For accounting information to be relevant,it must have which of the following characteristics?

Question

Quizplus · Accepted Answer

Relevant accounting information must have either predictive value or confirmatory value, which means it must help users make predictions about future events or confirm or correct previously held expectations. This characteristic ensures that the information is useful for decision-making. The other options, such as large in amount and timely or freedom from material error, neutrality, or completeness, are important for reliability but not necessarily relevance. Comparability and consistency are also important for making information more useful, but they are not sufficient on their own to make information relevant.

For Accounting Information to Be Relevant,it Must Have Which of the Following