1- Moderating year-to-year fluctuations in income by shifting earnings from peak years to less successful periods is:

A) Income smoothing,

B) Quality of earnings.

C) Relevance.

D) Faithfull representation.

2- Management attempt to bring forward or even overstate expenses in the same period is:

A) Income smoothing

B) Quality of earnings.

C) Big bath,

D) Faithfull representation.

3- The concept that is related to how closely current earnings are aligned with future earnings, is:

A) Income smoothing.

B) Quality of earnings,

C) Big bath

D) Faithfull representation.

4- The theory that is often used to understand that managers, as agents, are likely to act in their own interest, is:

A) Agency theory,

B) Economic theory.

C) Financial theory.

D) Administration theory