The overriding qualitative characteristic of useful financial statements is Select answer from the options below 1.consistency. 2.accuracy. 3.verifiability. 4.relevance.

Which of the following pars of items are the two fundamental qualitative characteristics of a useful financial information?     a. Relevance and prudence     b. Relevance and faithful representation     c. Faithful representation and materiality     d. Faithful representation and comparability

Conceptually, interim financial statements can be described as emphasizing which of the following? I. Timeliness II. Relevance III. Verifiability

Critically explain each one of the following financial terms:i. Asymmetric informationii. Moral hazardiii. Adverse selectionGive examples in each case to illustrate your answer.

Three common tools of financial analysis are: Multiple Choice O Financial reporting, sensitivity analysis, transactional analysis. Fair presentation, variance analysis, financial reporting. Horizontal analysis, vertical analysis, ratio analysis. Liquidation analysis, political analysis, fair value analysis. Relativity analysis, financial reporting, fair value analysis.

In developing relationships among balance sheet accounts when reviewing the financial statements of anentity, what type of analytical procedure would an auditor most likely use? Select one:   a. Ratio analysis. b. Trend analysis. c. Risk analysis. d. Regression analysis.

What are the top two most important rations when analyzing the financial statements and why?

Give any two limitations of the analysis of financial statements.

Prospect theory is also referred to as? a. Overconfidence b, Loss aversion c. Mental accounting d. Narrow framing

What is typically included in testing for the balance sheet? A. All of these are typically included in testing for the balance sheet. B. Existence  C. Rights and Obligations  D. Valuation and validi