The corporate disclosure practice will help all the stakeholders to understand and measure business operation. Annual financial statement and particularly income statement is one of the most important ones. However, a company's reported profits will be impacted by different factors, including when particular transactions and events are recognised and how such transactions and events are measured. Question : Using earning management concept, discuss why the timing of recognising events that impact income, revenue or profit or expenses are important for managers?
The corporate disclosure practice will help all the stakeholders to understand and measure business operation. Annual financial statement and particularly income statement is one of the most important ones. However, a company's reported profits will be impacted by different factors, including when particular transactions and events are recognised and how such transactions and events are measured. Question : Using earning management concept, discuss why the timing of recognising events that impact income, revenue or profit or expenses are important for managers?
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter1: Introduction To Accounting
Section: Chapter Questions
Problem 1SEA: PURPOSE OF ACCOUNTING Match the following users with the information needed. 1. Ownersa. Whether the...
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The corporate disclosure practice will help all the stakeholders to understand and measure business operation. Annual financial statement and particularly income statement is one of the most important ones. However, a company's reported profits will be impacted by different factors, including when particular transactions and events are recognised and how such transactions and events are measured.
Question : Using earning management concept, discuss why the timing of recognising events that impact income, revenue or profit or expenses are important for managers?
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