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The management of accounting numbers Case study evidence from the ‘crash’ of an airline

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Figure 1Financial misrepresentation through an accounting perspective
ing numbers presented an image of value creationwith increasing revenue, increasing earnings andTable 2).5.1.1.3
Table 3 presents the accounting choices with regardto the Sabena investment. Two types of accountingchoices (namely an accounting method choice andaccruals choices) with a major impact on thefinancial statements will be discussed in depth asthey will allow us to observe the directionalitybetween some of the variables involved in financialmisrepresentation.
Table 3Accounting choices in relation to the investment in Sabena
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