Question
Assuming that management reports its financial results truthfully, discuss the economic events that are likely to prompt the following accounting changes? Increase in the estimated
Assuming that management reports its financial results truthfully, discuss the economic events that are likely to prompt the following accounting changes?
- Increase in the estimated life of depreciable assets
- Decrease in the uncollectible allowance as a percentage of gross receivables
- Recognition of revenues at point of delivery, rather than when cash is received
- Capitalization of a higher proportion of software R&D costs
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1 If we change the depreciation policy this may affect the useful life of the asset If we use the ri...
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Accounting Principles
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
7th Canadian Edition Volume 1
1119048508, 978-1119048503
