If a company fails to record a material amount of depreciation in a previous year, this is considered:
A)a change in accounting principle.
B)an unusual item.
C)an accounting error.
D)a change in estimate.

Question

Quizplus · Accepted Answer

Failing to record a material amount of depreciation in a previous year is considered an accounting error as it is a mistake made in the past accounting periods.

If a Company Fails to Record a Material Amount of Depreciation