The qualitative characteristics of accounting information include
A)reliability.
B)cash flow information.
C)all accounting information.
D)assets reported on the Balance Sheet.

Question

Quizplus · Accepted Answer

The two primary qualitative characteristics of accounting information are reliability and relevance. While cash flow information and assets reported on the Balance Sheet are types of accounting information, they are not characteristics of the information itself. Therefore, choice B and D are incorrect, while choice C is too broad. Choice A, reliability, is a correct answer because it is one of the two key qualitative characteristics that make accounting information useful and trustworthy for decision-making.

The Qualitative Characteristics of Accounting Information Include