1.Decision usefulness is not

the supra-goal of accounting

intended to help people make optima decisions

the primary objective of accounting

None of the other alternatives are correct

the driving force behind every accounting decision

2.On issues where no standard exists accountants turn to additional sources such as

None of the other alternatives are correct

the Comparability Acts

Security Companies Statements

Fiction books

Standards from other countries

3.Accountants have earned high marks for trustworthiness because they are perceived to be reliable, objective and competent. If accountants were to be paid audit fees as a percentage of net income, the public might change their perception of accountants. This reflects the following concept:

competence

reliability

The three concepts together

None of the other alternatives are correct

objectivity

4.Which of the following is not a desirable attribute of financial statements

understandability

None of the other alternatives are correct

processability

timeliness

completeness

5.The qualitative characteristic that best refers to the confidence that financial statement users have that the statements are free of material error or misrepresentation is

objectivity

relevance

None of the other alternatives are correct

reliability

understandability