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Basic Question 2 of 10

High earnings quality means:

A. Reporting high earnings.
B. Reporting earnings in a conservative way so they appear low.
C. None of the above.

User Contributed Comments 1

User Comment
Antoinepo We want to have conservative ESTIMATIONS
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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

evaluate the earnings quality of a company;

CFA® 2026 Level II Curriculum, Volume 2, Module 14.