The Qualitative Characteristic That Says Accounting Information Can Influence Users

question 77

Multiple Choice

The qualitative characteristic that says accounting information can influence users' decisions is which of the following?

• A)comparability.
• B)materiality.
• C)relevance.
• D)reliability.

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Definitions:

Value Increases

Situations in which the worth of an asset or investment rises over time.

Classic Automobile

A vehicle of significant historical interest, typically older models that are collected, preserved, or restored for their nostalgic value and beauty.

Simple Interest

The calculation of interest on the principal amount only, without compounding over time.

Higher Risk Investment

An investment with a greater chance of resulting in a loss or underperforming but potentially offering higher returns.