ACC 230 Week 7: Nortel Networks Case (Checkpoint)
November 20, 2011 Leave a comment
Many high-technology companies, like Nortel Networks, Micron Technology and JDS Uniphase, have written down massive amounts of their inventory. For example, Nortel Networks revalued some of its inventory parts at $0, though the inventory initially cost Nortel $650 million. Companies are required to report whether they write off the cost value (or book value) or their inventory even if they do not dispose of the inventory. Later on, they may sell this inventory but are not required to report the sale for cash of previously “worthless” inventory. The effect may be that in future years, when the inventory is sold, profits are overstated. Also in the article, JDS Uniphase said it will write off $250 million of its inventory but promised to disclose any future sale. On the other hand, Micron Technology, which wrote down $260 million, won’t disclose any future sale (Krantz, 2001). Should the Securities and Exchange Commission do anything? Why?
Price of Answer: Just US$3 only (Instant Download)
Need Assistance !! email us at firstname.lastname@example.org. If you need any type of help regarding Homework, Assignments, Projects, Case study, Essay writing then email us at email@example.com. We will get back to you very soon.
You might also like:
- Nortel Networks Case (ACC 230 Week 7 Checkpoint) (solvemyquestion.com)
- Financial Analysis of Lucent Technologies (ACC 230 Week 2) (solvemyquestion.com)
- ISCOM 424 Entire Week 2 (solvemyquestion.com)
- Full Course FIN 370 Entire Class (Weeks 1-5) – Individual Assignments, DQs, LTAs, Final Exam (solvemyquestion.com)
- ISCOM 424 Entire Week 5 (solvemyquestion.com)
- Managerial Accounting True-False Statements III (solvemyquestion.com)
- Managerial Accounting: Objective Type Questions (solvemyquestion.com)