For each of the following items, indicate the type of accounting change.(a1)(a)(b)(c)(d)(e)(f)Change from the straight-line method of depreciation to the sum-of-the-years'-digitsChange from the cash basis to the accrual basis of accountingChange from FIFO to LIFO method for inventory valuation purposes (retrospectiveapplication impractical)Change from presentation of statements of individual companies to presentation ofconsolidated statementsChange due to failure to record depreciation in a previous periodChange in the realizability of certain receivablesChange from LIFO to FIFO method for inventory valuation purposesSave for LaterChange in accounting estimateChange in accounting entityChange in accounting principleCorrection of an errorAttempts: 0 of 1 usedSubmit Answer

The objective of the question is to identify the type of accounting change for each of the given scenarios.(a) Change from the straight-line method of depreciation to the sum-of-the-years'-digits: This is a change in accounting estimate resulting from a change in accounting principle. The straight-line method and the sum-of-the-years'-digits method are both acceptable methods of depreciation, but they result in different amounts of depreciation expense each year.(b) Change from the cash basis to the accrual basis of accounting: This is a change in accounting principle. The cash basis and accrual basis are two different methods of accounting that affect when revenues and expenses are recognized.(c) Change from FIFO to LIFO method for inventory valuation purposes (retrospective application impractical): This is a change in accounting principle. FIFO (First-In, First-Out) and LIFO (Last-In, First-Out) are two different methods of inventory valuation that affect the cost of goods sold and ending inventory.(d) Change from presentation of statements of individual companies to presentation of consolidated statements: This is a change in reporting entity. The presentation of financial statements can change when a company decides to consolidate its financial statements with those of its subsidiaries.(e) Change due to failure to record depreciation in a previous period: This is a correction of an error. If depreciation was not recorded in a previous period, the financial statements for that period were incorrect and need to be restated.(f) Change in the realizability of certain receivables: This is a change in accounting estimate. The realizability of receivables can change due to changes in the creditworthiness of customers or changes in economic conditions.(g) Change from LIFO to FIFO method for inventory valuation purposes: This is a change in accounting principle. As mentioned earlier, FIFO and LIFO are two different methods of inventory valuation.(h) Change in accounting estimate: This is self-explanatory. An example of a change in accounting estimate could be a change in the estimated useful life of a fixed asset.(i) Change in accounting entity: This is also self-explanatory. An example of a change in accounting entity could be a change from presenting the financial statements of a parent company only to presenting consolidated financial statements that include the parent company and its subsidiaries.(j) Change in accounting principle: This is self-explanatory. An example of a change in accounting principle could be a change from the cash basis of accounting to the accrual basis of accounting.(k) Correction of an error: This is self-explanatory. An example of a correction of an error could be a correction of a mathematical error in the financial statements.The question required identifying the type of accounting change for each of the given scenarios. The changes ranged from changes in accounting principles, changes in accounting estimates, changes in reporting entity, to corrections of errors.