Which of the following statements concerning the costs and benefits of financial reporting information is correct?
A) The benefits include better investment, credit and similar economic decisions.
B) The benefits result in more efficient markets and greater benefits for the economy as a whole.
C) The major constraint on reporting the absolute best information is the cost of generating that information and assuring that it is faithfully represented.
D) All of these options are correct.

Question

Quizplus · Accepted Answer

All of the options are correct. Financial reporting information benefits investors, creditors, and other stakeholders in making better economic decisions. This, in turn, leads to more efficient markets and greater benefits for the overall economy. However, reporting the absolute best information is often constrained by the costs of generating and ensuring the faithful representation of that information.

Which of the Following Statements Concerning the Costs and Benefits