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b) Explain the difference between a change in accounting policy and a change in estimate

Accounting

b) Explain the difference between a change in accounting policy and a change in estimate. Discuss the accounting requirements. Provide an example of each. (4 marks) c) Net income is an important and probably the most commonly referred to indicator of the performance of a company. Yet net income is at best an imperfect indicator of performance. Explain why a user of financial statements must be very careful about how he or she interprets net income. Support your answer by providing examples from your knowledge of accounting and the course. (4 marks)

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