Question

accounting information must be presented in such a way that only accounting people understand it. true or false with reason ​

Answer 1

True: Accountant has to exercise his personal judgment in respect of various items such as estimating useful life of an asset to charge depreciation. <br> (ii) False: Financial Statements of two or more years are comparable or of different firms in the same industry if they adopt the same accounting policies year to year. <br> (iii) False: Accounting Information must be presented in a simple and logical manner that they are understood easily by the users. <br> (iv) True: Accounting Information must be reliable, i.e., the information must be factual and verifiable.