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Exam AHM-520 topic 1 question 98 discussion

Actual exam question from AHIP's AHM-520
Question #: 98
Topic #: 1
[All AHM-520 Questions]

For this question, select the answer choice containing the terms that correctly complete blanks A and B in the paragraph below. The FASB mandates that accounting information must exhibit certain qualitative characteristics. One of these characteristics is ________A________, which means that a company's financial statements use the same accounting policies and procedures from one accounting period to the next, unless there is a sound reason for changing a policy or procedure. Another characteristic is _________B________, which requires a company to disclose in its financial statements all significant financial information about the company.

  • A. A = reliability -
    B = comparability
  • B. A = reliability -
    B = materiality
  • C. A = consistency -
    B = comparability
  • D. A = consistency -
    B = materiality
Show Suggested Answer Hide Answer
Suggested Answer: D 🗳️

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