Case- XYZ ltd an IT company is not an MNC based in the USA.
ABC ltd an IT company is an MNC based in Germany.
The Germany company wants takeover the USA company.When the
ABC ltd scans XYZ ltd company's financial statements it
shows profit (no fraud or infringement was made in accounts
of XYZ ltd).But the finance department of ABC ltd says the
XYZ ltd financial statements show various losses.
Question- Cite four reasons why XYZ ltd shows loss, while it
has made profit?
- 10 Answers
- 11448 Views
- HSBC, I also Faced
- E-Mail Answers
Answer Posted / prashant
Equity Debt ratio could be very less or may be Debt of XYZ
company could be higher then eq.
Company can show profit in the books of account in this
case. bt this case it is not good to invest. this may be the
reason.
| Is This Answer Correct ? | 1 Yes | 6 No |
Post New Answer View All Answers
Tell about educational background.
What is fairtrade??????????????
What Can Bankruptcy Do For Me?
Im an MBA STUDENT.I need guidance to prepare for GENPACT COMPANY.can u pls post papers
What is IISC Code?
Is NITI Aayog a constitutional body?
How Does The Single Supervisory Mechanism Operate?
What according to you should the government do to increase its exports?
What is Meant by at Discount in Issuance of Shares?
Have you ever been advised by a fellow employee or supervisor to lie about a situation? How did you handle this ethical dilemma?
How will you serve our bank: as a leader or as a manager?
What Is Negative Amortization?
What do you call the minimum rate decided by rbi which shall be adopted by all public sector banks?
What is the currency of UAE?
What do you know about NITI Aayog?
