If a company shifts future expenses to the current period, what will be the effect on financial
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Question:
If a company shifts future expenses to the current period, what will be the effect on financial ratios (assuming all else is constant)?
Profit margins in the current period will be lower
Profits margins in the next period will be lower
Times interest earned ratio will be higher
Shareholders' Equity on the common size balance sheet will be higher for the current period
Total assets on the common size balance sheet will be lower
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