Why are carvanas gains on loan sales a critical audit matter, Finance Basics

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Why are carvanas gains on loan sales a critical audit matter

Problem

Carvana's Success Rides on Used-Car Loans.

i. What are Carvana's motive(s) to turbocharge its revenue?

ii. Carvana records income on sales of car loans, or securitization transactions. What are securitizations? How does auto-loan securitization work according to this article?

iii. Under current market conditions, Carvana is able to sell securitized portfolios of car loans at a premium to their face value. Why are investors willing to pay the premiums?

iv. Why are Carvana's gains on the loan sales "a critical audit matter"?

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