statement of financial accounting concepts no 5 identifies four characteristics that 643655

1. Three expense recognition methods (associating cause and effect, systematic and rational allocation, and immediate recognition) were discussed in the text under the expense recognition principle. Indicate the basic nature of each of these expense recognition methods and give two examples of each.

2. Statement of Financial Accounting Concepts No. 5 identifies four characteristics that an item must have before it is recognized in the financial statements. What are these four characteristics?

3. Briefly describe the types of information concerning financial position, income, and cash flows that might be provided: (a) within the main body of the financial statements,

(b) in the notes to the financial statements, or (c) as supplementary information.