All of the following are items that management could use to manage earnings except:
A)bad debt expense.
B)warranty expense.
C)asset write-downs.
D)sales expense.

Question

Quizplus · Accepted Answer

Bad debt expense, warranty expense, and asset write-downs are all legitimate expenses that can affect a company's earnings. Sales expense, however, is not an expense that would typically be manipulated by management to manage earnings. It is a necessary expense related to generating revenue, and reducing it could harm the company's ability to generate future sales.

All of the Following Are Items That Management Could Use