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Part 2: Plant Assets Managers of publicly traded companies are under constant pressure to meet or exceed Wall Street analysts' earnings projections from stockholders and

Part 2: Plant Assets

Managers of publicly traded companies are under constant pressure to meet or exceed Wall Street analysts' earnings projections from stockholders and creditors, so that stock prices will increase and thus the value of stock options will be increased. Some corporate officials turn to earnings management practices in order to artificially achieve the desired results.

Answer the following questions in regard to these practices:

How might changing estimated useful asset lives be used as a tool to manage earnings? Explain.

References: References and citations should be formatted using current APA guidelines for style and formatting.

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