Which of the following statements is not true?
A)Comparability means using different accounting principles from year to year within a company.
B)Faithful representation means information must be neutral, complete, and free from error.
C)Relevant accounting information must be capable of making a difference in a user's decision.
D)For accounting information to be relevant, it must have timeliness.

Question

Quizplus · Accepted Answer

Comparability in accounting refers to the ability to use financial information to compare the financial performance of a company over time or with other companies. It does not mean using different accounting principles from year to year within a company; rather, it emphasizes consistency in applying the same accounting principles over time to ensure that financial information is comparable.

Which of the Following Statements Is Not True