International accounting standards Flashcards
1
Q
What are the 4 ways that the quality of information can be measured by?
A
Comparability
Relevance
Reliability
Understandability
2
Q
Define comparability
A
Can one compare with previous years or other businesses
3
Q
Define relevance
A
Information must be relevant to users
4
Q
Define reliability
A
Capable of being verified
Free from errors
Not bias
5
Q
Define understandability
A
Understood by all parties
