In the high-stakes world of mergers and acquisitions, even seasoned investors can be blindsided by hidden financial pitfalls. A striking example is Hewlett-Packard’s 2011 acquisition of UK-based software company Autonomy. HP paid over $11 billion for Autonomy, only to write down $8.8 billion a year later, citing “accounting improprieties, misrepresentations and disclosure failures” by Autonomy’s management. This debacle underscores the critical importance of conducting a thorough Quality of Earnings (QoE) analysis during the due diligence process. Not as a protocol, but under a precision financial microscope. While standard financial statements may present a company’s performance in a favorable light, a …