2. Leverage offered by GAAP
Fixed Asset Valuation
Methods of Depreciation
Finance Lease
Treatment of Intangible assets & Amortisation
Impairment of Assets
Inventory Valuation
Investments Valuation
Treatment of Contingent Liabilities
3. Ways of Window Dressing
Premature recognition of Income
Non-operational Income
Non-provision of diminution in LT
investments
Capitalisation or deferment of revenue
expenses
Revaluation of fixed assets
Extension of accounting year
4. Ways to Window dress
Advancing bills of customers to inflate
the bottom line or top line
Inadequate or no provision for doubtful
debts
Increase estimated useful life to charge
lower depreciation
No separate disclosure for prior-period
adjustments / extra-ordinary items
