The most common reason for changes in accounting principles is The FASB revises the accounting standards A transaction that was originally immaterial is now material. Management voluntarily elects to adopt a different principle. Management realizes they have been incorrectly applying a principle. D Question 8 1 pts The statement of cash flows is dated For the period ending (i.e., like an income statement). At a specific date (i.e., like a balance sheet). No answer text provided. No answer text provided. X COD If a company issues both a balance sheet for the current year and an income statement with comparative figures from the prior year, a statement of cash flows Is not required but may be issued at the company's option. Should not be issued. Should be presented for each period for which an income statement is presented. Should be issued for the current year only. Question 10 1 pts Which of the following must be disclosed if a company uses the indirect method when presenting a statement of cash flows? Depreciation and amortization expense. O Interest (net of amounts capitalized) and income taxes paid. Interest received. ONone of the above. A company is reporting single year financial statements and has recorded a correction for an error made in prior years' financial statement. How would the company report the correction? On the current year's income statement. On the current year's statement of retained earnings as a "prior period adjustment." Only in the financial statement footnotes. On the current year's statement of cash flows. Question 12 1 pts Counterbalancing errors do not include Errors that correct themselves in two years O Errors that correct themselves in three years An understatement of purchases An overstatement of revenue