The Business Insight box quotes Warren Buffett on the use of accounting jargon. Many companies publicly describe

Question:

The Business Insight box quotes Warren Buffett on the use of accounting jargon. Many companies publicly describe their performance using terms such as "EBITDA" or "earnings purged of various expenses" because they believe these terms more effectively reflect their companies' performance than GAAP-defined terms such as net income. What ethical issues might arise from the use of such terms and what challenges does their use present for the governance of the company by stockholders and directors?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question
Question Posted: