The most general and most important objective of financial reporting is to:A. Provide useful information for decision makingB. Ensure management objectives are metC. Safeguard the company's assetsD. Keep information summarized, simplified and condensedReset Selection

Option B is wrong because ensuring that the management objectives are met is not an objective of…

Answered: most general and most important…

Business

Accounting

most general and most important objective of financial reporting

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter3: Internal Control Over Financial Reporting: Responsibilities Of Management And The External Auditor

Section: Chapter Questions

Problem 1CYBK

See similar textbooks

Related questions

Q: advantages of financial accounting

A: Answer are as follows

Q: An objective of financial reporting is

A: Financial reporting uses financial statements to disclose financial data that indicates the…

Q: Who Governs The Financial Reporting Standard?

A: Accounting controls: These are the internal controls which ensure continuous reliability of…

Q: Describe the financial reporting environment.

A: Financial statement: Financial statements are prepared to summaries the account at the end of the…

Q: Financial reporting information may be described in terms of its qualitative features.

A: This question explains about financial reporting information

Q: Ascertain various conceptual models for the measurement of the elements in the financial statement.

A: Financial statements are known as the written form of statements of a business that depicts the…

Q: Identify the objective and qualitative qualities of financial reporting information as well as the…

A: Introduction: Financial reporting: Financial reporting is the process of communicating information…

Q: Explain the qualitative characteristics of financial reporting information.

A: Conceptual Framework: The FASB's Conceptual Framework for Financial Reporting states the objectives…

Q: Define Financial reporting.

A: Definition: Financial statements: Financial statements are condensed summary of transactions…

Q: What is financial accounting's principal purpose?

A: The financial accounting main and principal purpose is to allow the third parties to assess the…

Q: What are the quality information with regards to financial reporting?

A: Financial reporting is to communicate the financial position and its soundness to the shareholders,…

Q: Describe the conceptual framework of financial accounting.

A: Conceptual Framework: A conceptual framework is a logical presentation of interrelated objectives…

Q: Explain what characteristics should information have to best meet the objective of financial…

A: Financial reporting: Financial reporting is the procedure to communicate the information obtained…

Q: IASB standards and the Conceptual Framework for Financial Reporting

A: IASB standards and Conceptual Framework for Financial Reporting provide guidance to do accounting in…

Q: Explain an example of objective of financial reporting.

A: Hi since examples cannot be used to explain the objectives of financial reporting. It is assumed…

Q: What are the objectives, principles and assumptions of the Conceptual Framework for Financial…

A: Answer: Concept: Conceptual framework describes the objective and concept for general purpose…

Q: Explain the objectives of financial reporting.

A: Financial reporting: Financial reporting is the procedure used to communicate the information…

Q: Define the term financial reporting.

Q: What is the goals, principles and assumptions of the Conceptual Framework. on financial statements…

A: A conceptual framework is a collection of concepts and goals that lead to the development of a…

Q: The main objective of general-purpose financial reports is, a. To describe the characteristics for…

Q: Describe Common methods for analyzing financial statements.

A: Financial statements: Financial statements are condensed summary of transactions communicated in the…

Q: Describe the v

A: Definition of Financial Reporting Financial Reporting involves the disclosure of financial…

Q: users of the financial information

A: Users of financial information are those people who read the financial statements and use the…

Q: Explain how to develop financial accounting and reporting standards.

A: The financial accounting and reporting standards are created by IASB

Q: Describe major challenges in the financial reporting environment.

A: Financial reporting environment: Financial reporting is the procedure used to communicate the…

Q: What are elements of financial reporting as per conceptual framework? Explain with example

A: The release of financial statements, which contain the income statement, balance sheet, and…

Q: Describe the function and primary focus of financial accounting.

Q: What are the two measurement bases allowed by the conceptual framework for financial reporting (CF)?

A: The Conceptual Framework is a collection of interconnected goals and fundamentals. The aims and…

Q: What are the three primary objectives of financial reporting?

A: Financial Reporting: Financial reporting is the process of disclosing the financial results of the…

Q: What are the NAS and IFRS Conceptual Framework for Financial Reporting's aims, principles, and…

A: Answer: Concept: Using the term "conceptual framework," we want to explain the overall goal and idea…

Q: Importance of Financial System

A: The financial system consists of insurance companies, banks, stock exchanges that facilitate the…

Q: The conceptual framework for financial reporting (CF) allows for two measurement bases. What are…

A: This question explains about the conceptual framework for financial reporting (CF) allows for two…

Q: Discuss the scope and application for smes standard in financial reporting

A: Introduction: Financial reporting is a standard accounting method that utilizes financial statements…

Q: Fundamentals of financial management

A: Management of financial activities of the business organization is known as Financial management.…

Q: Identify the majordifferences and similaritiesbetween financial andmanagerial accounting.

Q: Identify the objective and qualitative characteristics of financial reporting information and the…

A: Financial reporting: Financial reporting is the procedure used to communicate the information…

Q: Elaborate on the internal and external uses of financial statement analysis

A: Financial Statement: They are annual reports of an organization summarizing the financial…

Q: Describe the usefulness of a conceptual framework and the objective of financial reporting.

Q: A conceptual framework for financial reporting is: A. A set of regulations which govern financial…

A: Introduction: Financial reports: At every financial year ending Income statement , Statement of cash…

Q: Define Financial instrument.

Q: Explain the main purposes of the Conceptual Framework for Financial Reporting and Identify the…

A: Conceptual framework: Conceptual framework describes the actual purpose of financial reporting. It…

Q: Definition of Financial Accounting

A: Solution:- Definition of financial accounting as follows under:-

Q: are the main decisions of the financial management? Expla

A: There are basically four types of decisions to be made as part of financial management.

Question

The most general and most important objective of financial reporting is to:
A. Provide useful information for decision making
B. Ensure management objectives are met
C. Safeguard the company's assets
D. Keep information summarized, simplified and condensed
Reset Selection

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Evaluation of options

VIEW

Answer

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Indicate whether each statement describes financial accounting or managerial accounting. The information is directed at external users who are making decisions pertaining to investing, extending credit, and other decisions. The principal users are the organizations managers. The key focus is on the entity as a whole. The rules and principles are very flexible. The information gathered is usually available after an independent audit has been completed.
Companies need to report both monetary and nonmonetary data and information. A. Define these two terms and provide examples of each. B. Discuss what sources are available that provide companies with both types of data and information.
An important goal of a responsibility accounting framework is to help ensure which of the following? A. decision-making is made by the top executives. B. investments made by each segment are minimized. C. identification of operating segments that should be closed. D. segment and company financial goals are congruent.
Which of the following use financial statement data to make decisions? a. customers c. suppliers b. investors d. all of these
People affected by decisions made by a company, including Investors, creditors, employees, managers, regulators, customers, suppliers, and laypeople, are known as ________. A. quantitative factors B. qualitative factors C. stakeholders D. stockholders
Typical accounting tasks include all of the following tasks except ________. A. auditing B. recording and tracking costs C. tax compliance and planning D. consulting E. purchasing direct materials
Which one of the following components of internal control over financial reporting sets the tone for the organization? a. Risk assessment. b. Control environment. c. Information and communication. d. Monitoring.
Define the term stakeholders. Identify two stakeholder groups, and explain how each group might use the information contained in the financial statements.
Which of the following are affected by the quality of an organization’s internal controls? a. Reliability of financial data. b. Ability of management to make informed business decisions. c. Ability of the organization to remain ¡n business. d. All of the above. e. Only a and c.