change in accounting principle

For changes in accounting principle prior to December 2005, see cumulative effect of a change in accounting principle.

For changes in accounting principle after December 2005, the FASB's Statement of Financial Standards No. 154, Accounting Changes and Error Corrections, requires "retrospective application to prior periods' financial statements of changes in accounting principle." (Statement No. 154 is available at www.fasb.org. Select "Pronouncements & EITF Abstracts" from the left panel of the home page.)