In the conceptual framework for financial reporting, what provides "the why"--the goals and purposes of accounting?
A)Measurement and recognition concepts such as assumptions, principles, and constraints
B)Qualitative characteristics of accounting information
C)Elements of financial statements
D)Objectives of financial reporting

Question

Quizplus · Accepted Answer

The objectives of financial reporting provide "the why" in the conceptual framework for financial reporting, as they determine the goals and purposes of accounting. These objectives include providing financial information that is useful for making investment, credit, and similar decisions, and that facilitates assessing management's accountability for the resources entrusted to it.

In the Conceptual Framework for Financial Reporting, What Provides "The