Which of the Following Is a Form of Earnings Management

question 58

Multiple Choice

Which of the following is a form of earnings management in which revenues and expenses are shifted between periods to reduce fluctuations in earnings?

• A) fraudulent financial reporting
• B) expense smoothing
• C) income smoothing
• D) each of the above is correct

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Definitions:

Carbon-Carbon Double Bond

A covalent bond formed between two carbon atoms involving the sharing of two pairs of electrons, resulting in a pi bond overlaid on a sigma bond.

Alkenes

Hydrocarbons that contain at least one double bond between carbon atoms, making them unsaturated.

Coplanar

Describes molecules or atoms that lie within the same geometric plane, indicating a flat, two-dimensional orientation.

Molecular Formula

A notation showing the types and numbers of atoms in a molecule without providing information on the arrangement or bonds between them.