Variationcreative accountingnounan adaptation of a company's figures to present a better picture than is correct, usually intended to make a company more attractive to a potential buyer, or done for some other reason which may not be strictly legalCOMMENTCreative accounting is the term used to cover a number of accounting practices which, although legal, may be used to mislead banks, investors, and shareholders about the profitability or liquidity of a business.
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