Which of the following is not a change in reporting entity?
A) Reporting using comparative financial statements for the first time.
B) Changing the companies that comprise a consolidated group.
C) Presenting consolidated financial statements for the first time.
D) All are changes in reporting entity.

Question

Quizplus · Accepted Answer

Reporting using comparative financial statements for the first time is not a change in reporting entity. It is simply a change in the presentation of financial statements. Changing the companies that comprise a consolidated group and presenting consolidated financial statements for the first time are both examples of changes in reporting entity.

Which of the Following Is Not a Change in Reporting