Which of the Following Is TRUE When the Estimate of an Asset's

question 26

Multiple Choice

Which of the following is TRUE when the estimate of an asset's useful life is increased?

• A) The new estimate is ignored until the last year of the asset's life.
• B) Annual depreciation expense is increased for the remaining years of the asset's life.
• C) Prior years' financial statements must be restated.
• D) Annual depreciation expense is decreased for the remaining years of the asset's life.

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Definitions:

Gap Junctions

Specialized structures in animal cell membranes that allow for direct communication between cells through the passage of ions and molecules.

Tight Junction

Cell junction that fastens together the plasma membrane of adjacent epithelial cells; collectively prevent fluids from leaking between the cells. Composed of adhesion proteins.

Plasmodesma

Cell junction that forms an open channel between the cytoplasm of adjacent plant cells.

Adhering Junction

Cell junction that fastens an animal cell to another cell, or to basement membrane. Connects to cytoskeletal elements inside the cell; composed of adhesion proteins.