Which of the following is not an objective of financial reporting by state and local governments?
A) To assist users in assessing the adequacy of systems and controls.
B) To assist users in assessing financial condition and results of operations.
C) To assist financial report users in comparing actual financial results with the legally adopted budget.
D) To assist in determining compliance with finance-related laws, rules, and regulations.

Question

Quizplus · Accepted Answer

While assessing the adequacy of systems and controls is an important consideration for state and local governments, it is not necessarily an objective of financial reporting. The other options (B, C, and D) are all valid objectives of financial reporting by state and local governments.

Which of the Following Is Not an Objective of Financial