GAAP/Warning signs

GAAP/Warning signs.

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1.Following standards like those specified through the generally accepted accounting principles (GAAP) or the International Financial Reporting Standards (IFRS), can help a company develop quality financial reports. However, there are some opportunities to influence bias through some accounting choices. List at least two biases associated with GAAP and explain why these biases should be considered when evaluating a company’s financial statements.

**350 Words**

2. Read Chapter 11: “Financial Reporting Quality.” Financial Reporting quality issues may occur due to a number of factors, including the motivation of company managers. Fortunately, there are warning signs that financial analysts can keep an eye out for. List three of the warning signs listed in Chapter 11 and explain how they will help you identify quality financial reporting quality issues. BOEING COMPANY Aerospace

**350 Words***

GAAP/Warning signs

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