Requirement Companies influence reported earnings via accruals earnings management , or real earnings and women . In accruals carings management , managers influence earnings through discretionary accrual choices either within or outside of GAAP ( accelerated revenue recognition , for instance ) . In real earnings manage ment , manager Is influence earnings through choices about real business activities that impact cash flows ( reducing discretionary spending such as research and development , for example ) . Which of these I echniques of earnings management do you think were used by the senior management of Diamond Foods during fiscal years 2010 and 201 7 Note that this is not an either / or question . If you determine that there are instances of both types of carvings management , list specific examples of both . What are the implications of earnings management for Diamond Foods and its stakeholders let