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Assume the financial community in the United States has become increasingly concerned with the quality of reported company earnings. Required: Assume that a manufacturing companys
Assume the financial community in the United States has become increasingly concerned with the quality of reported company earnings. Required: Assume that a manufacturing companys annual income statement included a large gain from the sale of investment securities. What factors would you consider in determining whether or not this gain should be included in an assessment of the companys permanent earnings?
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