13. Reported earnings typically differ, sometimes considerably, from economic earnings. Nevertheless, it is often argued that reported...

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13. Reported earnings typically differ, sometimes considerably, from economic earnings.

Nevertheless, it is often argued that reported earnings are intended simply to provide a "source ofinformation" to investors about the value of the firm.

If that is true, might there not be many alternative accounting procedures of equal use to investors? How might one go about evaluating the usefulness of such procedures?

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Investments

ISBN: 9788120321014

6th Edition

Authors: William F. Sharpe, Gordon J. Alexander, Jeffery V. Bailey

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