NO.PZ2024011002000155
问题如下：
Whichof the following is an indication that a company may be recognizing revenue prematurely? Relative to its competitors, the company's:选项：
A.asset turnover is decreasing. B.receivables turnover is increasing. C.days sales outstanding is increasing.解释：
If a company's days sales outstanding (DSO) is increasing relative to competitors, this may be a signal that revenues are being recorded prematurely or are even fictitious. There are numerous analytical procedures that can be performed to provide evidence of manipulation of information in financial reporting. These warning signs are often linked to bias associated with revenue recognition and expense recognition Policies.不太理解为什么If a company's days sales outstanding (DSO) is increasing relative to competitors, this may be a signal that revenues are being recorded prematurely or are even fictitious. 是因为account receivable 的增加是一个过早确认或者虚增收入的信号吗。 如果是的话， 同理 account receivable turover 的降低是不是也是一个虚增收入的信号呢
