I do believe that companies should be expected to report the impact
of changes in subsequent years, especially if they have multiperiod
impacts because investors in to the company would want an accurate
trace of information to make the best decision. If a company does not
have current information that includes any changes that have
happened or will happen over the years, then they couldn’t possibly
make the best-informed decision. Speaking from my point of view, if a
company does not disclose the expected changes, it may affect the
creditability of the company and how I would view them for the
future because I’d think I wouldn’t have a full idea of what is ongoing
in the company.
I think multi period disclosure of accounting changes would be useful
to investors and others because they would make a better decision
for a long term investment, they would know when and where a
company has struggled and see if the company has made any changes
to fix those struggles for the future of the company.
