Which is the correct order for preparers of financial reports in applying various aspects of GAAP?
A) conceptual framework, accounting standards, concepts and principles
B) accounting standards, concepts and principles, conceptual framework
C) accounting standards, conceptual framework, concepts and principles
D) there is no particular order

Question

Quizplus · Accepted Answer

It is important to follow the order in applying various aspects of GAAP. Accounting standards and interpretations must be followed first because they have legislative backing.

Which Is the Correct Order for Preparers of Financial Reports