Explore BrainMass
Share

Explore BrainMass

    Changes to Accounting and Error Analysis

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Please be advised that this is only a discussion not a test or assignment and not an essay. I required at least 200 words. Thank You

    Assess and discuss the criteria and procedures involved in accounting changes and error analysis. What are the major reasons why companies change accounting methods? Explain the three approaches that have been suggested for reporting changes in accounting principles.

    © BrainMass Inc. brainmass.com October 10, 2019, 7:51 am ad1c9bdddf
    https://brainmass.com/business/accounting/changes-accounting-error-analysis-597702

    Solution Preview

    The main criteria that is involved in implementing accounting changes is that the error should be material or significant in nature. The considerations involved in decision making include analysis of types of errors, correcting entries required to address the error and evaluation of restatement of financial statements. The new change should adhere to prescribed ...

    Solution Summary

    This solution of 205 words discusses criteria and procedures involved in accounting changes and error analysis. It lists 5 main reasons why companies change accounting methods and three approaches used in reporting changes in accounting principles. References used are included.

    $2.19