Current GAAP Defines Three Types of Changes

question 70

Essay

Current GAAP defines three types of changes:
a. Changes in accounting principle
a. A change in accounting principle occurs when a company adopts a generally accepted accounting principle that is different from the one previously used. This can occur when the FASB issues a new standard. This type of change should be
b. Changes in accounting estimate
c. Changes in reporting entity
Define each item, give an example, and describe how it should be accounted for.

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Definitions:

Skewed Results

Data or outcomes that are disproportionately affected by variables or factors, leading to a distortion from the expected or true distribution.

Sentiment Analysis

The process of using text analysis tools to understand the emotions and opinions expressed in written content on social media and other platforms.

Text Classifiers

Definition: Algorithms or systems used in natural language processing to categorize or tag text into predefined categories based on its content.

Aggregate Raw Sentiment Data

involves compiling and analyzing unprocessed emotional responses or opinions from various sources to gauge public sentiment towards a topic or product.