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ASH BUS 650 Week 2 DQ 2 Managing Earnings .pdf

Original filename: ASH BUS 650 Week 2 DQ 2 Managing Earnings.pdf
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BUS 650 Week 2 DQ 2 Managing Earnings

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Companies often try to keep accounting earnings growing at a relatively
steady pace in an effort to avoid large swings in earnings from period to
period. They also try to manage earnings targets. Reflect on these
practices and discuss the following in your discussion post.
Are these practices ethical?
What are two tactics that a financial manager can use to manage
What are the implications for cash flow and shareholder wealth?
Using the financial balance sheet as displayed in the text, provide an
example of how purchasing an asset or issuing stocks or bonds could
potentially impact earnings targets.

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