ACCA Applied Knowledge · Management Accounting · Accounting for management
A manager receives a monthly report that is accurate and complete but arrives six weeks after the month end, by which time corrective action is no longer possible. Which quality of good information is MOST clearly lacking?
Timeliness is lacking. The report is accurate and complete, but it arrives six weeks after month end, too late for the manager to take corrective action. Good information must be available when decisions are made to be useful.
- AAccuracy
- BCompleteness
- CTimelinessCorrect
- DUnderstandability
Explanation
The report is stated to be accurate and complete, so those qualities are present. Information that arrives too late to influence decisions lacks timeliness. Understandability is not mentioned as a problem.
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