What is compromised when a firm changes from one accepted accounting method to another?
A)matching
B)objectivity
C)conservatism
D)consistency

Question

Quizplus · Accepted Answer

When a firm changes from one accepted accounting method to another, consistency is compromised. This is because consistency refers to the adoption and application of the same accounting principles and methods from one period to another. Changing accounting methods can result in differences in financial reporting from one period to another, which undermines the principle of consistency. However, objectivity, conservatism, and matching are not compromised by this change, as they are fundamental accounting principles that remain intact regardless of the accounting method used.

What Is Compromised When a Firm Changes from One Accepted