Explain How Accounting Adjustments Affect Financial Statements and Provide an Example

question 226

Essay

Explain how accounting adjustments affect financial statements and provide an example of an adjustment that would impact the statements if not recorded.

---

Definitions:

Neurocognitive Disorder

A category of conditions that occur when the brain's cognitive functions are impaired, including memory, problem-solving, and attention.

Substance Use Disorder

A condition in which the use of one or more substances leads to a clinically significant impairment or distress, often including health problems, disabilities, and failure to meet major responsibilities at work, school, or home.

Alzheimer's Disease

A progressive neurodegenerative disease that destroys memory and other important mental functions.

Geropsychologist

A psychologist who specializes in the mental health, emotional, and cognitive challenges of the aging population.