Week 1 The fundamental qualitative characteristics that financial information must possess to be useful to the primary users of general purpose financial reports—identified in the Conceptual Framework are ‘relevance’ and ‘faithful representation’. Required: a) Provide one example where information is relevant but not faithfully represented. (3 marks, maximum 100 words) b) Provide one example where information is not relevant but is faithfully represented. (3 marks, maximum 100 words) c) Provide one example where information is relevant and faithfully represented. (4 marks, maximum 150 words) Week 2 a) What is a social contract and how does it relate to organisational legitimacy? (6 marks, maximum 300 words) b) Explain two ways organisations can use corporate disclosure policy to maintain or regain organisational legitimacy? (4 marks, maximum 200 words)
The fundamental qualitative characteristics that financial information must possess to be useful… 1 answer below »
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