Which of the Following Is an Accounting Error

question 3

Multiple Choice

Which of the following is an accounting error?

• A)A company changes from the gross method to the net method of recording cash discounts.
• B)A private corporation previously using ASPE chooses to adopt IFRS.
• C)Costs not related to the construction of a building were included in the building cost.
• D)A patent was expected to provide protection of intellectual property for the full legal life of 20 years, but technological advances made the patent obsolete after only 12 years.

---

Definitions:

Glorious Revolution

The overthrow of King James II of England in 1688 by a union of Parliamentarians with the Dutch stadtholder William III, marking the transition towards constitutional monarchy.

Massachusetts Colony

One of the original English settlements in North America, established in 1620 by the Puritans, it played a central role in the early history of what became the United States.

Toleration Act

Was legislation passed in England in 1689 that granted freedom of worship to Nonconformists, although with several restrictions, marking a step toward religious freedom.

Bill Of Rights

The first ten amendments to the United States Constitution, ratified in 1791, guaranteeing such rights as the freedoms of speech, assembly, and worship.