Answer: Changes in accounting policies due to the new revenue recognition standard

**Explanation:** - **Option A (Incorrect):** Corrections of prior period errors require the use of the full retrospective method. This involves restating financial statements for prior periods to reflect the correction, including the balance sheet, statement of owners' equity, and cash flow statement. - **Option B (Incorrect):** Changes in accounting estimates, such as the useful life of PP&E, are applied prospectively. This means the change affects the financial statements for the current and future periods but does not require restatement of prior periods. - **Option C (Correct):** The new revenue recognition standard allows companies to adopt changes in accounting policies using the modified retrospective method. Under this approach, companies adjust the opening balances of retained earnings (and other relevant accounts) for the cumulative impact of the new standard without restating prior financial statements. This method provides flexibility in transitioning to the new standard.

Author: LeetQuiz Editorial Team