To be useful,accounting information must have the fundamental qualitative characteristics of:
A)comparability and relevance.
B)relevance and faithful representation.
C)materiality and understandability.
D)faithful representation and timeliness.

Question

Quizplus · Accepted Answer

The two fundamental qualitative characteristics of accounting information are relevance and faithful representation. Relevance means that the information provided is capable of influencing the economic decisions of users, while faithful representation means that the information provided is complete, free from error and unbiased. While the other options also represent important characteristics, they are not the primary fundamental characteristics of accounting information.

To Be Useful,accounting Information Must Have the Fundamental Qualitative Characteristics