Which of the following would most likely signal that a company may be using aggressive accrual accounting

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Which of the following would most likely signal that a company may be using aggressive accrual accounting policies to shift current expenses to later periods? Over the last five year period, the ratio of cash flow to net income has:

A. increased each year.

B. decreased each year.

C. fluctuated from year to year.

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International Financial Statement Analysis CFA Institute Investment Series

ISBN: 9780470287668

1st Edition

Authors: Thomas R. Robinson, Hennie Van Greuning CFA, Elaine Henry, Michael A. Broihahn, Sir David Tweedie

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