Which statement best explains the meaning of "measurement" in financial reporting?
A)Determining where items should be presented in the body of the financial statements.
B)Presenting an item in the financial statements but not in the notes.
C)Quantifying items so that they can be presented in the body of the financial statements.
D)Presenting expenses in the same accounting period as the related revenues.

Question

Quizplus · Accepted Answer

Measurement in financial reporting refers to quantifying items, such as assets, liabilities, revenues, and expenses, so that they can be presented in the body of the financial statements. This involves using a recognized basis of measurement, such as fair value, historical cost, or net realizable value, to determine the monetary amounts to be reported.

Which Statement Best Explains the Meaning of "Measurement" in Financial