Accounting measurements are enhanced by the presence of the qualities of relevance (predictive and confirmatory value), comparability, verifiability, timeliness, and faithful representation. For each of the following, indicate the quality demonstrated:

1. Comparability

2. Faithful representation

3. Freedom from bias

4. Relevance, specifically confirmatory value

5. Relevance, specifically predictive value

6. Relevance, specifically predictive value/Faithful representation

7. Timeliness

8. Verifiability

9. Verifiability/Faithful representation

Accounting measurements are enhanced by the presence of the qualities of relevance (predictive and confirmatory value), comparability, verifiability, timeliness, and faithful representation. For each of the following, indicate the quality demonstrated: Comparability Faithful representation 1. The value assigned to equipment is checked by referring to the original invoice. Predictions concerning this year's income, issued 12 months ago, are compared with the 2. actual results to assess the accuracy of the prediction. 3. Past trends are used to forecast this year's sales. 4. An outside expert is retained to assess the value of the recorded amounts for tangible and intangible capital assets. Adjustments are made to financial statements that both increase and decrease net income 5. despite the manager's preference to report lower net income. Financial statements are issued four weeks after the year-end, even though this requires the 6. use of estimates for some elements. Preferred shares that have to be repaid on a given date are classified as a liability despite their 7. legal status as equity. 8. The company releases estimates of operating results for the coming year, based on its budgets. 9. Cash received in advance of work done is recorded as a liability, unearned revenue. Freedom from bias Relevance, specifically confirmatory value 10. Lawyers provide an estimate of the company's potential liability for product defects. Accounting measurements are enhanced by the presence of the qualities of relevance (predictive and confirmatory value), comparability, verifiability, timeliness, and faithful representation. For each of the following, indicate the quality demonstrated: Relevance, specifically predictive value Relevance, specifically predictive value/Faithful representation Timeliness 1. The value assigned to equipment is checked by referring to the original invoice. 2. Predictions concerning this year's income, issued 12 months ago, are compared with the actual results to assess the accuracy of the prediction. 3. Past trends are used to forecast this year's sales. 4. An outside expert is retained to assess the value of the recorded amounts for tangible and intangible capital assets. Adjustments are made to financial statements that both increase and decrease net income 5. despite the manager's preference to report lower net income. Financial statements are issued four weeks after the year-end, even though this requires the 6. use of estimates for some elements. 7. Preferred shares that have to be repaid on a given date are classified as a liability despite their legal status as equity. The company releases estimates of operating results for the coming year, based on its 8. budgets. 9. Cash received in advance of work done is recorded as a liability, unearned revenue. Verifiability Verifiability/Faithful representation 10. Lawyers provide an estimate of the company's potential liability for product defects