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1 . Define what is meant by earnings and outline why it is important to shareholders . 2 . Explain what is meant by earnings

1 .

Define what is meant by "earnings" and outline why it is important to shareholders

. 2 .

Explain what is meant by "earnings management"

. 3 .

What is "big bath accounting"? Why would managers decide to take one?

4 .

What is "income smoothing"? Give an example.

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