Which of the Following Is Not a Likely Step to Furthering

question 33

Multiple Choice

Which of the following is not a likely step to furthering convergence of FASB and IFRS?

• A) FASB adopting an existing IASB Standard.
• B) IASB adopting an existing FASB standard.
• C) FASB and IASB issuing an identical standard.
• D) FASB working with IASB to develop a new standard.
• E) Realizing that identical standards, rather than similar standards, is not realistic.

---

Definitions:

Direct Materials

Materials that are traceable to the production of specific goods or services and included in the cost of those goods or services.

Direct Labour

is the cost associated with workers who are directly involved in the production of goods or services, such as wages for assembly line workers.

Prime Cost

The sum of direct materials and direct labor costs that are directly attributable to the production of a product.

Product Cost

The total expenditure incurred to produce a product, including direct materials, direct labor, and overhead.