84.3k views
3 votes
Why might a manager decide to write down an asset that is not included in the restructuring action?

1 Answer

3 votes

Answer:

In a restructuring it is possible that managers may use the opportunity to write down assets that do not even relate directly to the restructuring action. Why might a manager decide to write down an asset that is not included in the restructuring action? The write down relieves future periods of depreciation expense, which increases earnings.

User Arman Malik
by
8.1k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.