A Version of Earnings Management That Became Common in the 1990s

question 56

Multiple Choice

A version of earnings management that became common in the 1990s was

• A) when management made changes in the operations of the firm to ensure that earnings did not increase or decrease too rapidly.
• B) reported "pro forma earnings."
• C) when management made changes in the operations of the firm to ensure that earnings did not increase too rapidly.
• D) when management made changes in the operations of the firm to ensure that earnings did not decrease too rapidly.

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Definitions:

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An individual, often a psychologist or a neuroscientist, who studies the origin, mechanism, and meaning of dreams.

REM Sleep

A phase of sleep characterized by rapid eye movement, vivid dreaming, and increased brain activity.

Physical Toll

The impact or wear on the body resulting from stress, strain, or overexertion, often leading to fatigue or injury.

Productive

Capable of producing ample results, work, or yielding beneficial outcomes, often through creativity or efficiency.