One Difference Between IFRS and GAAP in Valuing Inventories Is

question 66

Multiple Choice

One difference between IFRS and GAAP in valuing inventories is that

• A) Under IFRS, but not GAAP, inventories written down under LCNRV can be written back up to the original cost.
• B) GAAP defines market value as replacement cost where IFRS defines market as the selling price.
• C) GAAP strictly adheres to the historical cost concept and does not allow for write-downs of inventory values.
• D) IFRS, but not GAAP, requires that inventories be valued at the lower of cost or market.

Acknowledge the necessity of a clear and appealing vision for successful change.

Understand the role of employee involvement in reducing resistance to change.

Recognize the importance of organizational diagnosis in understanding the current state and facilitating change.

Comprehend the various methodologies and interventions used in organizational change, including action research, appreciative inquiry, parallel learning structures, and future search.

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Definitions:

Celler-Kefauver Act

A U.S. law aimed at limiting anticompetitive mergers and acquisitions by restricting asset purchases and inter-corporate stock purchases.

Interlocking Directorates

A situation where the same individuals serve on the boards of directors of multiple companies, creating interconnectedness and potential conflicts of interest.

Antitrust Laws

Legislation (including the Sherman Act and Clayton Act) that prohibits anticompetitive business activities such as price fixing, bid rigging, monopolization, and tying contracts.

Anticompetitive Mergers

Mergers between companies that significantly reduce competition in the market, potentially leading to higher prices and reduced consumer welfare.