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Beneish model

A calculation used by financial auditors to determine if earnings figures have been manipulated. The model uses several financial ratios along with variables to calculate an M-score, indicating the level of manipulation. The variables include: 1)DSRI - Days' Sales in Receivables Index, 2)GMI - Gross Margin Index, 3) AQI - Asset Quality Index, 4)SGI - Sales Growth Index, 5)DEPI - Depreciation Index, 6)SGAI - Sales and General Administrative Index, 7)LVGI - Leverage Index, 8) TATA - Total Accruals to Total Assets.

Related information about Beneish model:
  1. Beneish Model Definition | Investopedia
    A mathematical model that uses financial ratios and eight variables to identify whether a company has manipulated its earnings. The variables are constructed ...
     
  2. The Beneish M-Score: Identifying Earnings Manipulation And Short ...
    May 24, 2011 ... There is also a five variable version which excludes SGAI, DEPI and LEVI (as these were not significant in the original Beneish model).
     
  3. Beneish M Score to Detect Earnings Manipulation - Old School Value
    Jun 24, 2010 ... Introducing the Beneish M Score; The Beneish M Score Variables; The Beneish M Score Formula; The 5 Variable Version of the Beneish Model ...
     
  4. Beneish Model: Definition from Answers.com
    Beneish Model A mathematical model that uses financial ratios and eight variables to identify whether a company has manipulated its earnings. The.
     
  5. What is Beneish model? definition and meaning
    Definition of Beneish model: A calculation used by financial auditors to determine if earnings figures have been manipulated. The model uses several financial ...
     
  6. MScore.XLS - ShookRun.com
    2, The Full Beneish model for earnings manipulation detection. 3, (Based on Eight Variables). 4, INPUT VARIABLES, 1996, 1995. 5, Net Sales, 93281, 93669 ...
     
  7. DETECTING EARNINGS MANAGEMENT: - ACRITICAL ...
    Jan 9, 2007 ... A Critical Assessment of the Beneish Model .... Is the Beneish model still able to detect earnings manipulation when applied to a U.S. sample ...
     
  8. Analysis ratios for detecting financial statement fraud
    Cornell University's Johnson Graduate School of Management professors use Beneish's model in their classes. Results of a 1998 analysis of Enron Corporation ...