Which of the following is true of the eXtensible Business Reporting Language (XBRL)?
A)It reduces the transparency in a reporting process.
B)It makes data computer-readable.
C)It specializes only in financial reporting.
D)It has failed to advance over electronically delivered PDFs.

Question

Quizplus · Accepted Answer

The eXtensible Business Reporting Language (XBRL) makes data computer-readable, thus increasing the efficiency and accuracy of reporting. It does so by using tags to identify individual pieces of financial data, making it easier to compare and analyze data from different sources. Unlike PDFs, which are not machine-readable, XBRL enables automation and reduces errors in financial reporting. Therefore, option B is the correct choice. Options A, C, and D are incorrect because they do not accurately describe XBRL.

Which of the Following Is True of the EXtensible Business