Which of the following are ways/opportunities to overstate assets?
A) In mergers and restructuring
B) Through inter-company accounts
C) In accounts receivable and inventory
D) All of the above

Question

Quizplus · Accepted Answer

All of the given choices are opportunities to overstate assets. In mergers and restructuring, overvaluation of assets can be done to attract investors or to show a healthier balance sheet. Inter-company accounts can be manipulated to show higher balances or hide losses. Overstating accounts receivable and inventory can inflate the value of the assets as well.

Which of the Following Are Ways/opportunities to Overstate Assets