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:

Projection

A defense mechanism where an individual attributes their own unacceptable thoughts or feelings to someone else.

Defense Mechanism

Psychological strategies used unconsciously to protect oneself from anxiety arising from unacceptable thoughts or feelings.

Displacement

A psychological defense mechanism where an individual redirects their emotions or reactions from the original source to another object or person.

Projection

A defense mechanism where an individual attributes their own unacceptable thoughts, feelings, or motives to another person.