The content and format of accounting information for external reporting are regulated by internal policies and procedures, while the content and format of accounting information for internal reporting are determined by accounting rule-making bodies.

Question

Quizplus · Accepted Answer

The statement is incorrect. The content and format of accounting information for external reporting are regulated by accounting rule-making bodies such as the Financial Accounting Standards Board (FASB) or the International Accounting Standards Board (IASB), while the content and format of accounting information for internal reporting are determined by internal policies and procedures within the organization.

The Content and Format of Accounting Information for External Reporting