(c)
To maintain the comparability of financial statement of the same company between different financial years
To prevent companies from manipulating the operating performance and financial position by changing the accounting estimates without any justifiable reasons, such as change in operating conditions.
(d)
No effect.
General reserve is a kind of revenue reserve, which could be transfer back to retained profits and used to pay cash dividend.
Reference:
https://keydifferences.com/difference-between-retained-earnings-and-reserves.html
(c) 我冇睇翻其它考過consistency既past paper答案去答,字眼可能未夠精準。至於 (d)呢,應該都攬炒架喇。