Performance of a business entity  LO5 A financial analyst said: I advise my clients to invest for the long term. Buy good shares and hang onto them. Therefore, I am interested in a company’s long‐term earning power. Accounting standards that result in earnings volatility obscure long‐term earning power. Accounting should report earning power by deferring and amortising costs and revenues. Is this analyst’s view consistent with the fundamental characteristics of financial information established in the conceptual framework?