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Understanding the reasons and purpose of a company earning negative profits is very vital for a finance student. On the other hand, investors and market analysts use different methods to know the company’s earnings.Best reasons for a company to have negative earning assignment help service provide assistance to students to submit their assignments with perfection and within their time period.
There are a number of reasons for a company to have negative earnings. Some of the reasons for negative earnings are listed below
Cyclical Nature of Industry
A cyclical industry means a type of industry that is sensitive to the business cycle that is during the periods of economic prosperity revenues are high and lower in periods of economic decline and contraction. The company will have negative earnings during the period of recession.
Due to unforeseen events the company will have negative earnings.
The managers at top level management may take wrong decisions which will also affect the company’s earnings. Frauds or mismanagement may lead a company to have negative earnings.
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There are many other factors which may lead a company to have negative earnings. If you want to learn more about it then click to Best reasons for a company to have negative earning assignment help service. Our experts will provide you with a detailed information about the topic.
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