A Change in the Estimated Useful Life of Equipment Requires

question 152

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 profit for the current year be increased.

---

Definitions:

Half-Truths

Statements that are partially true but intended to deceive or mislead by omitting key information.

Incomplete

Not finished or missing parts; lacking some components or aspects that are necessary for completeness.

At Least Half True

A phrase indicating that a statement, claim, or proposition contains some measure of truth or accuracy, though it may not be entirely correct.

Federal Trade Commission

A U.S. federal agency with the mission to protect consumers and promote competition, enforcing antitrust and consumer protection laws.