Which of the Following Are Qualitative Characteristics of Good Financial

question 12

Multiple Choice

Which of the following are qualitative characteristics of good financial reports for governments?

• A)Comparability among years, consistency among governments, completeness, and timeliness
• B)Comparability among governments, consistency between years, completeness, and timeliness
• C)Comparability with business, consistency between years, completeness, and timeliness
• D)Full disclosure, transparency, accuracy, and audit

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Definitions:

Sole Proprietorship

Business ownership in which there is no legal distinction between the sole proprietor’s status as an individual and his or her status as a business owner.

Partnership

A legal business structure where two or more individuals agree to share the profits and losses of a business.

Corporation

Legal organization with assets and liabilities separate from those of its owner(s).

Franchise

A licensing agreement where a franchisor allows a franchisee to use its brand, products, and operating methods.