Question

Match each item below to the type of accounting change or error correction.

Group of answer choices

Change from FIFO inventory costing to LIFO inventory costing

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

Change in the residual value of machinery

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

Change in the composition of a group of firms reporting on a consolidated basis

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

An increase in the allowance for doubtful accounts.

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

A change in depreciating equipment from sum-of-the-years digits to the straight-line method

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

Change from the cash basis to accrual basis of accounting.

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

Presenting consolidated statements in place of statements of individual companies.

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

When the year-end physical inventory adjustment was made for the current year, the controller discovered that the prior year's physical inventory sheets for an entire warehouse were mislaid and excluded from last year's count.

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

Change from completed contract method to percentage of completion method.

      [ Choose ]            Change in Reporting Entity            none            Change in Accounting Principle            Change in Estimate            Correction of an Error      

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Answer 1