In the conceptual framework for financial reporting, what provides "the why"--the purpose of accounting?
A) Recognition, measurement, and disclosure concepts such as assumptions, principles, and constraints
B) Qualitative characteristics of accounting information
C) Elements of financial statements
D) Objective of financial reporting

Question

Quizplus · Accepted Answer

The objective of financial reporting provides "the why"--the purpose of accounting. The recognition, measurement, and disclosure concepts (A), qualitative characteristics (B), and elements (C) provide guidance for how financial reporting should be conducted in order to meet the overall objective of providing useful information to users.

In the Conceptual Framework for Financial Reporting, What Provides "The