Which of the Following Is Characteristic of a Change in an Accounting

question 36

Multiple Choice

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

• A) It usually need not be disclosed
• B) It does not affect the financial statements of prior periods
• C) It should be reported through the restatement of the financial statements
• D) It makes necessary the reporting of pro forma amounts for prior periods

---

Definitions:

Generalization

The process or principle of applying the findings from specific instances to broader populations or situations, often used in research and reasoning.

Levels

Stages or degrees in a scale or series, often used to express the intensity, importance, or progression of something.

Organizing Instruction

The process of structuring and arranging educational content and activities to facilitate effective learning.

Nutrition Labeling

Information provided on food packaging, detailing the nutrient content and ingredients to help consumers make informed choices.