# Which of the following situations should a company report a prior-period adjustment?

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Here is the solution for **Which of the following situations should a company report a prior-period adjustment?. **The solution is given after the options.

### Which of the following situations should a company report a prior-period adjustment?

A change in the estimated useful lives of fixed assets purchased in prior years.

The correction of a mathematical error in the calculation of prior yearsâ€™ depreciation.

A switch from the straight-line to double-declining balance method of depreciation.

The scrapping of an asset prior to the end of its expected useful life.

**Correct Answer**

**The correction of a mathematical error in the calculation of prior yearsâ€™ depreciation.**

**Explanation:**

**The correction of a mathematical error in the calculation of prior yearsâ€™ depreciation.**is the answer for

**Which of the following situations should a company report a prior-period adjustment?**

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