A change in the amortization rate for an intangible asset should be accounted for as a
A) change in accounting principle.
B) change in reporting entity.
C) correction of an error.
D) change in accounting estimate.

Question

Quizplus · Accepted Answer

A change in the amortization rate for an intangible asset is a change in accounting estimate since it involves revising the useful life or residual value of the asset. It is not a change in accounting principle, reporting entity, or correction of an error.

A Change in the Amortization Rate for an Intangible Asset