Question

What is the learning from worldcom window dressing?

Answer 1

Companies typically window dress their financial statements by selling off assets and either purchasing new assets or using this money to funds other operations. This way the cash balance on the balance sheet appears to be at a normal amount.

Answer 2

Answer:

Explanation:

Examples of window dressing are: Cash. Postpone paying suppliers, so that the period-end cash balance appears higher than it should be. Accounts receivable.