Please show all your work in the questions below with detail justifications. ptk Short Answer (20 points) Presented below is a statement regarding the formulation of generally accepted (a) accounting principles. The statement contains some incorrect or debatable statement(s). Evaluate the statements and identify the areas of fallacious reasoning. Explain why the reasoning is incorrect clearly. (5 points) Statement The users of financial accounting statements have coinciding and conflicting needs for statements of various types. To meet these needs, and to satisfy the financial reporting responsibility of management, accountants prepare different sets of financial statements for creditors and investors. 1Forw a R (b) For each of the following pairs of information characteristics, give an example of a situation in which one of the characteristics may be sacrificed in return for a gain in the other, explain your logic clearly to receive points. (15 points) (1) Relevance and faithful representation. (3) Comparability and consistency. (2) Relevance and consistency. sn(4) Relevance and understandability. 20