Time left 3:47: Question 1: Accounting Policy, Estimates and Errors and Events after reporting date -14 Marks This question is divided into two Parts. Answer Parts A and B below: Part A-8 Marks The following are two unrelated scenarios apply to Sultanas Ltd, whose financial year ends on 30 June 2023. Scenario 1 - Sultanas Ltd, in the past, had been depreciating its factory buildings over 25 years. As a result of the new information in the current year, the company has decided to reduce the expected useful life of the buildings to 20 years. Scenario 2 - During the preparation of the financial statements, it was discovered that flood occurred in the previous financial year destroyed some raw materials which were expected to have long useful life. These raw materials however were uninsured. No expenses were charged in the previous financial year in relation to flood damage. The materials were valued at $50,000 and this expense is considered to be material and allowed for tax deduction purpose. The tax rate is 30%. Required: Answer questions (a) and *b) in the spaces provided below: Question (a) - 6 Marks Identify which of these two scenarios is a change in accounting estimate and prior period error and give reasons for your answer. Not yet twice Marked out of Flag questio