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Article - Tesco to pay $269 million to settle false accounting charges By James Davey
Question 1. Why and how did the supermarket company TESCO inflate its first half profit prediction in 2014?
Question 2. Discuss if "aggressive accounting" adopted by TESCO is consistent with the fundamental principles of accounting ethics prescribed in APES 110 Code of Ethics for Professional Accountants
Question 3. Review TESCO 2022 Financial Report Note 1 Accounting policies, judgements and estimates (p. 123) and answer the following sub-questions
3.1 How did TESCO account for Sale of Goods and Customer Loyalty Programme (i.e. Clubcard)?
3.2 Is the TESCO's revenue accounting policy consistent with the income recognition criteria under the IASB Conceptual Framework for General Purpose Financial Reporting? Discuss.
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