Chap020 (accounting) 44 - 13 Listed below are ten terms...

Info icon This preview shows page 1. Sign up to view the full content.

13. Listed below are ten terms followed by a list of phrases that describe or characterize five of the terms. Match each phrase with the correct term by placing the letter designating the best term in the space provided by the phrase. 1. Prospective approach Required for all material accounting changes and error corrections. 2 2. Disclosure note The approach now used for changes in depreciation methods. 1 3. Error corrections Most are handled under the retrospective approach. 4 4. Changes in accounting principle Involves consolidated financial statements. 5 5. Changes in reporting entity Accounting changes always handled retrospectively. 3 AACSB: Reflective thinking Bloom's: Comprehension 14. Listed below are ten terms followed by a list of phrases that describe or characterize five of
Image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: the terms. Match each phrase with the correct term by placing the letter designating the best term in the space provided by the phrase. 1. Changes in accounting estimates No longer used for changes in accounting principle. 2 2. Current period adjustment to income statement only Adjustment to retained earnings of earliest year reported. 3 3. Prior period adjustment No journal entry needed, but disclosure is required. 4 4. Prospective approach Handled prospectively. 1 5. Pro forma disclosure "As if" amounts for net income and EPS. 5 AACSB: Reflective thinking Bloom's: Comprehension Multiple Choice Questions...
View Full Document

  • Spring '10
  • McTosh
  • Accounting, Revenue, Generally Accepted Accounting Principles, AACSB, Reflective thinking, error corrections, prospective approach

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern