Do you think most all companies window dress their data

Assignment Help Corporate Finance

Reference no: EM131274529

Do Numbers Lie? The Other Side of Financial Statement Analysis

If you were to enter the banking industry you may find yourself approving or not approving loans. The following is a good example of a common event you may encounter.

Company X is looking for a $100,000 to purchase new equipment. The finance manager for Company X recently presented financial reports. Upon further analysis of the statements you, the banker, noted some window dressing of the financial statement. In this case it seems

Company X will delay payments to vendors in order to make their cash position look higher.

• Do you see this practice as a matter of ethical and or legal concern?
• Do you think most all companies "window dress" their data?

Please explain your decision to approve or disapprove Company x's loan.

Reference no: EM131274529

Questions Cloud

What is the reduction in total costs due to the tax : a. Before the tax was imposed, what was the equilibrium quantity? b. After the tax is imposed, what is the equilibrium quantity? c. How much revenue will the government collect from this tax? d. What is the reduction in total benefits due to this tax..

Fixed and variable costs when the firm is growing : In detail, how do you think firms will be able to deal with both their fixed and variable costs when the firm is growing?

What was net capital spending for 2015 : Bowyer Driving School's 2014 balance sheet showed net fixed assets of $3.6 million, and the 2015 balance sheet showed net fixed assets of $4 million. The company's 2015 income statement showed a depreciation expense of $400,000.

To which ethical school of thought does mcdonalds belong : McDonald's filed a motion with the district court to dismiss the plaintiff's complaint. To which ethical school of thought does McDonald's belong?

Do you think most all companies window dress their data : Company X will delay payments to vendors in order to make their cash position look higher. Do you see this practice as a matter of ethical and or legal concern? Do you think most all companies "window dress" their data?

Damaging to the united states : Which of these two policies would be less damaging to the United States? Please explain. Which of these two policies would be less damaging to the world as a whole? Please explain.

Percentage change in quantity demanded : Suppose the quantity demanded of ski boats falls from 4.0 million to 3.0 million. What's the percentage change in quantity demanded using the midpoint formula?

Perform an efe chart with at least six opportunities : Perform an EFE Chart with at least 6 opportunities and 6 threats. Perform a CPM Chart. Compare your company with two competitors using at least 10 critical success factors.

User Account

All Pages