Answer:
(a) The fundamental qualitative characteristics that make accounting information useful are relevance and verifiability.
⇒ FALSE
The fundamental characteristics are relevance and faithful representation.
(b) Relevant information only has predictive value, confirmatory value, or both.
⇒ FALSE
Relevant information must have predictive or feedback value.
(c) Information that is a faithful representation is characterized as having predictive or confirmatory value.
⇒ FALSE
Faithful representation is the one that represents exactly what happened, e.g. if the costs incurred were $1,000, then you must record $1,000, not $900 nor $1,200.
(d) Comparability pertains only to the reporting of information in a similar manner for different companies.
⇒ FALSE
Comparability means that the financial information must be comparable to the company's past performance or the performance of companies in the same industry.
(e) Verifiability is solely an enhancing characteristic for faithful representation.
⇒ FALSE
Verifiable information is information that can be obtained using different methods by different individuals, i.e. different accountants or auditors should be able to compute similar results using the same information.
(f) In preparing financial reports, it is assumed that users of the reports have reasonable knowledge of business and economic activities.
⇒ TRUE
