Discussions 1-Module 3: Answer the following question (About 150 words) Discuss the qualitative characteristics of accounting information as defined by the IASB's Framework for the Preparation of...

Solution 1
The main responsibility of the IASB is to develop and issue international Financial Reporting Standards which will help the auditor to form an opinion on financial statement that whether they are prepared to meet the international standards and it enables the users to understand the financial statement prepared in accordance with the international standard (Schroeder, Myrtle, & Cathey, 2017). There are two fundamental qualities of the accounting information which makes it suitable for the decision making such as relevance and faithful representation.
a) Relevance- The accounting information must be relevant i.e. the accounting information is relevant only in the condition when it has the capability to make difference in the decision making. Alternatively it can be said that information that has no effect on decision is irrelevant.
b) Faithful representation- Faithful representation is very much needed as many users do not have time and knowledge to check the fact stated in the information provided. Thus when information is complete, accurate, neutral and free from any material error then there exists a...