Intermediate Accounting 14th Edition

Published by Wiley
ISBN 10: 0470587237
ISBN 13: 978-0-47058-723-2

Chapter 2 - Conceptual Framework for Financial Reporting - Brief Exercises - Page 69: BE2-3a

Answer

The change in the inventory technique would require a remark in the auditors report in a well-outlined paragraph.

Work Step by Step

If the organization changed its technique for inventory valuation, the comparability and therefore the consistency of the financial report/statements have been affected by the variation in the method of utilizing the accounting rules employed.
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