The correct answer is A. AS cannot override the statute.
Accounting standards are a set of rules that companies must follow when preparing their financial statements. They are designed to ensure that financial statements are accurate, reliable, and comparable. Accounting standards are developed by professional accounting bodies, such as the Financial Accounting Standards Board (FASB) in the United States.
There are many benefits to having accounting standards. First, they help to ensure that financial statements are accurate and reliable. This is important for investors, creditors, and other users of financial statements, as it allows them to make informed decisions about companies. Second, accounting standards help to reduce confusing variations in the accounting treatments used to prepare financial statements. This makes it easier for users of financial statements to compare the financial performance of different companies. Third, accounting standards may call for disclosure beyond that required by law. This can provide users of financial statements with more information about a company’s financial performance and position.
However, accounting standards cannot override the statute. This means that if there is a conflict between an accounting standard and a law, the law will take precedence. This is because laws are enacted by governments, while accounting standards are developed by professional accounting bodies. Governments have the authority to override accounting standards, if they believe that it is necessary to do so.
In conclusion, the correct answer to the question “All the following are benefits of Accounting Standards except” is A. AS cannot override the statute.