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If Financial Information Is Relevant, This Means That

Question 208

Multiple Choice

If financial information is relevant, this means that


A) The information is prepared using the same accounting procedures from one accounting period to the next.
B) Decision makers can depend on it.
C) The financial statements have not been prepared according to GAAP.
D) Users are able to compare different companies, if all the companies use similar accounting practices.
E) It can affect the types of decisions made by users.

Correct Answer:

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