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Which of the given is least useful as a basis for comparison

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Question: 1. Which of the following is least useful as a basis for comparison when analyzing ratios?

(a) Company results from a different economic setting.

(b) Standards from past experience.

(c) Rule-of-thumb standards.

(d) Industry averages.

2. What are four possible standards of comparison used to analyze financial statement ratios? Which of these is generally considered to be the most useful? Which one is least likely to provide a good basis for comparison?

Reference no: EM131535918

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