Page 12 - Finac1 Test 1 slides - 2. The Conceptual Framwork
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THE CONCEPTUAL FRAMEWORK




            Elements of the financial statements








            Fundamental Characteristics:




            2. Faithful representation



                    • Reflects economic phenomena in words and numbers


                           • Similar to substance over form?





                    • Complete, neutral and free from error


                           • Does not preclude estimates being made


                           • Use best available information and best processes










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