4.外文翻译财务111柯聪.docVIP

本科毕业论文（设计） 外 文 翻 译 题 目 上市银行盈利质量分析与评价 学 院 商 学 院 专 业 财 务 管 理 班 级 财 务 111 学 号 201152425141 学生姓名 柯 聪 指导教师 穆 敏 丽 费 美 玲 完成日期 2015年01月16日 一、外文原文 原文一： Measuring the quality of earnings 1. Introduction Generally accepted accounting principles (GAAP) offer some flexibility in preparing the financial statements and give the financial managers some freedom to select among accounting policies and alternatives. Earning management uses the flexibility in financial reporting to alter the financial results of the firm (Ortega and Grant, 2003). In other words, earnings management is manipulating the earning to achieve a predetermined target set by the management. It is a purposeful intervention in the external reporting process with the intent of obtaining some private gain (Schipper, 1989). Levit (1998) defines earning management as a gray area where the accounting is being perverted; where managers are cutting corners; and, where earnings reports reflect the desires of management rather than the underlying financial performance of the company. The popular press lists several instances of companies engaging in earnings management. Sensormatic Electronics, which stamped shipping dates and times on sold merchandise, stopped its clocks on the last day of a quarter until customer shipments reached its sales goal. Certain business units of Cendant Corporation inflated revenues nearly $500 million just prior to a merger; subsequently, Cendant restated revenues and agreed with the SEC to change revenue recognition practices. AOL restated earnings for $385 million in improperly deferred marketing expenses. In 1994, the Wall Street Journal detailed the many ways in which General Elect