In this study, I examine whether disclosing Non-GAAP earnings is a signal of experiencing accounting restatement. I … propose a scenario in which earnings are managed within the constraints of GAAP guidelines, as long as there is sufficient … leeway to permit income-increasing accounting choices. Managers usually avoid issuing Non-GAAP earnings because of severe …

GAAP and non-GAAP financial information. However, there are gaps in our knowledge of how audit committees perform …, especially with respect to companies' non-GAAP financial information. Unlike companies' GAAP-based financial measures, non-GAAP … numbers are voluntary, not well-defined, and unaudited. Non-GAAP measures thus provide a particularly rich setting to examine …