Kent Company has used the same inventory method for many years.This is an example of which principle?
A)Matching
B)Realization
C)Cost
D)Consistency

Question

Quizplus · Accepted Answer

The principle being exemplified here is consistency, which requires that a business maintains consistent accounting methods from one period to the next. The fact that Kent Company has been using the same inventory method for many years indicates that it has been adhering to this principle.

Kent Company Has Used the Same Inventory Method for Many