A Change in Accounting Estimate Is an Example of an Accounting

question 24

True/False

A change in accounting estimate is an example of an accounting change that affects comparability and requires an explanatory paragraph in the audit report.

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Definitions:

Quantity Words

Words that express amounts of items or describe the extent of something, such as "many," "few," "several," etc.

Hypothetical Conclusion

A conclusion that is based on a conditional statement, depending largely on a "if-then" scenario.

Fallacy

A fault in logical judgment that causes an argument to be invalid or not based on sound reasoning.

Denying Antecedent

A logical fallacy involving the incorrect assumption that the falsehood of a premise invalidates the conclusion, particularly in conditional reasoning.