Merging Accounting Theory with Reality: A Practical Example of Earnings Management

Abstract

This study provides an example of linking empirical-archival accounting research with a practical real-world example of earnings management. By linking accounting theory with practical real-world examples, students enhance their critical thinking skills. Enhancing critical thinking skills supports the deep approach to learning. In addition, accounting instructors that merge accounting theory with real-world examples in the classroom are planting a seed for the next generation of accounting academics.