Under IFRS, the conceptual framework:
A) Emphasizes the overarching concept of the financial statements providing a "true and fair representation" of the company.
B) Is not designed to provide guidance to standard setters, but rather only to practitioners.
C) Is not designed to provide guidance to practitioners, but rather only to standard setters.
D) Specifies a set of rules that determine what constitutes a true IFRS standard.

Question

Quizplus · Accepted Answer

The IFRS conceptual framework emphasizes the overriding principle of financial statements providing a "true and fair view" of the company's financial position, performance, and cash flows. The framework does not provide specific guidance on IFRS standards, but rather aims to assist practitioners and standard-setters in developing and applying accounting standards. It is intended to provide a foundation for the development of accounting standards, and highlights the qualitative characteristics that financial information should possess to be useful to users.

Under IFRS, the Conceptual Framework