Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts. To identify: The qualitative characteristics of accounting information.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Indicate whether the following statements about the conceptual framework are true or false. If false, provide a brief explanation supporting your position. a. The fundamental qualitative characteristics that make accounting information useful are relevance and verifiability. b. Relevant information only has predictive value, confirmatory value, or both. c. Information that is a faithful representation is characterized as having predictive or confirmatory value. d. Comparability pertains only to the reporting of information in a similar manner for different companies. e. Verifiability is solely an enhancing characteristic for faithful representation. f. In preparing financial reports, it is assumed that users of the reports have reasonable knowledge of business and economic activities.

Accounting information provides useful information about business transactions and events. Those who provide and use financial reports must often select and evaluate accounting alternatives. The FASB statement on qualitative characteristics of accounting information examines the characteristics of accounting information that make it useful for decision-making. It also points out that various limitations inherent in the measurement and reporting process may necessitate trade-offs or sacrifices among the characteristics of useful information. Instructions a. Describe briefly the following characteristics of useful accounting information. 1. Relevance. 2. Faithful representation. 3. Understandability. 4. Comparability. 5. Consistency. b. For each of the following pairs of information characteristics, give an example of a situation in which one of the characteristics may be sacrificed in return for a gain in the other. 1. Relevance and faithful representation. 2.…

Which type of analytics generally would go first when addressing an accounting issue? Multiple Choice Diagnostic analytics Predictive analytics Descriptive analytics Prescriptive analytics

Answer 2

Question

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.

Answer 6

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.

Answer 7

Chapter 2, Problem 2.1E

To determine

Concept Introduction:

Accounting Information is a type of information which is used by the organization for the doing the accounting. Every works needed information related to that so as accounting also need information to prepare books of accounts.

To identify: The qualitative characteristics of accounting information.

Answer 8

Expert Solution & Answer

Explanation of Solution

Following is qualitative characteristics explanation:

1. Relevance	Accounting information which is collected by the organization must be relevant. Information must be included in reports.
2. Reliable	Accounting information which is collected by the organization is must be from reliable source it must have capacity to make impact on decisions.
3. Free From Error.	Accounting information which is collected by the organization must be free from error because it is included in books of accounts.
4. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.
5. Understandability	Accounting information which is collected by the organization must be in a manner that can be understood by everyone in organization.
6. Comparability	Accounting information which is collected by the organization must be comparable to other data or other period data.