Question

Two important requirements of an accounting report are:

• A. Language processing and utility
• B. Storage and presentation
• C. System analysis and operations
• D. Timeliness and relevance

Hint:

Accounting reports are only useful when they are both timely (not outdated) and relevant (not irrelevant or overly detailed).

Answer 1

The Correct Option is D

For accounting reports to be useful to stakeholders and decision-makers, they must fulfill two essential criteria:
- Timeliness: Information must be available at the right time to support decisions.
- Relevance: Information must be meaningful and related to the decision being made.
Without timely and relevant data, the purpose of accounting reports is defeated.