Which of the following are methods by which management can manipulate earnings and possibly lower the quality

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Which of the following are methods by which management can manipulate earnings and possibly lower the quality of reported earnings?

(a) Changing an accounting policy to increase earnings.

(b) Refusing to take a loss on inventory in an accounting period when the inventory is known to be obsolete.

(c) Decreasing discretionary expenses.

(d) All of the above.

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Related Book For answer-question

Understanding Financial Statements

ISBN: 9781292101552

11th Global Edition

Authors: Lyn Fraser, Aileen M. Ormiston

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Question Posted: Mar 20, 2024 12:00 AM

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Which of the following are methods by which management can manipulate earnings and possibly lower the quality

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Understanding Financial Statements

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