ADMS 3585 Chapter 2 Study Sheet.docx

ADMS 3585 Chapter 2 Study Sheet.docx - ADMS 3585 Chapter 2...

Info icon This preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
ADMS 3585 Chapter 2 Study Sheet Conceptual Framework: o The framework is like a constitution; it is a “coherent system of interrelated objectives” o Aids in creation of standards for the accounting profession o Increases financial statement users’ understanding of and confidence in financial reporting o Enhances comparability of financial statements of different companies o The framework is the foundation for building a set of accounting concepts and objectives o The framework is a reference of basic accounting theory for solving new and emerging practical problems of reporting Trade-Offs o It is not always possible to have all fundamental and enhancing qualitative characteristics o Trade-offs happen when one qualitative characteristics is sacrificed for another Cost versus Benefits o Benefits of using the information should outweigh the costs of providing that information Conceptual Framework for Financial Reporting :
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
Image of page 3

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Fair Value Principle : o
Image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern