You have no items in your shopping cart.

Assessing Earnings Quality: Nuware, Inc.
Simko, Paul J.; Carrascoso, Angelo Carlo Exercise C-2221 / Published October 13, 2004 / 13 pages.
Format Price Quantity Select
PDF Download
$3.95
EPUB Download
$3.95
Printed Black & White Copy
$4.50

Product Overview

Associate Jack Hereford must analyze the earnings quality of Nuware Imports. His specific task is to assess the accounting policies of Nuware as aggressive or conservative and then recast the current earnings of the company as if it had employed the accounting policies used by its closest peer. A number of adjustments are required, including those related to inventory, receivables, fixed assets, stock options, investments, and pensions. Through this exercise, one sees the interplay of various discretionary accounting policies followed by management, how to infer the monetary impact of that discretion, and how to assess adequately the profitability of one company relative to another.


  • Videos List

  • Overview

    Associate Jack Hereford must analyze the earnings quality of Nuware Imports. His specific task is to assess the accounting policies of Nuware as aggressive or conservative and then recast the current earnings of the company as if it had employed the accounting policies used by its closest peer. A number of adjustments are required, including those related to inventory, receivables, fixed assets, stock options, investments, and pensions. Through this exercise, one sees the interplay of various discretionary accounting policies followed by management, how to infer the monetary impact of that discretion, and how to assess adequately the profitability of one company relative to another.

  • Learning Objectives