衡量盈利质量-财务业论文外文翻译2篇.docxVIP

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 号学生姓名指导教师完成日期2015年01月16日 一、外文原文原文一：Measuring the quality of earnings1. IntroductionGenerally accepted accounting principles (GAAP) offer some flexibility in preparingthe financial statements and give the financial managers some freedom to select amongaccounting policies and alternatives. Earning management uses the flexibility infinancial reporting to alter the financial results of the firm (Ortega and Grant, 2003).In other words, earnings management is manipulating the earning to achieve apredetermined target set by the management. It is a purposeful intervention inthe 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 isbeing perverted; where managers are cutting corners; and, where earnings reportsreflect the desires of management rather than the underlying financial performance ofthe company.The popular press lists several instances of companies engaging in earningsmanagement. Sensormatic Electronics, which stamped shipping dates and times onsold merchandise, stopped its clocks on the last day of a quarter until customershipments reached its sales goal. Certain business units of Cendant Corporationinflated revenues nearly $500 million just prior to a merger; subsequently, Cendantrestated 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 Electricsmoothed earnings, including the careful timing of capital gains and the use ofrestructuring charges and reserves, in response to the article, General Electric reportedlyreceived calls from other corporations questioning why such common practices were“front” news.Earning management occurs when managers use judgment in financial reportingan