What decision would users of financial information not need to make under the IFRS Conceptual Framework?
A)Decide whether to invest in an entity.
B)Information on an entity's economic performance.
C)Amount of money to borrow from an entity.
D)Assessment of the riskiness of cash flows.

Question

Quizplus · Accepted Answer

The IFRS Conceptual Framework provides guidance on the recognition, measurement, and disclosure of financial information, but does not address the decision to borrow money from an entity. This decision is based on various factors, such as interest rates, repayment terms, and collateral requirements, which are not directly influenced by accounting standards or financial reporting practices. Therefore, users of financial information would not need to rely on the IFRS Conceptual Framework to make decisions about borrowing money from an entity.

What Decision Would Users of Financial Information Not Need to Make