Question: In the study of earnings quality by Dichev et al

In the study of earnings quality by Dichev et al., CFOs stated that “current earnings are considered to be high quality if they serve as a good guide to the long-run profits of the firm.” Discuss how and why current earnings may not be a good barometer of the long-term profits of the firm.


View Solution:


Sale on SolutionInn
Sales3
Views249
Comments
  • CreatedDecember 30, 2014
  • Files Included
Post your question
5000