What Are the Four Key Qualities of Accounting Information

question 38

Multiple Choice

What are the four key qualities of accounting information?

• A)relevance, reliability, comparability, and understandability.
• B)identification, analysis, reliability, and timeliness.
• C)planning, control, comparability and analysis
• D)understandability, identification, analysis, and relevance.

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Definitions:

Non-Controlling Interest (NCI)

Equity interest in a subsidiary not attributable to the parent company, reflecting the minority shareholders' stake in the subsidiary's net assets.

Consolidated Balance Sheet

A financial statement showing the total assets, liabilities, and equity of a parent company and its subsidiaries as if they were a single entity.

Fair Value Enterprise Method

A valuation technique that estimates the price at which an asset or liability would be exchanged in an orderly transaction between market participants at the measurement date.

Consolidated Balance Sheet

A financial statement that summarizes the assets, liabilities, and equity of a company and its subsidiaries as a single entity.