Question: Which statement below is not correct with respect to earnings management? Multiple Choice It is increasingly common because of the pressure to meet analysts expectations.

Which statement below is not correct with respect to earnings management?

Multiple Choice

  • It is increasingly common because of the pressure to meet analysts expectations.

  • More firms just beat rather than just miss the analyst expectations.

  • In a recent survey, more than 65% of CFOs surveyed indicated that reporting a profit is an important benchmark.

  • In a recent survey, more than 80% of CFOs surveyed indicated that meeting or beating consensus EPS is an important benchmark.

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