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​________ helps investors compare a​ company's financial statements from one period to the next.

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User Kerr
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1 Answer

1 vote

Answer:

The correct answer is: Consistency Principle.

Step-by-step explanation:

The Consistency Principle (General Accepted Accounting Principle - GAAP) states that the same accounting techniques and practices should be used by a company from one period to the other. All adjustments must be documented when changes are made to accounting methods. This information is needed by shareholders and lenders to make optimal decisions about the future of the organization.

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User NadtheVlad
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