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A mathematical model that uses financial ratios and eight variables to identify whether a company has manipulated its earnings. The variables are constructed from the data in the company's financial statements and, once calculated, create an M-Score to describe the degree to which the earnings have been manipulated.
What Your CLEPÂ® Score Means. In order to reach the total score you see on your score report, two calculations are performed. First, your âraw scoreâ is calculated. This is the number of questions you answered correctly.