Assume you are employed as the chief financial officer of a corporation and are responsible for the preparation of the financial statements, including the adjusting process and preparation of the adjusted trial balance. The company is facing a slow year, and after your adjusting entries, the financial statements are accurately reflecting that fact. However, as you are discussing the matter with your boss, the chief executive officer CEO he suggests that you have the power to make further adjustments to the statements and that you should use that power to adjust the profits and equity into a stronger position so that investor confidence in the companys prospects will be restored.

Write a short memo to the CEO, stating your intentions about what you can andor will do to make the financial statements more appealing. Be specific about any planned adjustments that could be made, assuming that normal periodend adjustments have already been reflected accurately in the financial statements that you prepared.

Discuss with your classmates what you can andor will do to make the financial statements more appealing. What concerns would you have with honoring the CEO\'s request? What recommendations could you make to the CEO in this situation?