The comparability principle applies both to comparing businesses to one another and to comparing different periods for the same business.

Name: The comparability principle applies both to comparing businesses to one another and to comparing different periods for the same business.
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Question

Quizplus · Accepted Answer

The comparability principle in accounting ensures that financial statements are consistent and comparable across different businesses and time periods, allowing stakeholders to make informed decisions.

The Comparability Principle Applies Both to Comparing Businesses to One