All things being equal, which accounting method will generally result in higher balance sheet values?

All things being equal, which accounting method results in higher revenue recognized?

All things being equal, which accounting method results in higher DD&A costs?

	A.	Full cost
	B.	Successful efforts
	C.	Full efforts
	D.	Neither, they are the same use these answers to answer the questions above

Because of the historical cost principle, the accounting entry on the balance sheet for O&G reserves under the full cost method corresponds to the actual value of the assets.

All of the following are examples of conservative accounting indicators for oil and gas firms except:

	A.	Usage of successful efforts accounting
	B.	Reserve estimates performed by internal engineers with better knowledge of firm reserves
	C.	A lower percentage of proven undeveloped reserves
	D.	Few historical reserve replacements versus competitors