If an investor can use accounting information for two different companies to evaluate the types and amounts of expenses, the information is said to have the quality of
A) Comparability
B) Consistency
C) Neutrality
D) Understandability

Question

Quizplus · Accepted Answer

Comparability refers to the ability to compare financial information between different periods or companies. In this case, the investor is able to use the accounting information from two different companies to evaluate expenses, indicating that the information has comparability.

If an Investor Can Use Accounting Information for Two Different