tailieunhanh - The financial numbers game detecting creative accounting practices phần 5

Ủy ban không có gì, tuy nhiên, làm cho nhãn hiệu của mình trên các nguyên tắc kế toán chung được chấp nhận. Ví dụ, SEC sẽ sản FASB vào hành động nhanh hơn về các vấn đề kế toán nơi mà nó nhìn thấy nhu cầu. | Financial Professionals Speak Out Exhibit Continued Earnings management could either inflate or keep stock price low depending on whether earnings are managed up or down. Inflating stock price will come back to bite the company and investors Lender Hurts Firm Performance When earnings management involves taking more risks . relaxing credit standards it increases the probability that the company will suffer losses ACPA Widespread earnings management can increase the cost of capital to all firms that access . capital markets ACPA Provides excessive compensation and security for top level executives ACPA Earnings management taken to excess where poor business decisions are taken as a result will weaken the business in the long run CFO Encourages management to pursue strategies that may not maximize firm value in the long run FA Takes management s attention away from their true task . managing the firm FA Inappropriate increases in bonuses Lender Managing earnings takes significant effort away from managing true profit and loss CPA Management may be expending inappropriate resources to manage earnings or making short-term decisions that are detrimental to long-term performance CPA Other Reasons Occasionally earnings management leads to manipulation that leads to fraud and devastates the firm ruining lives of all involved in the firm ACPA Some earnings management cannot be detected ACPA Evidence of earnings management over time reduces the credibility of corporate management ACPA Distorts the predictability of future cash flows CFO Potentially unable to detect operational difficulties CFO Accounting should be results neutral just reporting what has happened and not affecting the actual results CFO It will lead management to use more questionable accounting practices in order to smooth earnings to meet security analysts expectations FA Intentional deception is viewed very unfavorably in the marketplace Lender ACPA Academic also typically a CPA CPA Certified