Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
7 Cards in this Set
- Front
- Back
|
Change in Accounting Principle
|
Retrospective Application
Prior periods adjusted Retained Earnings adjusted Ex: Completed contract to % completion Ex: LIFO to FIFO |
|
|
Change in Entity
|
Retrospective Application
Prior periods adjusted Included in footnotes Ex: Change to consolidated statements |
|
|
Change in Accounting Estimate
|
Prospective Application
Going-forward adjustment Ex: SL to DDB |
|
|
Error Correction
|
Prior periods adjusted
Beginning balances of earliest period adjusted Included in footnotes Ex: Non-GAAP to GAAP |
|
|
Prior period adjustments are reported in the
|
retained earnings statement
|
|
|
A change in the periods benefited by a deferred cost should be treated as a
|
change in accounting estimate.
|
|
|
The effect of a change in accounting principle which is inseparable from the effect of a change in accounting estimate should be accounted for as
|
a change in accounting estimate.
|
