Consignment Stocks

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Definitions

Creative Accounting Misleading Financial Reporting Cherry Picking Window Dressing Consignment Stocks Repurchase Agreements Corporate Governance Securitizations Special Purpose Vehicles Off-Balance-Sheet

Creative accounting involves the use of accounting practices and principles that adhere to the letter of the rules of standard accounting practices but deviate from the spirit of those rules. This kind of accounting presents company financial performance in an overly favorable light, often inflating profits and hiding liabilities.