Which of the following items is reported only in current and future periods?
A) Prior period adjustment
B) Change in accounting principle
C) Change in estimate
D) Effects of changing prices

Question

Quizplus · Accepted Answer

Changes in estimates are reported in current and future periods only, as they reflect new information or developments that affect the current and future financial statements. Unlike prior period adjustments and changes in accounting principles, which require restatement of prior periods, changes in estimates are not applied retroactively. Effects of changing prices are a broader economic consideration and not specifically about reporting in only current and future periods.

Which of the Following Items Is Reported Only in Current