Which of the following is NOT a good indicator of the degree to which statements are relied on by external users?
A) nature and amount of liabilities
B) client size, as measured by total assets or total revenue
C) distribution of ownership among the public
D) amount of net income or loss after taxes

Question

Quizplus · Accepted Answer

The amount of net income or loss after taxes is not necessarily an indicator of the degree to which statements are relied on by external users. Factors such as the nature and amount of liabilities, client size, and distribution of ownership among the public are more likely to indicate the level of reliance on financial statements.

Which of the Following Is NOT a Good Indicator of the Degree