A change in accounting policy requires that the cumulative effect of change for prior periods should be reported as an adjustment to: a. Beginning retained earnings for the earliest period presented b. Net income for the period in which the change occurred c. Comprehensive income for the earliest period presented d. Shareholders’ equity for the period in which the change occurred
A change in accounting policy requires that the cumulative effect of change for prior periods should be reported as an adjustment to: a. Beginning retained earnings for the earliest period presented b. Net income for the period in which the change occurred c. Comprehensive income for the earliest period presented d. Shareholders’ equity for the period in which the change occurred
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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A change in accounting policy requires that the cumulative effect of change for prior periods should be reported as an adjustment to:
a. Beginning
b. Net income for the period in which the change occurred
c. Comprehensive income for the earliest period presented
d. Shareholders’ equity for the period in which the change occurred
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