In making a judgment in developing or applying an accounting policy about whether information is relevant and reliable in the financial statements, management must refer to the following reference first:
A) the definitions in the IASB Framework;
B) requirements and guidance in Standards and Interpretations;
C) recognition criteria contained in the IASB Framework;
D) the measurement concepts for assets, liabilities, income and expenses in the IASB Framework.

Question

Quizplus · Accepted Answer

Management should first refer to the requirements and guidance in Standards and Interpretations when making judgments about accounting policies, as these provide the authoritative guidance for financial reporting.

In Making a Judgment in Developing or Applying an Accounting