Why do U.S. companies keep using LIFO while IFRS prohibits it? a. LIFO provides a more realistic income statement since the most recent items purchased are what is measured on the income statement. b. LIFO assigns less weight to the balance sheet. c. The taxing authority in the U.S. has conformity provisions.
Why do U.S. companies keep using LIFO while IFRS prohibits it? a. LIFO provides a more realistic income statement since the most recent items purchased are what is measured on the income statement. b. LIFO assigns less weight to the balance sheet. c. The taxing authority in the U.S. has conformity provisions.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Why do U.S. companies keep using LIFO while IFRS prohibits it?
a. LIFO provides a more realistic income statement since the most recent items purchased are what is measured on the income statement.
b. LIFO assigns less weight to the
c. The taxing authority in the U.S. has conformity provisions.
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