The principle of consistency means that:
A)the accounting methods used by an entity never change.
B)the same accounting methods are used by all firms in an industry.
C)the effect of any change in an accounting method will be disclosed in the financial statements or notes thereto.
D)there are no alternative methods of accounting for the same transaction.

Question

Quizplus · Accepted Answer

The principle of consistency requires that any changes in accounting methods be disclosed in the financial statements or notes, ensuring transparency and comparability over time.

The Principle of Consistency Means That