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jeka94
3 years ago
9

One result of earnings management is:a.It brings into question the quality of earningsb.It uses a non-GAAP financial measure to

manipulate earningsc.EBITDA does not reflect GAAP earningsd.It improves shareholder returns over time
Business
1 answer:
HACTEHA [7]3 years ago
4 0

Answer:

The correct answer is A. It brings into question the quality of earnings.

Explanation:

It will be taken as management to the action of administering in the most efficient way to that profit that we obtained. When talking about efficiency, it points to the idea that money made up of profit must be spent intelligently.

To understand that not all money from a profit must be spent on personal matters. This does not mean that a certain part is not destined for it, because otherwise there will be no motivation to generate profit on a personal level. That is why it is important to know how to distribute the profit obtained in the most intelligent way possible. For this you only have to allocate 60% (the percentage is estimated the same can vary), to spend the money of a profit on personal expenses. Then one wonders what will happen with the remaining 40% (estimated percentage)? This is where intelligence comes in to manage the profit, this percentage must be used for reinvestment and also to form a contingency fund. This seeks to generate a multiplier effect of the capital earned and also form a "cushion" (savings) for when things are not right.

This type of profit management can be applied either at the company level: where part of the profit is reinvested to grow the business. And in turn it forms a contingency fund for any mishap that can be generated over time.

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The following is the post-closing trial balance for the Whitlow Manufacturing Corporation as of December 31, 2015.
pishuonlain [190]

Answer:

See explanation section

Explanation:

See the images to get the answer

4 0
3 years ago
James owns two houses. He rents one house to the Johnson family for $10,000 per year. He lives in the other house. If he were to
AVprozaik [17]

Answer:

$22,000

Explanation:

Given that

1st house rented = 10,000

2nd house estimated rent = 12,000

Therefore,

The two houses would contribute

= 10,000 + 12000

= $22,000

Note: Rent is considered as consumption and as a result, rent is added into the GDP. Also, in GDP estimation, imputed rent which is the amount a house owner is willing to rent a house away for if he decides to is calculated as part of the GDP.

3 0
3 years ago
If Kindle e-readers and Nook e-readers are substitutes, a higher price for Nooks would result in a(n) ______.
lara31 [8.8K]

Answer: a) increase in the demand for Kindles.

Explanation: the substitution effect for substitute goods gives that, if the price of good A rises, the demand for good B rises. Since a substitute good is a good that can be used in place of another, they are goods that a consumer perceives as similar or are comparable, in such a way that having more of one good causes the consumer to desire less of the other good. From the viewpoint of price, and given that consumers always prefer to spend less in instances where two goods are substitutes, it then means that Kindle can be used and preferred in place of Nooks given that the price of Nooks had gone up. Therefore, increasing the price of Nooks causes a corresponding increase in the demand for Kindles.

3 0
3 years ago
When the body senses warmer temperatures, what happens to the blood vessels?
Molodets [167]

Answer:

When we get too hot, sweat glands in the skin release more sweat. The sweat evaporates, transferring heat energy from the skin to the environment. 

7 0
2 years ago
Read 2 more answers
In 2016, Teller Company sold 3,000 units at $600 each. Variable expenses were $420 per unit, and fixed expenses were $270,000. T
Aleksandr-060686 [28]

Answer:

1500

Explanation:

Breakeven point is the number of units produced and sold where net income is art on it is where revenue equals cost.

The formula for calculating break even points = F / (P - V)

F = fixed cost

P = price

V = variable cost per unit

$270,000 / ($600 - $420) = 1500

I hope my answer helps you

6 0
3 years ago
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