The consistency principle helps ensure that financial statements are comparable across periods.

Name: The consistency principle helps ensure that financial statements are comparable across periods.
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Question

Quizplus · Accepted Answer

The consistency principle requires that once accounting methods and principles are selected, they should be consistently applied across different periods to ensure comparability of financial statements. This enhances the usefulness of financial statements in making informed business decisions.

The Consistency Principle Helps Ensure That Financial Statements Are Comparable