The conceptual framework's qualitative characteristic of faithful representation includes:
A)Predictive value.
B)Neutrality.
C)Confirmatory value.

Question

Quizplus · Accepted Answer

The qualitative characteristic of faithful representation requires that financial information is free from bias or prejudice, and is represented in an objective and neutral manner. This is referred to as neutrality. The other options, predictive value and confirmatory value, are qualitative characteristics of relevance.

The Conceptual Framework's Qualitative Characteristic of Faithful Representation Includes