Which of the Following,if Discovered by Somber Company in the Accounting

question 31

Multiple Choice

Which of the following,if discovered by Somber Company in the accounting period subsequent to the period of occurrence,requires the company to report the correction of an error?

• A) The estimate of the useful life of a depreciable asset should have been revised.
• B) Capitalization of an expense
• C) A change from declining-balance depreciation method to straight-line method
• D) Change in percentage of sales used for determining bad debt expense

---

Definitions:

Critical Success Factors

Essential elements or conditions that must be achieved for an organization or project to successfully meet its objectives and goals.

Key Performance

A metric used to gauge the effectiveness, efficiency, and performance of an organization's activities or employees.

Competitive Strategy

Strategic approaches that a company takes to gain an advantage in the marketplace, typically through differentiation, cost leadership, or focus strategies.

Benchmarking Process

A method of comparing business processes and performance metrics to industry bests or best practices from other companies.