Two primary qualitative characteristics of financial statements are
Relevance means that the information presented in the financial statements is useful and pertinent to the users' decision-making needs. It should have predictive value, confirmatory value, or both. Reliability means that the information in the financial statements is accurate and trustworthy. It is free from errors, bias, or misrepresentation, and is verifiable through independent sources.
Relationship between different elements is shown in the statements. Find if the conclusions also follow or not.
Statements: J ≥ Q = W ≥ D <...
Statements: L $ W, W * H, H # T, P % T
Conclusions: Â Â Â Â Â I. T @ L Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â II. H % LÂ Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â...
Statements: P ≥ Q, R > S, R ≥ Q, T = P < U
Conclusion:
I. R > P
II. U > Q
Statements : I @ L © R * A $ MÂ
Conclusions :Â
I. R * MÂ
II. A % LÂ
III. A % I
Statements: X ≥ W, W ≤ U, U > T, T < S
Conclusions: I) X > U
II) S > U
III) T < W
Statements: D = P > Q = X ≤ Y = M; J = X; K > Q
Conclusion: I. M > K II. M ≤ K
Statements: L > M > Z ≥ S < R = O < N
ConclusionÂ
I. N ≥ L                Â
II. L > S
...Statements: L < E; M = O; E >K ≥ M
Conclusions:
I. L < M
II. K = O
Statements:
P ≥ Q = R; S = T ≤ U ≥ P
Conclusion:
I. R < S
II. T ≤ Q
Statement: E < F ≤ G = H, I ≥ G ≤ J ≤ K
Conclusion: I. K > EÂ Â Â Â Â Â Â Â Â II. H > K