Changes in accounting estimates usually have no effect on a company's underlying cash flows.

Name: Changes in accounting estimates usually have no effect on a company's underlying cash flows.
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Changes in accounting estimates, such as adjusting the useful life of an asset or the allowance for doubtful accounts, do not typically affect a company's actual cash flows. They only impact the timing and amount of reported revenues and expenses on the financial statements.

Changes in Accounting Estimates Usually Have No Effect on a Company's