Underlying theory exists to pinpoint exact benchmarks

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Ratio analysis cannot be taken at face value for all of the following except which reason? No underlying theory exists to pinpoint exact benchmarks. While GAAP is consistent across the globe, multiple currencies may be considered. Large conglomerates can cross more than one industry type. Different standards and procedures can exist from country to country. Benchmarks can vary based on industry and company size.

Reference no: EM133839309

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