参考答案：Management’s choices of which accounting policies they may adopt are not as wide as generally thought. Where an International Accounting Standard, IAS or IFRS (or an Interpretation) specifi cally applies to a transaction or event the accounting policy used must be as prescribed in that Standard (taking in to account any Implementation Guidance within the Standard). In the absence of a Standard, or where a Standard contains a choice of policies, management must use its judgement in applying accounting policies that result in information that is relevant and reliable given the circumstances of the transactions andevents. In making such judgements, management should refer to guidance in the Standards related to similar issues and the defi nitions, recognition criteria and measurement concepts for assets, liabilities, income and expenses in the IASB’s Framework for the preparation and presentation of fi nancial statements. Management may also consider pronouncements of other standard-setting bodies that use a similar conceptual framework to the IASB.A change in an accounting policy usually relates to a change of principle, basis or rule being applied by an entity. Accounting estimates are used to measure the carrying amounts of assets and liabilities, or related expenses and income. A change in an accounting estimate is a reassessment of the expected future benefi ts and obligations associated with an asset or a liability. Thus, for example, a change from non-depreciation of a building to depreciating it over its estimated useful life would be a change of accounting policy. To change the estimate of its useful life would be a change in an accounting estimate.