Retrospective restatement usually is appropriate for a change in
(Level 1) Required reading â Chapter 20, pages 1193-1200 to Retrospective Approach with Restatement LEVEL 1 There are three classifications of accounting changes â changes in policy, changes in estimate, and corrections of errors.ctivity 8.2-1: Classifying accounting changes What method should be used to account for each of the following?1. A change from average cost (AC) to first-in, first-out (FIFO) to conform to industry practice. 2. A change to percentage-of-completion from completed contract based on user needs.