During 2018, a construction company that began operations in 2016 changed from the completed-contract method to the percentage-of-completion method for accounting purposes but not for tax purposes. gross profit figures under both methods for the past three years appear below: completed-contract percentage-of-completion 2016 $ 475,000 $ 900,000 2017 625,000 950,000 2018 700,000 1,050,000 $1,800,000 $2,900,000 assuming an income tax rate of 30% for all years, the effect of this accounting change on prior periods should be reported by a credit of:
a) $525,000 on the 2018 income statement.
b) $525,000 on the 2018 retained earnings statement.
c) $770,000 on the 2018 retained earnings statement.
d) $770,000 on the 2018 income statement.

answer; the correct answer to the above statement is (true);

how does that happen,where u steel points

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know