A conceptual framework consists of a set of principles with the purpose to:
A) assist users in the interpretation of information in financial statements.
B) assist preparers of financial statements in the application of accounting standards and in dealing with topics that are not the subject of existing accounting standards.
C) assist standard setters to develop accounting standards.
D) all of the options are correct.

Question

Quizplus · Accepted Answer

A conceptual framework serves all of these purposes, including assisting users in interpreting financial statements, assisting preparers in applying accounting standards and dealing with topics not covered by accounting standards, and guiding standard setters in developing accounting standards.

A Conceptual Framework Consists of a Set of Principles with the Purpose