Creative Accounting Distorts Financial Data, Misleading Investors and Consumers
The study looked at how creative accounting affects a company's accounting policies and financial results. Researchers found that companies use creative accounting to manipulate financial data, which can mislead users of financial information. This manipulation can make a company's profits appear higher or lower than they actually are. The researchers used methods like data analysis and modeling to analyze this relationship. The study did not find any investigations into the extent of this manipulation in Lithuania.