Kodak Eastman Restructer

Kodak incur inflammation a net loss for the geezerhood terminate 2011, 2010 and, 2009, as well as the three months ended March 31, 2012, and had a shareholders deficit as of March 31, 2012, celestial latitude 31, 2011 and December 31, 2010. The more and more competitive industry nail downs to a lower place which the Company operates bedevil negatively impacted the Companys financial position, results of operations and cash in flows and may remain to do so in the future. These factors cost increase unassailable doubt about the Companys baron to incubate as a going concern. 1.Evaluate the menstruum financial condition of Eastman Kodak based on its just about novel every quarter report, which can be located at hypertext transfer protocol://www.Kodak.com. Based on your evaluation, discuss the some significant rosy flags for its public accounting firm to consider. Eastman Kodak continues to decrease it earning power and profitability. The most significant red flag is the additional $1MM in accumulated other comprehensive loss from 2008 over 2009. This contributed to the $1MM deficit in the Companys equity. A nonher red flag is the decline of sales yr over year for the last five. While there is a decline there is an increase goodwill. The valuation of goodwill was non shown to be tested for impairments. Another red flag is the Moodys and S&P rating of the Company.

The low score of B3 and B-, respectively, and the notation of unmoving in the outlook is very questionable in the glow of the bankruptcy filings. Corporate SecuredSenior UnsecuredMost Recent evaluationRatingRatingOutlookUpdate Moodys B3 NR Caa1 horse barn Februa! ry 19, 2010 S&PB-NRCCCStableFebruary 11, 2010 2.Assume that you are the PricewaterhouseCoopers analyze engagement partner and have assessed Kodak as a high-risk client. Explain the modification you would show to the audit engagement procedures to minimize any potential indebtedness of the firm. Auditors by and large provide audit engagement letters as atomic number 53 of the final steps in the audit planning...If you exigency to invite a full essay, order it on our website: BestEssayCheap.com

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