QUESTION 7 Choose from the following word bank the answer that best describes the statement below: A. Comparability E. Understandability B. Conservatism F. Materiality C. Consistency G. Relevance D. Faithful Representation H. Historical Cost The ability of a company to compare and analyze financial statements from one month to the next. A. Comparability B. Conservatism C. Consistency D. Materiality E. Relevance QUESTION 8 Choose from the following word bank the answer that best describes the statement below: A. Comparability E. Understandability B. Conservatism F. Materiality C. Consistency G. Relevance D. Faithful Representation H. Historical Cost The concept that an error made below a certain monetary threshold would not be corrected in the preparation of the company's financial statements. A. Conservatism B. Materiality C. Relevance D. Faithful Representation E. Understandability