When a Company Makes a Change in an Estimate That

question 42

Multiple Choice

When a company makes a change in an estimate that it has used in its financial statements,it should account for the change by:

• A) retroactively restating all prior financial statements
• B) treat the change as a cumulative effect change in accounting estimate
• C) spread the effect of the change over the current and future periods
• D) companies are not allowed to make changes to estimates

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Definitions:

Shame

A painful emotion resulting from the consciousness of something dishonorable or improper done by oneself or another.

Sexual Dysfunction

A problem occurring during any phase of the sexual response cycle, preventing an individual or couple from experiencing satisfaction from sexual activity.

Hypertension

A chronic medical condition in which the blood pressure in the arteries is persistently elevated, often leading to significant health risks.

Voyeurism

A sexual interest or practice involving the observation of others without their consent, often for sexual gratification.