The objective of general purpose financial reporting is stated in most conceptual frameworks as providing decision-useful information to users of financial reports.Which of the following is not regarded as a legitimate user of financial reports according to the IASB Conceptual Framework?
A) Users without some proficiency in financial accounting
B) Recipients of goods and services
C) Special interest groups in the general public
D) All of the given options are correct.

Question

Quizplus · Accepted Answer

The IASB Conceptual Framework assumes that users of financial reports have a reasonable knowledge of business and economic activities and accounting, and a willingness to study the information with reasonable diligence. Therefore, users without some proficiency in financial accounting are not regarded as the primary audience for financial reports according to the framework.

The Objective of General Purpose Financial Reporting Is Stated in Most