A Material Prior Period Error in Year Ending 2009 Was

question 50

Multiple Choice

A material prior period error in year ending 2009 was subsequently discovered in 2010.To comply with AASB 108 Accounting Policies,Changes in Accounting Estimates and Errors an entity should:

• A) reissue the 2009 financial statements with the error corrected.
• B) make a retrospective adjustment in 2009.
• C) make a retrospective adjustment in 2010.
• D) make a prospective adjustment in 2009.

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Definitions:

Mid-Twentieth Century

Pertains to the period around the middle of the 20th century, typically considered to span from the 1930s to the 1960s.

State Hospitals

Public hospitals administered by the government, often specifically for mental health care, rehabilitation, or long-term illness.

Mid-1900s

The period from 1950 to 1999, often considered a time of significant social, economic, and technological change.

Institutionalization

The process by which individuals become reliant on an institution for their social support, often leading to the loss of independence and autonomy.