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(Australian Accounting Research Foundation 1990; International Accounting Standards Board 2006). Relevant information can provide useful explanation for economic phenomena, and that in turn influences the decisions that are made (Financial Accounting Standards Board 2006; International Accounting Standard Board 2006). It takes into account both the nature and magnitude of financial information, as both are capable of influencing financial decision making (Australian Accounting Research Foundation 1990).
Relevant information possesses predictive value as well as confirmatory value to users. Retrospectively, it should allow users to look at past information and evaluate or correct their decisions...
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