Which of the following is not a limitation in performing financial statement analysis on a company that uses generally accepted accounting principles?
A) Variety of methods used by different companies.
B) Use of estimates by a company.
C) Use of assumptions by a company.
D) Use of technology by a company.

Question

Quizplus · Accepted Answer

The use of technology by a company does not affect the accuracy of financial statements prepared using generally accepted accounting principles. The other choices, such as variety of methods, use of estimates, and use of assumptions, can have an impact on financial statement analysis and interpretation.

Which of the Following Is Not a Limitation in Performing