Question 5 Part A Distinguish earnings quality" from accounting quality" and provide a specific example of poor earnings quality but good accounting quality. (6 marks) Part B Earnings management is thought to be widespread in financial reporting of listed companies. But the direction of earnings management varies with the incentive of the management. Required: Identify the incentives that would lead an analyst to expect that (i) management might attempt to manage earnings upward, and (7 marks) (ii) management might attempt to manage earnings downward. (7 marks)