Three statements are given below.a. A financial item that may be useful to investors is not required to be reported because thecost of measuring and reporting this information is judged to be too great.b. Timely information that is used to predict future events or provide feedback about priorevents is said to possess this characteristic.c. A quality of information that enables an analyst to evaluate the financial performance oftwo different companies in the same industry.Required:Give the qualitative characteristic or constraint that is most applicable to each of the statements.
Three statements are given below.a. A financial item that may be useful to investors is not required to be reported because thecost of measuring and reporting this information is judged to be too great.b. Timely information that is used to predict future events or provide feedback about priorevents is said to possess this characteristic.c. A quality of information that enables an analyst to evaluate the financial performance oftwo different companies in the same industry.Required:Give the qualitative characteristic or constraint that is most applicable to each of the statements.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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| Three statements are given below. a. A financial item that may be useful to investors is not required to be reported because the cost of measuring and reporting this information is judged to be too great. b. Timely information that is used to predict future events or provide feedback about prior events is said to possess this characteristic. c. A quality of information that enables an analyst to evaluate the financial performance of two different companies in the same industry. Required: Give the qualitative characteristic or constraint that is most applicable to each of the statements. |
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