Many large multinational companies have recently taken a large one-time write-off (known as a big bath) or
Question:
Many large multinational companies have recently taken a large one-time write-off (known as a “big bath”) or used other downsizing accounting practices that have affected the measurement of the company’s performance for only one year. Conduct a search for information about a company that has recently taken a sizable reduction in income for just one year. Do a key word search on the Internet, using terms like big bath or earnings management. Prepare a one-page description of your findings. Include the name of the company, the reason for the large decrease in income, and the probable effect on the company’s ROI. Be prepared to present your findings in class.
Step by Step Answer:
Managerial Accounting
ISBN: 978-0618777181
8th Edition
Authors: Susan V. Crosson, Belverd E. Needles