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Financial reporting has now become a component of the consistent and smooth operation of a business and its broader economy. Investors, regulators, and stakeholders rely on these reports to gain an idea of the financial health and prospect of a firm. However, though, financial reporting can sometimes hide underlying problems or present fraudulent activity. Red flags in financial reporting will then distinguish manipulations, errors, or even frauds. As the article further points out, we examine those common warning signs of something amiss about the firm's financial reporting.

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