Question
A large multinational company has recently discovered an opportunity to recognize firms net sales that will boost its earnings per share. One of the former
A large multinational company has recently discovered an opportunity to recognize firms net sales that will boost its earnings per share. One of the former top executive has indicated that she was aware of the companys deliberate attempt to artificially boost its earnings is supported by the majority of board of directors. During the same period, this company has made significant amount of donations to charities, community and non-profit organizations. After the announcement of a new reporting method, the companys stock price dropped significantly. However, public opinions who received significant donations from the company still believe that the company did not conduct any wrongdoing. Please discuss and contrast from the perspectives of investing versus non-investing stakeholders of this company and provide solutions for this issue
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