When It Comes to the Treatment of Depreciation and Valuation

question 20

Multiple Choice

When it comes to the treatment of depreciation and valuation of inventory, generally accepted accounting principles .

• A)provide almost no guidance to accountants
• B)allow accountants to choose among different methods for depreciation and for the valuation of inventory
• C)require accountants to use only one specific method of depreciation, but permit several methods of inventory valuation
• D)require accountants to use one specific method for valuing inventory, but permit several methods for depreciating fixed assets