What are qualitative characteristics of accounting?
Category:
business and finance
business administration
qualitative characteristics definition. In accounting the qualitative characteristics include relevance, reliability, comparability, and consistency. Qualitative characteristics are discussed in the Financial Accounting Standards Board's Statement of Financial Accounting Concepts No. 2.
Also, what are the characteristics of accounting?
Some important accounting characteristics include relevance, reliability, materiality and consistency.
- Generally Accepted Accounting Principles.
- Relevance.
- Reliability.
- Consistency.
- Materiality.
Keeping this in consideration, what are the four main qualitative characteristics of financial statements?
characteristics are the attributes that make the information provided in financial reports useful to users. As figure 1 shows, the four principal qualitative characteristics are understandability, relevance, reliability and comparability (IASB, 2006).
5 principles of accounting are;
- Revenue Recognition Principle,
- Historical Cost Principle,
- Matching Principle,
- Full Disclosure Principle, and.
- Objectivity Principle.