Question 7(2 points)

Which of the following statements regarding making changes in accounting principles is least accurate?

Question 7 options:

Changes in accounting estimates are now treated the same as changes in accounting principles.

A change in accounting principle is a change from one generally accepted accounting principle to another generally accepted principle. The firm making the change must justify the change.

The general rule is retrospective application.

The reported prior year statements should be restated to reflect the new accounting principle.