GAAP provides rules for entities to follow when preparing financial statements which assist external users with:
A) Analysing owner's personal transactions.
B) Interpreting bank statements.
C) Making comparisons between an entity's budgeted and actual results.
D) Making comparisons between the financial information of different entities.

Question

Quizplus · Accepted Answer

option D is the only option involving both accounting information prepared using GAAP and an external user of financial statements

GAAP Provides Rules for Entities to Follow When Preparing Financial