Question 1: NZ FRAMEWORK
Characteristic 1: Relevance
Good accounting information should be relevant. Information is considered relevant when it can influence the decision of the users of accounting information (Norton & Porter, 2011). This implies that the inclusion of the information should make a difference in the decision of users. Information can only be relevant if it is timely, has a predictive and feedback values.
Characteristic 2: Reliability:
Information should be free from bias and material errors in order to be depended upon by the users as faithfully representing the intended purpose (Needles & Powers, 2013).
Characteristic 3: Understandability:
Accounting information should be presented in a manner that it Continue reading...