Question

Identify the statement that is most accurate.


Understandability of financial information refers to the extent to which similar conclusions can be drawn by independent observers given the same information.
Financial information is considered a faithful representation if it is complete, timely, and error-free.
Financial information that has confirmatory value provides feedback that either confirms or changes previous evaluations.
International Financial Reporting Standards (IFRS) are adopted by the majority of the companies in the United States.​

Answer 1

Concept: To find out the most accurate statement

Given: A few statements and  hints

Find: The most accurate statement from all the given statements

Solution: The most accurate statement from all the statements is :

Financial.............evaluations.

This means that it helps the users to change their opinion.

While other statements are not as accurate as this statement for various specific reasons.

Hence, we have chosen the most accurate statement.

#SPJ3

Answer 2

Answer: Financial information is considered a faithful representation if it is complete, timely, and error-free.

Explanation: