Steve,the management accountant of a company,is not familiar with the concept of prudence in financial reporting.Which of the following IMA standards is Steve violating?
A)Confidentiality
B)Materiality
C)Disclosure
D)Competence

Question

Quizplus · Accepted Answer

Steve is violating the IMA standard of Competence, which requires management accountants to "maintain an appropriate level of professional expertise by continually developing knowledge and skills." Since Steve is unfamiliar with the concept of prudence, a fundamental principle of financial reporting, he has not maintained an appropriate level of professional expertise.

Steve,the Management Accountant of a Company,is Not Familiar with the Concept