Practice prompt · Q:multi-period-statement-analysis-and-operating-efficiency/comparative-alignment-001

Diagnose a broken comparative-statement join

Tests whether the learner treats adjacent columns as evidence requiring entity, period, unit, basis, version, and continuity controls.

Updated Sep 10, 2026 Review due Nov 7, 2026

Practice

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A Year 3 worksheet opens Accounts Receivable at $43,000, while the approved comparable Year 2 statement ends at $42,000. Both complete balance sheets still satisfy assets = liabilities + equity. Which response preserves the comparison contract?

Choose the best answer. A Use $43,000 because a balanced equation proves the newer column is correct B Replace $43,000 with $42,000 so turnover will tie C Locate a supported restatement, reclassification, scope, currency, or transcription bridge; otherwise stop the receivable comparison D Average $42,000 and $43,000 and use $42,500 as the opening balance

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Answer: C

Choice C. Comparative analysis requires a supported bridge for the line-level mismatch. A balanced statement is a separate control and does not prove period continuity or classification.