It Is Easier to Evaluate a Firm Using Financial Statements

Multiple Choice

It is easier to evaluate a firm using financial statements when the firm:

A) is a conglomerate.
B) has recently merged with its largest competitor.
C) uses the same accounting procedures as other firms in the industry.
D) has a different fiscal year than other firms in the industry.
E) tends to have many one-time events such as asset sales and property acquisitions.