The Qualitative Characteristics Describe the Attributes That Enhance the Usefulness

question 26

Multiple Choice

The qualitative characteristics describe the attributes that enhance the usefulness of financial reporting information.The FASB's conceptual framework sets forth the qualitative characteristic of _____ that refers to financial reporting that treats similar items the same way and different items differently.Consistency refers to financial reporting that treats an item the same way over time.

• A)relevance
• B)reliability
• C)comparability
• D)materiality
• E)understandability

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Definitions:

Factoring

The process of breaking down an equation or number into its constituent parts, or 'factors', that multiply together to form the original number or equation.

Equation

A declaration in the field of mathematics that two expressions possess equal value.

Factoring

A mathematical process of breaking down an expression into simpler components that, when multiplied together, produce the original expression.

Equation

A mathematical statement that asserts the equality of two expressions, typically formatted as 'expression = expression'.