Question: 1. Discuss as many of the potential trade-offs among the qualities mentioned in SFAC No. 2 as you can and give either a general or a concrete example of each one.
2. Analyze three accounting standards promulgated by the FASB and show how economic consequences (rather than representational faithful-ness) influenced the shaping of the standard (your instructor may suggest particular standards for this case).
3. One of the prindpal problems of SFAC Na 2 is whether representational hithful ness should predominate over economic consequences or the reverse-relative-to-drafting-accounting standards-State-the rnse as carefully as you can for each of the two possibilities.