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a) Explain the concept of earnings management/accounting manipulation. Focus on definition, assumptions, incentives and control mechanisms. b) Explain one of the models used in the
a) Explain the concept of earnings management/accounting manipulation. Focus on definition, assumptions, incentives and control mechanisms.
b) Explain one of the models used in the research literature to measure earnings management/accounting manipulation. Choose either a variant of the Jones model or the Dechow and Dichev model.
Present and explain the model and discuss key advantages and weaknesses of the model.
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