Disclosure Notes Related to a Change in Accounting Principle Under

question 66

Multiple Choice

Disclosure notes related to a change in accounting principle under the retrospective approach should include:

• A) The effect of the change on executive compensation.
• B) The auditor's approval of the change.
• C) The SEC's permission to change.
• D) Justification for the change.

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Definitions:

Amphetamines

A class of stimulant drugs used medically to treat conditions such as attention deficit hyperactivity disorder and narcolepsy, but also subject to abuse for their energizing effects.

General Adaptation

Refers to the process by which organisms adjust to changes in their environment or stressors over time, often discussed in the context of stress biology.

Appraisal

The act of evaluating or estimating the nature, quality, or worth of something.

General Adaptation Syndrome

A model of the body’s stress response, consisting of three stages: alarm, resistance, and exhaustion.