FASB Conceptual Framework
Lesson:
The Financial Accounting Standards Board (FASB) has created a conceptual framework which lays out the broad goals of its accounting regulations.
The system divides various focuses into two groups: quantitative and qualitative aspects.
Some auditors are looking over your accounting work, and have come to you with an urgent question.
You've been briefed with the following facts:
- An accountant explained that he was hoping to focus on relevance.
Which aspect of the FASB Conceptual Framework does relevance support?
Answer:
- Relevance is a primary qualitative characteristic.