understandability


understandability
The accounting principle that the financial information provided by a company should be such that its significance is capable of being perceived by a person with a reasonable knowledge of business and accounting and a willingness to study it with reasonable diligence. The information should not leave out anything material, but should not be so comprehensive that the main points of significance are obscured. The concept is defined in the Accounting Standards Board's Statement of Principles and in Financial Reporting Standard 18, Accounting Policies.

Big dictionary of business and management. 2014.

Look at other dictionaries:

  • understandability — index coherence Burton s Legal Thesaurus. William C. Burton. 2006 …   Law dictionary

  • understandability — The comprehension of a matter. Understandability is central to auditing in two senses: (i) An auditor is unable to perform satisfactory auditing duties in relation to an organization, activity, or asset if it is beyond his or her comprehension;… …   Auditor's dictionary

  • understandability — noun see understand …   New Collegiate Dictionary

  • understandability — See understandable. * * * …   Universalium

  • understandability — noun The property of being understandable …   Wiktionary

  • understandability — n. quality of being comprehendible; condition of being understandable …   English contemporary dictionary

  • understandability — The accounting principle that the financial information provided by a company should be such that its significance is capable of being perceived by a person with a reasonable knowledge of business and accounting and a willingness to study it with …   Accounting dictionary

  • understandability — un·der·stand·abil·i·ty …   English syllables

  • understandability — noun the quality of comprehensible language or thought • Syn: ↑comprehensibility • Ant: ↑incomprehensibility (for: ↑comprehensibility) • Derivationally related forms: ↑understandable, ↑ …   Useful english dictionary

  • understandable — understandability, n. understandably, adv. /un deuhr stan deuh beuhl/, adj. capable of being understood; comprehensible. [1350 1400; ME: orig., capable of understanding; see UNDERSTAND, ABLE] * * * …   Universalium


Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.