Integrity Gaming Corp. V.IGAM

I'm no ACCOUNTANT - but i think i found something good ?

[Wangotango67]

Something good - that may benefit the shareholder and -  SP   VALUE 

While looking through the 2015 Year End - I asked myself -

What is the positive vs negative accounting of - depreciation of equipment ?

If your a private company - you get to write it off - brings you into a lessor tax bracket of what is owed -

If your a listed company - same thing - you write it off to bring you into a lessor tax bracket - but - but - but - will it help or hinder (skew) the over all ebitdas or revenues ?

AA - Accountant Acrobatics -  101 -

One has to ask - If PYD logged 2015 - equipment depreciation of - $1,150,275.00 - Ask yourself - would such a figure help with their lower tax bracket ? - - I WOULD THINK SO - -

But what would it do if it was not accounted for ?  I don't know the rules t a ccounting - but what if pyd was able to not account for such a loss ?

Would such a figure not affect the ebitda ?
Would it be able to show more ebitda's and or revenues -
But on the flip - how much more would the company lose on taxes - or is it more beneficial to not account the depreciation and add more to the bottom line - and help the share price ?

Can both be done ?   Still account for depreciation - but also report the revenues or ebitda's with no depreciation ?  Talk about a betwix - so confusing -

Again - i don't know - i'm no accountant - but it would make sense if they could do both - account for it - but as well show the true figure of revenues without depreciation?
Thus - what would that do the the SP applied to a traded stock ? 
What do other companies do ?  Has anyon ever seen another company report depreciation and then press two numbers one with and one without ....  

Accounting for depreciation - has benefits
Accounting without depreciation - has benifits

When it comes to accounting practices - what can a company do with in the guidelines ?
Especially listed companies that are market dependent on thier share price ?


If not accounted for - it simply tacks on as more revenues shown - and the company simply notates a greater revenue and later notates - such funds for replenishment of machine ?
When one considers the positives and negative - - who gains most - - who is favored most - then who would benefit most - if depreciation is accounted for - or -  not accounted for - company or shareholder ?  Can both be done - and two figure reported - to bring clairity to the matter of how much is borught in - for share holder and share price sake ?


2015 Equipment Depreciation -

- $855,699
- $294.576
---------------
--$1,150,275.00 - Two categories



I'm treating this as a POTENTIAL POSITIVE -  IF APPLICABLE AND IF IT CAN BE APPLIED -
END RESULT  - POTENTIALLY  MORE REVENUES  SHOWN -

Q-4  REPORTED  EBITDA ( EXAMPLE OUTCOME )

$2,080,520    Q-4  ebitda
$1,150,275    Q-4  equipment - IF ALLOWED TO BE ADDED BACK IN ?
---------------
$3,230,795    Q-4 possible ebitda ?   Is this possible ?




Is there such a thing as a savvy skilled accountant that looks at all aspects of accounting ?
One who considers that a listed company also has shareholders attached - one who applies an accounting  practice that favors both company and shareholder - mindful of the SP ?

Again - im no accountant - and i don't know the rules per-se - and i tried searching depreciation accounting methods - but to my surprise - its like a hard wired program mentality that's taugght to accountants - they seem to all teach to look for depreciation values - apply it to look out for the company - and not one article i read looked out for shareholders  - only mindful of company.

Again - is there such a thing as an accountant that looks at both sides - listed company accountant whose concientious of shareholders ? 

Who knows - and i dont even know if a company cant account for depreciation - i tried searching that too -but to no avail - just  thought i'd mention this - and perhaps theres some sort of positive to this - and just maybe - i've stumbled upon an accounting gem - that may have been overlooked - due to trained money accounting mind set to only look out for company  - so - just maybe this could benefit the over all revenues per each quarter and increase their bottom line values ?  Who knows .. !.

Do your own DD - this is certainly not advice - just an idea - a maybe - a maybe not  - a potential - and even then - i myself place no confidence in this tid bit - it may not even be plausable nor permissable to be preacticed or implemented with in the accounting guidelines ...
Again - Im no accountant....


BEFORE POSTING - - i researched more - and i think i found something to what im trying to convey - 

Caption Quote - Depreciation is a major issue in the calculation of a company's cash flows, because it is included in the calculation of net income, but does not involve any cash flow. Thus, a cash flow analysis calls for the inclusion of net income, with an add-back for any depreciation recognized as expense during the period.

Does this mean - they can add  back depreciation - to properly valuate the net income - and 
therefore - increase the net sum ?

Hard to find the right wording when this field is so not my forte -
But in my minds eye - if its a ghost figure - being taken from ed to the ebitdas - and not added back - then technically is there not more revenues than stated being brought in ?
Chew on that for a bit - think about it - the yellow highlighted wording seems to suggest this -
at least thats how i understand this - i may be wrong... who knows.... Treat this post as a newbie investor that doesn't understand squat - eshhkkks !  Hey, AT LEAST i'm trying...

P.S. - I think im posting - for sake of being freshly enumerated into the class of - Stock Shock -
( your cue to laugh ) 

Hey.. didn't you hear ?
Bullboard posting is the new therapy for those who are down with - stock shock - ! 
Purge with words -  baby  - lol

- Accounting Link -
https://www.accountingtools.com/overview-of-depreciation

[SilverSaver333]

Omg. That's like saying, can we not claim all our expenses because it looks better. That's not accounting acrobatics 101, it's accounting fraud 101. And your caption is talking about calculating cash flow. Get over ebitda and revenue, if they can't make a profit what does it matter. Do you even read Teflon's posts?