Guys - I know this comes up every now and again so I thought this article might be of interest.
It does not go into the technical accounting details nor explore the merits and virtues of the system however it provides some evidence based analysis on the current divergence we are seeing in the results and a look back over time on this ratio and profiles some names and sectors nicely.
http://seekingalpha.com/article/3959200-earnings-adjustments…
Ant