How is it possible for a company to show positive net income but go bankrupt?

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Question ajoutée par Muhammad Irfan , Manager Finance And Admin , Royal Allied Industries
Date de publication: 2017/03/09

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par Muhammad Irfan , Manager Finance And Admin , Royal Allied Industries

Two examples include deterioration of working capital (i.e. increasing accounts receivable, lowering accounts payable), and financial shenanigans.

How is it possible for a company to show positive net income but go bankrupt?
Top Answer: Two examples include deterioration of working capital (increasing accounts receivable, lowering accounts ... Voir Plus

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How is it possible for a company to show positive net income but go bankrupt?
Top Answer: If assets were assessed on the basis of historical value if it is greater than the current value Voir Plus

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A question for professional accountants: How is it possible for a company to show positive net income but go bankrupt?
Top Answer: Due to some reasons like the following :- 1) Increase in Accounts Receivable (AR) 2) Decrease in Accounts ... Voir Plus

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How is it possible for a company to show positive net income but go bankrupt?
Top Answer: There are several reasons why company go to bankruptcy while having a good profit in financial statements ... Voir Plus

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