Financial Reporting
Words: 2292 Pages: 8 5719Earnings are normally regarded as one of the most powerful indicators of a company's business activities. Earnings management refers to the use of different accounting techniques with the aim of producing financial reports that tend to present an extremely positive view of an organization's financial position and business activities. Most of the accounting principles and rules require the firm's management to make different judgements. Research shows that earnings management tend to take advantage of ways in which accounting rules are […]