly three reasons. Firstly‚ they want to hide profit for future use. In some years‚ the company presents a strong performance and has earned huge profit; however the manager may worry that the company’s future performance would not be as strong as current year‚ which gives them the incentive to save the profit by reporting a managed lower earning‚ so that
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centres‚ Calidad de Vida as it is called‚ has a cloud of dilemmas hovering on her mind. Victor Serna‚ an angel investor‚ has offered her three million euros as an investment in her company. However‚ Victor does not prefer franchising and had informed Gloria that he would rather she open up new centres with direct ownership and control. On top of that‚ he is demanding for a twenty-five per cent stake‚ a board seat with voting rights on all strategic decisions and the option of liquidating his position
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cognitive and academic achievement scores as teens.” (West) When children are placed in daycare at an early age they are able to adapt to the teaching and skills that are being provided more efficiently‚ children will then have an opportunity to find what interests them and help their minds grow they become more willing to learn alongside their peers. “Your child deserves quality education from the start. The quality of child care has a direct impact on a child’s ability to learn‚ to build healthy
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Earnings Management and Its Implications Educating the Accounting Profession By Michael D. Akers‚ Don E. Giacomino‚ and Jodi L. Bellovary August 2007 Issue AUGUST 2007 - In the wake of continuing‚ highly publicized E-mail Story financial frauds and failures‚ the accounting profession has placed renewed emphasis on issues related to earnings Print Story management and earnings quality. The SEC and the public are demanding greater assurance about the quality of earnings. Staff Accounting Bulletin
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prove vitally important in the business operations of a service provider; however this document strives to explore both ends of the debate‚ that is‚ the overarching importance of employees and customers. Significant research has been conducted regarding the nature of the two groups‚ which has aided this critical analysis of the notion that employees are more important than customers as well as the counter-argument that employees are indeed more important. Employees are more important than customers
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Writing is important because it’s communication. We can communicate with others when they’re not where you are or at a different time than you are. It´s agreed that writing needs to be develop and also is one of the most challenging tasks for students of ESL. The main purpose of this academic essay it is to prove by giving facts of why writing it’s a challenging task and also why it is important to teach writing to ESL. Teachers nowadays agreed that communication is pretty important. In fact‚ it’s
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a serious problem because I have senioritis. What senior doesn’t want to be done with school? Senioritis is a serious problem because even though seniors have been accepted to college‚ and know where the senior is attending‚ high school is still important. Eric Hoover has stated: If preparing for college is a marathon‚ a big fat envelope marks the
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Why History is Important The Study of history is important because we learn from our mistakes‚ we share a common experience with people that binds us together‚ our minds store our experiences‚ and society can build upon past accomplishments. The first‚ and most significannot reason history is important is because we learn from our mistakes. If there were no history then everyone would make the same mistakes over and over. In any job‚ if you can avoid mistakes you or someone else
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