Which of the following statements is not true regarding the Trueblood Committee Report?
A)It emphasizes the importance of cash flows to users.
B)It emphasizes the relation of earning-power measurements to the generation of future cash flows.
C)Its earning-power orientation to income is grounded in the notion that in computing economic income, future cash flows should not be discounted to present value.
D)Its objectives represented an important step taken toward establishing a meaningful conceptual framework of objectives.

Question

Quizplus · Accepted Answer

This statement is not true as the Trueblood Committee Report emphasizes that future cash flows should be discounted to present value in computing economic income. This is based on the time value of money concept. The other statements are true regarding the report's emphasis on cash flows and earning-power measurements, as well as its importance in establishing a conceptual framework of objectives.

Which of the Following Statements Is Not True Regarding the Trueblood