Intermediate Accounting 14th Edition

Published by Wiley
ISBN 10: 0470587237
ISBN 13: 978-0-47058-723-2

Chapter 2 - Conceptual Framework for Financial Reporting - Questions - Page 67: 6

Answer

Enhancing qualitative traits include comparability, verifiability, timeliness, and understandability.

Work Step by Step

Comparability facilitates comparison between information relating to two unique entities at a specific point in time. Consistency facilitates comparison between information about a similar entity at two unique points in time. Timeliness facilitates the availability of information before the decision is made while understand-ability facilitates easier understanding of historical financial information.
Update this answer!

You can help us out by revising, improving and updating this answer.

Update this answer

After you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.