Changes in Accounting Estimates Are Based on

question 79

Multiple Choice

Changes in accounting estimates are based on

• A)new information that has now become available.
• B)management bias.
• C)information available from the use of hindsight.
• D)comparable industry practice.

---

Definitions:

Leases

Contracts in which one party agrees to rent property, services, or goods from another party for a specified time period in exchange for payment.

Revenue

The total amount of money received by a company for goods sold or services provided during a certain time period.

IFRS

Stands for International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is globally accepted for preparing financial statements.

IASB Standards

International Accounting Standards Board Standards, which are a set of accounting rules followed by companies across the globe to ensure transparency and comparability of financial statements.