A Change in the Estimated Useful Life of Equipment Requires

question 142

Multiple Choice

A change in the estimated useful life of equipment requires

• A) a retroactive change in the amount of periodic depreciation recognized in previous years.
• B) that no change be made in the periodic depreciation so that depreciation amounts are comparable over the life of the asset.
• C) that the amount of periodic depreciation be changed in the current year and in future years.
• D) that income for the current year be increased.

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Definitions:

Walking Rounds

A collaborative approach in healthcare where medical professionals conduct patient check-ups and discussions while moving from room to room.

Meaningful Use

Refers to a set of standards defined by the Centers for Medicare & Medicaid Services (CMS) that govern the use of electronic health records (EHRs) and allows eligible providers and hospitals to earn incentive payments by meeting specific criteria.

Computerized Information Systems

Systems that use computer technology to collect, store, manage, and interpret data for various purposes, including healthcare management.

Improves Quality

Enhances the standard or grade of a product, service, or life, often through measures that refine effectiveness, efficiency, or satisfaction.