The Conceptual Framework That Underlies IFRS

question 20

Multiple Choice

The conceptual framework that underlies IFRS

• A)is very similar to that used to develop GAAP.
• B)does not define assets or liabilities.
• C)does not define equity.
• D)does not define income or expenses.
• IFRS.

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Definitions:

Collecting

The process of obtaining payments for debts owed by individuals or businesses.

Accumulating

The process of gathering or building up a quantity over time.

Reporting

The process of preparing and conveying financial and operational information to relevant stakeholders to facilitate decision-making.

Subsidiary Ledger

A group of accounts that provide detail for accounts in the general ledger that summarize large numbers of transactions.