Under Statement of Financial Accounting Concepts No

question 15

Multiple Choice

Under Statement of Financial Accounting Concepts No.8,which of the following is an ingredient of the primary quality of faithful representation?

• A)Understandability
• B)Verifiability
• C)Predictive value
• D)Materiality

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Definitions:

Customers

Individuals or businesses that purchase goods or services from another entity, providing the revenue stream for the business.

Prejudicial Hiring Practices

Employment practices that unfairly discriminate against candidates based on non-job-related characteristics.

Census

An official count or survey of a population, typically recording various details of individuals, such as age, sex, occupation, and nationality.

Sample Employees

A group of employees selected from a larger population for the purpose of conducting a study or statistical analysis.