On March 15, MVX Corporation announced that it had changed its fiscal year-end from June 30 to May 31. As a result of this change, the corporation's current fiscal year is comprised of an eleven-month period. The corporation issued a press release that stated "management believes the May 31 year-end is shared by more of its peers in the industry, allowing for more meaningful analysis and comparisons within the sector." To which of the four characteristics of useful information is management referring?
A) Relevance.
B) Reliability.
C) Consistency.
D) Comparability.

Question

Quizplus · Accepted Answer

Management is referring to the characteristic of comparability, as they believe that aligning their fiscal year with more of their peers in the industry will allow for more meaningful analysis and comparisons within the sector.

On March 15, MVX Corporation Announced That It Had Changed