Which of the following is a constraint in providing useful financial reporting information to decision-makers?

Question

Quizplus · Accepted Answer

Cost-benefit is a constraint in providing useful financial reporting information because the cost of gathering and disseminating financial information must be weighed against the benefits it will provide to decision-makers. If the cost outweighs the benefits, then the information may not be provided or may not be as comprehensive as it could be. Comparability, timeliness, and understandability are all characteristics that financial reporting information should have, not constraints.

Which of the Following Is a Constraint in Providing Useful