Which of the following principles states that a business's financial statements must report enough information for outsiders to make knowledgeable decisions about the company?

Question

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The disclosure principle states that a business's financial statements must report enough information for outsiders to make knowledgeable decisions about the company. This principle promotes transparency and ensures that investors and other stakeholders have access to relevant information about the company's financial position and performance. The other principles listed (accounting conservatism, materiality concept, consistency principle) are important principles in accounting, but they do not specifically address the need for disclosure in financial reporting.

Which of the Following Principles States That a Business's Financial