Which of the following should always be accounted for prospectively? Select one: O a. Changes in accounting principles O b. Changes in accounting estimates Oc Correction of errors O d. Changes in the reporting entity Assume that Fullerton Company used the average costing method to account for its inventory for 2017 and 2018. During 2019, the company decided to switch to the FIFO inventory method. Net income under each method for the period 2017-2019 was as follows. Average Costing FIFO 2017 120,000 130,000 2018 90,000 110.000 2019 140.000 170,000 Ignoring tax effects, the journal entry to record the change in the inventory method as of the beginning of 2019 should include Select one: O a. Debit to Inventory $30,000 and Credit to Retained Earnings $30,000. O b. Debit to Retained Earnings $60,000 and Credit to inventory 560,000. O c. Debit to inventory $60,000 and Credit to Retained Earnings $60,000. O d. Debit to Retained Earnings $30,000 and Credit to Inventory $30,000 If a company is not able to determine the effect of a change in accounting methods (principles) on prior periods, the company should Select one: O a Account for the change in accounting methods prospectively O b. Account for the change in accounting methods currently O c Not change the accounting method used (that is, it should continue applying the old accounting method) O d. None of these is correct On July 1, 2013, Aurora Company collected $24,000 rent on a building it owns. The whole amount collected, which covers a 3-year period starting July 1, 2013, was recorded as rent revenue on that date. What journal entry, if any, needs to be recorded at the end of 2014 assuming that the books have already been closed? Select one: O a. Debit Rent Revenue 20,000 credit Unearned Rent Revenue 20,000. O b. Debit Retained Earnings 12,000 credit Uneamed Rent Revenue 12,000. O c. Debit Rent Revenue 12,000 credit Unearned Rent Revenue 12,000. O d. Debit Retained Earnings 20,000 credit Rent Revenue 8000. credit Uneared Rent Revenue 12,000