The following are the qualitative characteristic of accounting information.
1. Reliability: Accounting information will be reliable if it is free from error and faithfully represents what it seeks to represent.
2. Relevance: Information should be relevant and must be available in. time.
3. Understandability: Accounting information that is relevant must be capable of being understood by all its users.
4. Timeliness: Information must be available timely. If not, it loses its ability to influence decision.
5. Comparability: Accounting information should facilitate inter-firm comparison as well as interfirm comparison.
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