Project description
1. Firms actually have incentives to use what is called \”window dressing\” techniques to manipulate financial information. Ruth has mentioned one way by delaying a payment to a creditor. I think it is worth to shed more light on this point.
We studied cash flows and profits. Therefore, I appreciate if you develop a list of ways through which each measure can be manipulated by managers. Which measure is more robust and can better represent firm performance?
2. Do you think that the use of cash flows statements is decreasing in practice?
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