Match the Following Characteristics with the Statements About Each Qualitative

question 131

Multiple Choice

Match the following characteristics with the statements about each qualitative characteristic's importance.
-This quality refers to an amount large enough to affect a decision.

• A)Consistency
• B)Materiality
• C)Conservatism
• D)Comparability
• E)Reliability
• F)Relevance
• G)Understandability

---

Definitions:

Stock-price Response

The reaction of a company's stock price to financial news, market events, or unanticipated occurrences affecting the business.

Corporate Dividend

Payments made by a corporation to its shareholders out of the company's profits or reserves.

Earnings Announcements

A public statement released by a company detailing its profits, losses, and financial performance for a specific period.

Insider Trading

Trading by officers, directors, major stockholders, or others who hold private inside information allowing them to benefit from buying or selling stock.