Due to fraudulent reporting the share price of a company’s stock may
Boost up
Fall down
Remain stagnant
None of these
Answers
Answer:
fall down
Explanation:
hope this helps you
FRAUDULENT FINANCIAL REPORTING
Due to fraudulent reporting the share price of a company's stock may BOOST UP.
GETTING TO KNOW MORE ABOUT FRAUDULENT FINANCIAL REPORTING:
* Fraudulent financial reporting is the deliberate distortion of a company's financial statements in order to mislead investors about the company's operational performance and profitability.
* In the framework of earnings management, fraudulent financial reporting occurs. The accounting procedures, or the method estimates are derived, are changed by management in order to enhance the firm's outcomes.
* External audits, legislation, and an independent board of directors can all help to prevent fraudulent reporting. Fair financial reporting, on the other hand, requires a strong ethical business culture.
* Accountants and analysts frequently manipulate operational expenditures to boost net profits, while others treat operating expenses as capital on the balance sheet. This is dishonest financial reporting in both circumstances since it not only misrepresents the facts, but it also misleads the public.