mbossman2
12-03-2006, 12:22 PM
I'd be really worried (http://hardware.seekingalpha.com/article/21598) if this pans out to be true.
In an impressive piece of accounting research, Freidman Billings Ramsey hardware analyst Clay Sumner asserts in a report this morning that Dell (DELL) has been manipulating its earnings reports by under-accruing for warranty costs. Sumner says his research finds that Dell’s under-accruals have caused per-share earnings to be over-stated by between 2 and 8 cents a share in five of the last 12 quarters
In an impressive piece of accounting research, Freidman Billings Ramsey hardware analyst Clay Sumner asserts in a report this morning that Dell (DELL) has been manipulating its earnings reports by under-accruing for warranty costs. Sumner says his research finds that Dell’s under-accruals have caused per-share earnings to be over-stated by between 2 and 8 cents a share in five of the last 12 quarters