The consistency concept allows a company to use different accounting methods from period to period in order to maximize profits.

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The consistency concept, also known as the consistency principle, requires a company to use the same accounting methods and procedures from period to period to ensure consistency and comparability of financial statements. It aims to avoid misleading changes in reported results due to changes in accounting methods. Therefore, a company cannot use different accounting methods from period to period to maximize profits.

The Consistency Concept Allows a Company to Use Different Accounting