Sandbagging - What is it and has it been stopped?



I've been mentioned the term sandbagging and told companies used to be
rife of companies having 'exceptional delays' and profit falling
therefore over 2 accounting periods.

Eg: A sells to B, Asset X for £5 million - falling in 2 accounting
periods £2.5m each. Now it's agreed that £4.8m will be paid now in 1st

The company could apparently 'over reserve', and carry that excess
over to the next accounting period before 'washing' it into the P &

Is this still the case has there been anything passed in terms of FRSs
to stop this practice?


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