During 2006, Krey Co. increased the estimated quantity of copper recoverable from its mine. Krey uses the units of production depletion method. As a result of the change, which of the following should be reported in Krey’s 2006 financial statements?
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Cumulative effect of a change in accounting principle |
Pro forma effects of retroactive application of new depletion base |
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a. |
Yes |
Yes |
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b. |
Yes |
No |
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c. |
No |
No |
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d. |
No |
Yes |