Actually, managers can increase or dicrease earning, why? The answer is companies have a liability to provide and distribute dividends to shareholder and bonuses to owner. So, when managers want increased earning, they can reduce the expense (moved to next year) or to change the method used, such as depreciation. But, when managers want dicreased earning, they can increase the expense (entering next year to this year) or recognize revenue in the future at the moment.
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