墨尔本 11年级的ACCOUNTING

Relevance: Information is revelant when it influences the economic decisions of users by helping them evaluate events or to confirm or correct their evaluations of the situation. Users should be able to both predict and confirm. The relevance of information is also affected by its nature and materiality. Information is material if its omission or misstatement could influence the decisions of users. Materiality is dependent upon the size or nature of the item. AASB1031 defines materiality and explains its importance in making decisions about the preparation and presentation of financial reports.

RELIABILITY: information is reliable when it is free from material error and bias and can be depended upon by users to represent items faithfully. To be reliable, information must faithfully represent the transactions or events it purports to represent. Inherent difficulties can result in a less than faithful representation. Information must also be presented in accordance with it