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 consistent with 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?

Question

Quizplus · Accepted Answer

Management of MVX Corporation is referring to the characteristic of comparability, as changing the fiscal year-end to be consistent with its peers will allow for more meaningful analysis and comparisons within the sector. Comparability makes it easier for users to identify similarities and differences between different companies and make informed decisions based on that analysis.

On March 15,MVX Corporation Announced That It Had Changed Its