In following the application of the qualitative characteristics, which characteristic would be immediately applied after the relevance characteristic?
A) faithful representation
B) comparability
C) timeliness
D) understandability

Question

Quizplus · Accepted Answer

Faithful representation is the qualitative characteristic that should be applied immediately after relevance, according to the conceptual framework for financial reporting. This is because once information is determined to be relevant, it must then be represented faithfully (accurately and completely) to be useful to the users of financial statements.

In Following the Application of the Qualitative Characteristics, Which Characteristic