According to the FASB's conceptual framework, the process of reporting an item in the financial statements of an entity is
A) recognition.
B) realization.
C) allocation.
D) matching.

Question

Quizplus · Accepted Answer

According to the FASB's conceptual framework, the process of reporting an item in the financial statements of an entity is recognition. This involves determining whether an element meets the criteria for recognition as an asset, liability, equity, revenue, or expense.

According to the FASB's Conceptual Framework, the Process of Reporting