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Financial information should be understandable by the average adult even for those with no background in...

Financial information should be understandable by the average adult even for those with no background in accounting.

true or false

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Answer #1

Ans:

True; Financial Information must be prepared in such a manner that it is understandable by everyone who reads it.

Financial informations must be complete, clear, concise and organised in a tactfulful manner. These are the essential characterstics of financial statements so that a user or investor without accounting background can easily understand about the Financial position of the company.

So correct answer is True.

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