Which of the Following Is Not Considered an Advantage of LIFO

question 144

Multiple Choice

Which of the following is not considered an advantage of LIFO when prices are rising?

• A) The inventory will be overstated.
• B) The more recent costs are matched against current revenues.
• C) There will be a deferral of income tax.
• D) A company's future reported earnings will not be affected substantially by future price declines.

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Definitions:

Identical Twins

Twins who develop from a single fertilized egg, therefore sharing all their genes, and are genetically identical to each other.

Epigenetics

The exploration of organism changes brought about by the adjustment of gene expression rather than by modifying the genetic sequence.

Behavior Genetics

A field of study that examines the role of genetics in animal (including human) behavior.

Molecular Genetics

Molecular genetics is the field of biology and genetics that studies the structure and function of genes at a molecular level.