Changes in accounting estimates are applied in determining expenses for the current and future periods.

Name: Changes in accounting estimates are applied in determining expenses for the current and future periods.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Changes in accounting estimates are applied prospectively, meaning they affect current and future periods, but not past periods. This is in contrast to changes in accounting policies, which are applied retrospectively and can have an impact on past periods.

Changes in Accounting Estimates Are Applied in Determining Expenses for the Current