Earnings quality is defined as the degree of correlation between a company's accounting income and its economic income. Earnings management is defined as the attempt by corporate officers to influence short-term reported income. Explain and give a brief example of accounting terminology such as

 a. Taking a bath;

 b. Cookie jar reserves; 

c. Improper revenue recognition.

Answer rating: 100% (QA)

Taking a bath is an accounting term that basically refers to an investor who loses a lot on an inves... View the full answer