Which of the Following Statements Regarding International Financial Reporting Standards

question 39

Multiple Choice

Which of the following statements regarding international financial reporting standards (IFRS) is false?

• A) The reporting of extraordinary items is prohibited.
• B) Property, plant, and equipment can be reported on the balance sheet at either fair value or historical cost.
• C)The last-in first-out inventory method is permitted.
• D)Inventory write-downs are permitteD.The last-in first-out inventory method is prohibited under IFRS.

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Definitions:

Overpayment Error

An overpayment error occurs when more money is paid than is actually owed, requiring adjustment or refund.

Wages Expense

This is the total amount of wages paid by a company to its employees for a specific period of time.

Cash

Liquid currency and equivalents that a company can use immediately for transactions.

Wages Payable

A liability account that represents the amount of wages owed to employees for work that has been performed but not yet paid.