The Bronson Company Changed Its Method of Determining Inventories from LIFO

question 20

Multiple Choice

The Bronson Company changed its method of determining inventories from LIFO to FIFO. This change represents a

• A) change in accounting estimate that should be treated prospectively.
• B) change in accounting principle that should be treated prospectively.
• C) change in accounting estimate for which the financial results of previous years are restated.
• D) change in accounting principle for which the financial statements of prior periods included for comparative purposes are restated.

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Definitions:

Common Fate

A gestalt principle that states elements moving in the same direction are perceived as a collective or unit.

Retina

A layer of visual receptor cells at the rear of the eyeball.

Visual Search Tasks

Visual search tasks are experiments or tasks in which individuals are asked to locate a specific item or feature among a set of distractors, used to study attention, perception, and cognitive processes.

Treisman And Gelade

Researchers known for their work on the Feature Integration Theory of attention.