Statement 1: The primary responsibility for the preparation and presentation of the financial statements of an entity is reposed in the management of the entity. Statement 2: An entity can rectify inappropriate accounting policies either by disclosure of the accounting policies used or by notes or explanatory information Both statements are true. Both statements are false. Only statement 1 is true. Only statement 2 is true.
Statement 1: The primary responsibility for the preparation and presentation of the financial statements of an entity is reposed in the management of the entity. Statement 2: An entity can rectify inappropriate accounting policies either by disclosure of the accounting policies used or by notes or explanatory information Both statements are true. Both statements are false. Only statement 1 is true. Only statement 2 is true.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Statement 1: The primary responsibility for the preparation and presentation of the financial statements of an entity is reposed in the management of the entity.
Statement 2: An entity can rectify inappropriate accounting policies either by disclosure of the accounting policies used or by notes or explanatory information
Both statements are true.
Both statements are false.
Only statement 1 is true.
Only statement 2 is true.
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