What is the distinction between comparability and consistency?

Q: What is the importance of Reconciliation

A: Reconciliation:   It is an accounting process to calculate the correct balance of all accounts. This…

Q: What does Vouching test?

A: Vouching is the process that involves reviewing of original evidence to check whether the…

Q: What is meant by the phrase management by exception?

A:

Q: Difference Between Traceability and Controllability?

A: Following is the answer to the given question

Q: What is the going concern assumption?

A: Going concern Assumption: On the basis of Going concern assumption Financial statements are…

Q: Explain Deficiency Judgment?

A: To borrow funds, borrower might be required to mortgage its property to the lender. In case that…

Q: Realization Test Principle/Theory.

A: Accounting is based on some principles, and to maintain uniformity, everyone must follow accounting…

Q: Which of the following is false about Faithful Representation?

A: Answer Faithful representation is the requirement that the financial statements should be accurate…

Q: What is a reasonableness test?

A: Reasonableness tests is an analytical procedure used to examine the validity of the accounting…

Q: Which statement is correct?

A: A current ratio is one of the ratios used to assess the liquidity of the company. It shows that the…

Q: What are the characteristics of Substantive Tests?

A: Audit Planning: Audit planning is the first step in the auditing process. Auditor gathers all the…

Q: Which statement is true?

A: Financial Statements: These are records of the finance relating activities and positions of the…

Q: Highlight concept of faithful representation and is it valid or not?

A: The concept of Faithful representation advocates that the financial statements and information…

Q: Which of the following statement is correct?

A: Pecking Order Theory: As per this theory, the preference for sources for funds is first retained…

Q: What criterion should be used to evaluate trade-offs between information characteristics?

A: Financial accounting: It refers to the process of recording the financial transactions of the…

Q: Which of the following are substantive tests?

A: For identifying whether the following are substantive tests or not we need to first identify what is…

Q: which is correct from these attached?

A: A cash flow statement is the one prepared as a part of financial statements under which the cash…

Q: Define uncertainity ?

A: "Uncertainty" in accounting refers to the difficulty of predicting outcomes because of limited or…

Q: The following are qualitative characteristics of presentation, except O Uniformity O…

A: Uniformity- It is the quality of being homogeneous.  Understandability-The information must be…

Q: Which of the following statements is correct?

A: Accounts payable: the amount that the company should to pay in a specified future date Bad Debt: the…

Q: What does it mean for a source to be objective?

A: Objective means anything which is free from emotions, personal prejudices or bias.

Q: Distinguish between overcosting and undercosting?

A: Over Costing:Over costing is a state in which the estimated or reported cost of a product is more…

Q: Which qualitative characteristic is an ingredient of relevance? O understandability O materiality O…

A: Answer

Q: What is the primary difference between the APT and the CAPM?

A: APT is an abbreviation used for arbitrage Pricing Theory whereas CAPM is an acronyms used for…

Q: How does the source of evidence affect its reliability?

A:

Q: define the following relevance, reliability,comparability, verifiability and understandability

A: There are some qualitative characteristics which accounting information should possess while…

Q: How does conformance quality differ from design quality? Explain.

A: Total quality management: Total quality management is a method that eliminates wasteful activities…

Q: Which statement is false?

A: Corporate Bonds: These are bonds issued by the corporation for raising capital. These are…

Q: Which qualitative characteristic is an ingredient of relevance? a. Verifiability b. Timeliness c.…

A: As per general accounting principal, financial statements of an entity should be true and fair. In…

Q: Which of the following is a correct statement?

A: When a sole property dies during the financial year leaving the estate that is known as Deceased…

Q: What is summed up by the word consistency ?

A: So, the word "consistency" summed up various phrases and meaningful sentences which are different in…

Q: Why are the realization and matching principles important? Only the importance

A: Accounting principles: These are the assumption, concepts, and guidelines necessary to prepare and…

Q: Which of the following statements is CORRECT?

A: DIVIDEND POLICY  Dividend policy is the policy that determines the assigning of earnings into…

Q: Difference Between Traceability and Controllability? Explain briefly in points.

A: Traceability and controllability are two concepts used in cost accounting. These are the forms of…