Qualitative Characteristics The following is a list of qualitativecharacteristics of useful accounting information identified in the FASB'sand the IASB's Statement of Financial Accounting Concepts No. 8 andstatements describing the qualities. A. ComparabilityB. Decision usefulnessC. RelevanceD. Faithful representation E. Predictive valueF. Confirmatory valueG. VerifiabilityH. NeutralityI. Free from error J. ConsistencyK. MaterialityL. TimelinessM. UnderstandabilityN. Completeness _ _ _ _ _ _1. Different knowledgeable and independent observers conreach consensus that a particular representation is faithful_ _ _ _ _ _2. Making information available to decision makers before itloses its capacity to influence decisions._ _ _ _ _ _3. Capacity to make a difference in a decision, enabling users to predict future outcomes and/or confirm prior expectations._ _ _ _ _ _4. Overall objective of financial information. _ _ _ _ _ _ 5. Absence of bias intended to influence financial statementusers' behavior in a particular direction. _ _ _ _ _ _ 6. Presented as accurately as possible, using a process thatreflects the best available inputs.__ _ _ _ _ _ 7. Helps decision makers form expectations about the future. _ _ _ _ _ _ 8. Full disclosure of oil the information necessary tounderstand the information being reported._ _ _ _ _ _ _ 9. Enables users to identify and explain similarities anddifferences between two or more sets of economic foots. _ _ _ _ _ _ 10. The nature and magnitude of on omission or misstatementthat would influence the judgment of reasonable users of thatinformation._ _ _ _ _ _ 11. Accounting methods and procedures applied in the somemanner from period to period. _ _ _ _ _ _ 12. Helps decision makers confirm or correct prior predictionsor expectations._ _ _ _ _ _ 13. When the words and amounts accurately depict theeconomic substance of what they purport to depict._ _ _ _ _ _ 14. Comprehensible to users. Required:Place the appropriate letter identifying each quality on the line in frontof the statement describing the quality.
Qualitative Characteristics The following is a list of qualitative
characteristics of useful accounting information identified in the FASB's
and the IASB's Statement of Financial Accounting Concepts No. 8 and
statements describing the qualities.
A. Comparability
B. Decision usefulness
C. Relevance
D. Faithful representation
E. Predictive value
F. Confirmatory value
G. Verifiability
H. Neutrality
I. Free from error
J. Consistency
K. Materiality
L. Timeliness
M. Understandability
N. Completeness
_ _ _ _ _ _1. Different knowledgeable and independent observers con
reach consensus that a particular representation is faithful
_ _ _ _ _ _2. Making information available to decision makers before it
loses its capacity to influence decisions.
_ _ _ _ _ _3. Capacity to make a difference in a decision, enabling users
to predict future outcomes and/or confirm prior expectations.
_ _ _ _ _ _4. Overall objective of financial information.
_ _ _ _ _ _ 5. Absence of bias intended to influence financial statement
users' behavior in a particular direction.
_ _ _ _ _ _ 6. Presented as accurately as possible, using a process that
reflects the best available inputs.
__ _ _ _ _ _ 7. Helps decision makers form expectations about the future.
_ _ _ _ _ _ 8. Full disclosure of oil the information necessary to
understand the information being reported.
_ _ _ _ _ _ _ 9. Enables users to identify and explain similarities and
differences between two or more sets of economic foots.
_ _ _ _ _ _ 10. The nature and magnitude of on omission or misstatement
that would influence the judgment of reasonable users of that
information.
_ _ _ _ _ _ 11. Accounting methods and procedures applied in the some
manner from period to period.
_ _ _ _ _ _ 12. Helps decision makers confirm or correct prior predictions
or expectations.
_ _ _ _ _ _ 13. When the words and amounts accurately depict the
economic substance of what they purport to depict.
_ _ _ _ _ _ 14. Comprehensible to users.
Required:
Place the appropriate letter identifying each quality on the line in front
of the statement describing the quality.
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