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.
You're looking over the firm's financials with a new hire and need to explain what is going on.
You've been briefed with the following facts:
- An accountant explained that one of the most important characteristics in accounting is comparability.
The key concept of comparability belongs to which of FASB's Conceptual Framework's aspects?
Answer:
- Comparability is an enhancing qualitative characteristic.