Making the company look extremely profitable

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Reference no: EM131998957

1. Crazy Eddie focused on making the company look extremely profitable just prior to the IPO. Why was this important? Does this make a client that is in the process of issuing an IPO a higher risk client? Why or why not? Are there other risks to the auditor when an IPO is included in the engagement?

2. Your investments increased in value by 15.6 percent last year but your purchasing power increased by only 11.3 percent. What was the approximate inflation rate? (Enter your answer as a percent rounded to 1 decimal place. Omit the "%" sign in your response.)

Reference no: EM131998957

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Making the company look extremely profitable : Crazy Eddie focused on making the company look extremely profitable just prior to the IPO.

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