Accounting Objective Question:

Which statement accurately describes the concept of Substance Over Form in accounting standards and its emphasis on recording transactions?

A$)$ Substance Over Form focuses solely on the legal aspects of transactions, disregarding their economic implications.

B$)$ Substance Over Form prioritizes recording transactions based on their legal form rather than their economic substance.

C$)$ Substance Over Form ensures that transactions are recorded based on their economic substance, even if their legal form suggests otherwise.

D$)$ Substance Over Form allows for manipulation of financial statements by emphasizing the legal aspects of transactions over their economic implications.