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Required: For each of the following items, chose a letter code under each category (type and approach to indicate the preferable accounting for each case.
Required: For each of the following items, chose a letter code under each category (type and approach to indicate the preferable accounting for each case. Answer on this paper. Changed depreciation method from declining balance to straight line to conform with industry practice. Changed from the cost method to revaluation method for capital assets: prior years' valuations are obtainable. Discovered that a $400,000 acquisition of machinery two ears ago had been debited to the land account Changed from FIFO to average cost for inventory to reduce accounting costs. Only the previous year's opening balance can be reconstructed. Changed measurement method for asset retirement obligations to present value basis instead of undiscounted estimated costs
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