Discussion:
After reading case 2-2 in your text, "The Dangerous Morality of Managing Earnings," thoroughly answer the two questions below. Think about how the interrelatedness of the financial statements plays into the case.
What are the five generalizations from the findings in this study relating to managing earnings?
Comment on management's ability to manage earnings in the long run by influencing financial accounting.
When mentioning and explaining your five generalizations, please ensure you utilize or incorporate the survey statistics to your generalizations. This will help strengthen your analytical skills. For example, when it comes to reducing earnings, 79% of managers believe it's ethical to manage short-term earnings by changing or manipulating operating decisions whereas 2% of managers assert it's unethical or a serious infraction. Please incorporate the statistics in each of your generalization.Your submitted paper should be at least one-and-a-half pages APA style.