![]() ![]() ![]() The government uses round-tripping in times of recession to increase money flow in the market.But on the other hand, the round-tripping business, if done in good faith, proves to be beneficial for the organization. In most cases, round-tripping is bad and used to make secret profits by various means. To inflate the stock price of the company.To save from the various taxes by investing through foreign investors, as tax for foreign investors is less in some countries.To show the organisation as the operating one to prevent consequences and legal formalities to be performed in intraoperative organisations.read more attractive and impressive to the investors. Different accounting statements serve other purposes, but they all act as written proof that helps resolve disputes. A bank account statement reflects the source and amount of every transaction within a selected period. An example of an accounting statement is a bank account statement. To make the accounting statement Accounting Statement An accounting statement or account statement refers to a document that summarizes the financial details of an account during a given period.To make the secret profits in the form of shell transactions through a round tripping business.To attract investors by showing the growth graph.To represent the organisation as busy doing business and growing.It looks like barter transactions, but it is done at cost and for the mutual benefits of the parties involved with no profit. This transaction is called a round-tripping transaction. with a proposal to buy the pipes from him 100 pieces of $ 10 each amounting to $ 1000 and in return, he will purchase the old pipes which need repairs from A Inc. who is dealing in servicing of pipes, repairs, etc. A doing business of pipes comes to A Inc. To show the company as an operating company.To manipulate stock prices and perform insider trading to earn secret profits.To convert the black money into legally earned money.To flow the money for personal gains by shell transactions.To show that the organisation is doing more business than competitors.read more to show the growth of the organisation. ![]() In the case of the federal government, it refers to the total amount of income generated from taxes, which remains unfiltered from any deductions. Inflate the Revenue Revenue Revenue is the amount of money that a business can earn in its normal course of business by selling its goods and services. ![]()
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