Qualitative characteristics of useful financial information

Financial reporting - International Financial Reporting Standards (IFRS) - Conceptual Framework for Financial Reporting (Conceptual framework) - International Accounting Standards Board (IASB).

The financial reporting conceptual framework identifies the fundamental qualitative characteristics of useful financial information as:

• Relevance, and

• Faithful representation.

The conceptual framework goes on to identify the following further characteristics as enhancing the usefulness of relevant and faithfully represented financial information:

• Comparability
• Verifiability
• Timeliness, and
• Understandability.

See also

• Accounting concepts
• Comparability
• Conceptual framework
• Faithful representation
• Financial reporting
• International Accounting Standards
• International Accounting Standards Board (IASB)
• International Financial Reporting Standards (IFRS)
• Neutrality
• Prudence
• Qualitative techniques
• Relevance
• Stewardship
• Substance over form
• Timeliness
• True and fair view
• Understandability
• Useful financial information
• Verifiability

Other resources

• Conceptual framework for financial reporting - IAS Plus
• IFRS Conceptual Framework 2018