ACCOUNTING 612 (ACC 403)
Liberty University
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Test Bank-2020-Chapter 20- Accounting Changes and Errors.pdf
- Exam (elaborations) • 108 pages • 2021
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1. Most, but not all, changes in accounting principle are reported using the retrospective approach. True False 2. Prior years' financial statements are restated when the prospective approach is used. True False 3. The after-tax cumulative effect on income is no longer required for changes in accounting principles. True False 4. Most changes in accounting principle require a disclosure justifying the change in the first set of financial statements after the change is made. True False 5. All cha...
Exam (elaborations)
Test Bank-2020-Chapter 20- Accounting Changes and Errors.pdf
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1. Most, but not all, changes in accounting principle are reported using the retrospective approach. True False 2. Prior years' financial statements are restated when the prospective approach is used. True False 3. The after-tax cumulative effect on income is no longer required for changes in accounting principles. True False 4. Most changes in accounting principle require a disclosure justifying the change in the first set of financial statements after the change is made. True False 5. All cha...
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