Which characteristic is NOT associated with good information?

Prepare for the AAT Internal Accounting Systems and Controls Level 4 Exam. Study with multiple choice questions and detailed explanations to boost your success. Get exam-ready!

Good information is essential for effective decision-making within any organization. Characteristics that define good information include accuracy, timeliness, and relevance.

Accuracy ensures that the information is correct and free from errors, which is crucial for maintaining trust in the data used for making decisions. Timeliness refers to providing information at the right moment, ensuring that it is still useful and actionable. Relevance means that the information must be pertinent to the decision at hand, helping to inform the specific context in which it is used.

In contrast, the notion that information must be costly is not aligned with these principles. While organizations may invest resources in acquiring quality information, the characteristic of being costly does not inherently contribute to the effectiveness or utility of that information. In fact, good information should be seen as valuable and ideally not prohibitively expensive, as organizations seek to balance costs against the advantages of having up-to-date, accurate, and relevant data. Therefore, "costly" does not describe a necessary attribute of good information.

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