Which of the Following Is Not an Example of a Change

question 108

Multiple Choice

Which of the following is not an example of a change in accounting estimate?

• A) Change in the estimated loss rate on receivables
• B) Change in the residual value of natural resources subject to depletion
• C) Change in the expected warranty costs on goods sold under a warranty
• D) Change in the expected recovery of a deferred charge
• E) Change in the composition of inventory cost

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Definitions:

Comparative Advantage

The economic theory that a country should specialize in producing and exporting goods in which it has a lower opportunity cost compared to other countries.

Geegaws

Fancy but ultimately useless objects, often decorative and lacking in practical utility.

Doodads

Informal term for gadgets or small items whose name is either unknown or forgotten.

Workbook Problems

Exercises or problems contained in a workbook aimed at practicing or testing knowledge in a particular subject.