Identify each of the following statements as either an objective (O) of financial information or as a qualitative (Q) characteristic of accounting information:

1. Information about business resources, claims to those resources, and changes in them should be provided.

2. Decision makers must be able to interpret accounting information.

3. Information that is useful in making investment and credit decisions should be furnished.

4. Accounting information must be relevant and reliable.

5. Information useful in assessing cash flow prospects should be provided.

Accounting Conventions