Required:

1. How would earning management affect the true and fair view of accounting reporting? Can it be fraudulent? Provide an example to support your answers. (5 marks)
2. Critically evaluate earning management within conventional Generally Accepted Accounting Principles (GAAP) flexibility? How does it differ from behaviour that goes well beyond GAAP boundaries and into the dark realm of fraudulent financial reporting? (5 marks)
3. Discuss the positive effect on the quality of earnings for predicting future cash flows. And also elaborate on any three incentives to manage earnings.
4. How did Toshiba's accounting scandal come to light? Critically discuss the responsibility for financial reporting in relation to Toshiba's scandal. (5 marks)
5. Where did Toshiba went wrong? Critically explain how accounting improprieties damaged the brand image and worsened the company's performance. (5 marks)
6. Discuss the role of auditors and board composition of Toshiba Company before its crises. What did the investigation revealed? (5 marks