Earnings Management Is

question 14

Multiple Choice

Earnings management is:

• A) Illegal as defined by SOX.
• B) Illegal as defined by the IRS.
• C) Illegal as defined by the SEc.
• D) Legal, to a certain extent.

---

Definitions:

Gestalt Psychology

A psychological approach that emphasizes understanding consciousness, perception, and learning through the lens of seeing patterns and wholes rather than individual elements.

Completely Unconscious

Pertains to processes or mental activities beneath an individual's conscious awareness, influencing behavior or thoughts without conscious recognition.

Alter-Ego

A second self or different version of oneself, which may possess qualities distinct from the person's primary personality.

Superego

In psychoanalytic theory, the part of the personality that acts as a moral center, enforcing ethical conduct and striving for perfection.