The two fundamental qualities that make accounting information useful for decision making are

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Relevance means that the accounting information is capable of influencing the economic decisions of users by helping them evaluate past, present, and future events, and by confirming or correcting prior expectations. Faithful representation means that the accounting information is complete, neutral, and free from error. Together, relevance and faithful representation make accounting information useful for decision making.

The Two Fundamental Qualities That Make Accounting Information Useful for Decision