Assertion: Financial statements reflect a combination of recorded facts, accounting principles and personal judgements”.
Reason: Personal opinion, judgements and estimates are made while preparing the financial statements to avoid any possibility of over statement of assets and liabilities, income and expenditure, keeping in mind the convention of conservatism
a) Both A and R are correct
b) A is correct, but R is wrong
c) A is wrong, but R is correct
d) Both A and R are wrong
