Which of the Following Is an Example of a Change

question 16

Multiple Choice

Which of the following is an example of a change in accounting estimate?

• A)Switching from straight-line to the declining balance method of depreciation.
• B)Using 3% for the allowance for bad debts, instead of 1% as stated in the company's procedures manual.
• C)Using 5% for the allowance for bad debts because of the increased possibility of bankruptcy by customers.
• D)Changing from weighted average to the first-in, first-out method of inventory valuation.

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Definitions:

\(z\)

Often used to represent a complex number in the form of \(z = a + bi\), where \(a\) and \(b\) are real numbers and \(i\) is the imaginary unit.

Coefficient

A coefficient is a numerical or constant quantity placed before and multiplying the variable in an algebraic expression (e.g., 4 in 4x).

Binomial

A polynomial with exactly two terms.

\(x^6\)

A mathematical expression representing a variable, x, raised to the power of 6.