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Companies often are under pressure to meet or beat Wall Street earnings projections in order to increase stock prices and also to increase the value

Companies often are under pressure to meet or beat Wall Street earnings projections in order to increase stock prices and also to increase the value of stock options. Some resort to earnings management practices to artificially create desired results.

Is earnings management always intended to produce higher income? Explain and offer examples to back your explaination. Would this change for a not-for-profit company? Why or why not?

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