pianoer 's Library tagged ny → View Popular

17 Sep 07

There were different problems at the companies including insufficient cash flow to fund cash needs and a history of negative working capital, a condition that exists when a company grows rapidly, but which is unsustainable in the long run. The study found signs of possible earnings management with low allowances for bad debt and other provisions not keeping pace with inventory growth. That may mean so-called “cookie jar” accounting – where companies lower reserves and use excess cash to boost revenues.

1 - 1 of 1

Showing 20▼ items per page

Click in to find related links.

Related Lists on Diigo

Diigo is about better ways to research, share and collaborate on information. Learn more »

Join Diigo