In Examining the Issue of Whether the Choice of Accounting

Multiple Choice

In examining the issue of whether the choice of accounting methods affects stock prices,studies have found that:

A) accounting depreciation methods can significantly affect stock prices.
B) switching depreciation methods can significantly affect stock prices.
C) accounting changes that increase accounting earnings also increase stock prices.
D) accounting changes can affect stock prices if the company were either to withhold information or provide incorrect information.
E) accounting reporting has little,if any effect,ever on stock prices.