What Types of Accounting Changes Are Treated Retrospectively and Why

question 39

Essay

What types of accounting changes are treated retrospectively and why?

---

Definitions:

Gini Ratios

A metric assessing the uneven distribution of income among individuals in a population, with 0 being total equality and 1 representing absolute inequality.

Income Inequality

The disparate sharing of income among participants in an economy, be they individuals or households.

Income Distribution

The way in which total income is shared among the population or different groups within society.

Lowest Quintile

The segment of a population that falls into the bottom 20% based on income or another measurable characteristic.