BUS 320 Lecture Notes - Lecture 16: Cash Flow Statement, Net Income, Income Tax

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 320
• Professor: Mahmoudian Fereshteh

Document Summary

The income statement is the primary statement, which communicates the results about the financial performance of a business to its stakeholders. Comprehensive income, since it includes information about other comprehensive income in addition to net income. Communicating information about performance can help users to. 3- assess potential risk or uncertainty of future net cash inflows. Earning management: earnings management is the selection of policies, use of estimates, and/or the timing of transactions to achieve targeted outcomes. Quality of earnings refers to how solid earnings numbers are. The earning management reduces the quality of earning. The characteristics of high quality earnings (contents and presentations) 2. 1 nature of contents: 1) integrity and 2) sustainability of the earnings. Reflect earnings from on going core activities. Closely correlate with cash flows from operations. Based on the sound business strategy and business model. Ifrs generally supports the all-inclusive approach to measuring income, which results in.