11- David (1998) implemented a research to investigate the relationship between earnings manipulation and borrowing orientation; such research is: A- Explanatory theory research B-True income theory research C- Positive theory research D- Decision makers theory research E- Both A & C are correct answers 12- Stephens (1980) examined the usage of financial statements in bank lending decisions with the intention to increase the scope of decision process research. Such research is primarily classified as A-Positive accounting theory B- Decision usefulness theory C- Negative accounting theory D- None of the above is correct answer 13- Flora Guidry, Andrew J. Leone, and Steve Rock (1999) tests the bonus-maximization hypothesis that managers make discretionary accrual decisions to maximize their short-term bonuses, such theorizing should be classified as: A-Bonus plan theory B-Debt theory C-Political cost theory D-True income theory 14- Lan Sun (2012) sheds light in explaining contractual incentives and provides useful information in understanding the executive compensation contract-driven earnings management behavior, such theorizing should be classified as: A-Bonus plan theory B-positive accounting theory C-Political cost theory D- A & B 15- 'The underlying assumption that the capital markets react in an efficient and unbiased manner to publicly available information and that stocks prices completely mirrors the accessible information' is: A-Efficient markets hypothesis B- Positive accounting theory C-Agency theory D- Political cost hypothesis