Which of the Following Statements Is Not True Concerning Interim

question 11

Multiple Choice

Which of the following statements is not true concerning interim financial reporting and inventories?

• A)A company that uses LIFO and encounters a temporary partial liquidation of its base period inventory must include the effects of the liquidation in the period in which it occurred.
• B)Provisions for write-downs to market should generally be the same for both the annual and interim reporting.
• C)A company that utilizes a periodic inventory system and uses estimated gross profit rates to determine costs of goods sold during interim periods should disclose any significant adjustments that result from reconciliation with the annual physical inventory.
• D)The same inventory pricing method used for annual reporting should generally be used for interim reporting.

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Definitions:

Psychology Class

An academic course focused on the study of the mind, brain, and behavior.

Course Policy

The set of rules and guidelines provided by an educational or training program that outlines expectations and procedures.

Gestalt Psychology

A school of psychology that studies how people integrate and organize perceptual information into meaningful wholes, emphasizing the holistic nature of the human mind.

Humanism

A philosophical and ethical stance that emphasizes the value and agency of human beings, individually and collectively.