1. Examine Infinera's Non-GAAP adjustments. (https://www.sec.gov/Archives/edgar/data/1138639/000113863920000061/infn-05122020xex991.htm) Do you believe that its adjustments useful and relevant? Argue whether COVID-19 costs should be included or excluded.
2. Examine SWISHER HYGIENE's AAER. (https://www.sec.gov/litigation/admin/2016/33-10081.pdf) What were the incentives for the fraud? How did the firm commit the fraud? How did the fraud unravel? Could an investor/outsider have detected the fraud?
3. In Annual Pershing Square Value Investing and Philanthropy Challenge (https://www.youtube.com/watch?v=8aCFaYd6FxA&t=1218s), the students argue that Verisk's(https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001442145&owner=include&count=40&hidefilings=0) acquisitions resulted in higher ROIC. What are the issues of ROIC? What issue do you see regarding ROIC in the presentation? Bill Ackman challenges the valuation based on high multiple and non-GAAP basis (2:05:00). Discuss Ackman's point. Based on Verisk's business and industry, do you agree with Ackman's assessment?