All of the following issues represent problems encountered when comparing the financial statements of two separate entities except the issue of the companies:
A) being conglomerates with unrelated lines of business.
B) having geographically varying operations.
C) using differing accounting methods.
D) differing seasonal peaks.
E) having the same fiscal year.

Question

Quizplus · Accepted Answer

Companies having the same fiscal year would not be a problem when comparing their financial statements. The other issues, such as being conglomerates with unrelated lines of business, having geographically varying operations, using differing accounting methods, and differing seasonal peaks, can all affect the comparability of financial statements.

All of the Following Issues Represent Problems Encountered When Comparing