Financial Statements and Relevance in Decision Making

Conclusive Value

Descriptive Value

Predictive Value (correct)

Historical Value

Material information makes all other information relevant

Materiality has no impact on the relevance of information

Only material information is relevant

Material information influences the economic decisions of users (correct)

For predictive value and confirmatory value (correct)

To ensure historical accuracy

To provide more data for analysis

For ensuring data completeness