Which of the following is an argument for more flexible reporting periods?

Question

Quizplus · Accepted Answer

More flexible reporting periods would make it less attractive for entities to manipulate profits, as they would not be able to time their financial statements to coincide with periods of higher profits. This would improve the accuracy of financial reporting and make it more reliable for investors and stakeholders. The other options, including enhancing comparability or making dividend calculation easier, do not provide as strong of an argument for the need for more flexible reporting periods.

Which of the Following Is an Argument for More Flexible