Do you consider that the change of accounting policies that have been used for a long time is an inappropriate action to be implemented in the company? Explain your reasons and what the best way is if the policy (estimation, method, etc.) change does not have the potential to harm the company and other users of the report.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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After a while, Brekdak as head of the Accounting Department, realized that the system of record that had been working for the last 2 years at PT. Suka Maju experienced a misstatement due to an error in adopting an estimate from the accounting records that turned into a straight-line method. With the changes of used in the depreciation estimation method, cause the company's performance to decline and how were errors found in the recording of the financial statement accounts.

Do you consider that the change of accounting policies that have been used for a long time is an inappropriate action to be implemented in the company? Explain your reasons and what the best way is if the policy (estimation, method, etc.) change does not have the potential to harm the company and other users of the report. 

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