When a change in method is inseparable from a change in estimate, the change is accounted for
A) prospectively.
B) by the retrospective adjustment or restatement.
C) by a retrospective application of a new accounting principle.
D) by constructive application of a new accounting principle.

Question

Quizplus · Accepted Answer

When a change in method is inseparable from a change in estimate, it is accounted for prospectively. This means that the change is applied to transactions, other events, and conditions occurring after the date of the change.

When a Change in Method Is Inseparable from a Change