Changes in Depreciation method will results changes in . 01. Accounting Policies or 02. Accounting Estimates ?

1-                                       

A change in accounting policies

Answer is

>>>A)Change in accounting policies

(1) Accounting Policies is the Correct Answer.

Changes in Depreciation method is a change in Accounting Policies, but change the life of an asset is an accounting estimates.

Looking at the fact, Any depreciation method help in alignment of the cost vs benefit. hence any charge towards depreciation is reflection of the estimate made by the company on the number of years over which the company will be benefited from that Asset. Hence depreciation method in itself is an estimation.Further,  change in accounting policy only occurs if rules of either recognition, measurement or presentation of line item are changed.Going by that fact change in depreciation from Historical cost basis to revaluation basis would mean to be change in the accounting policies.One more very critical point is, change in policies needs to be adjusted with retrospective effect while change in the estimate is given prospective effects for accounting.

To conclude, Change in depreciation method is change in estimate  and not change in policies.

the answer is both of them

First, accounting policies has changed and resulted to change in estimates.

Both of them policies and estimates .