Earnings Quality

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Edspira
Published at : 21 Nov 2020
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This video explains the concept of Earnings Quality. Firms face significant pressure to meet earnings targets, comply with debt covenants, and show continued growth. This pressure provides an incentive for firms to manage earnings, which results in firms having differing quality in terms of the actual earnings number they produce (e.g., earnings can be of high or low quality).



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Earnings QualityEarningsFinancial Accounting

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