All of the Following Statements Related to U

question 15

Multiple Choice

All of the following statements related to U.S. GAAP and IFRS are true except:

• A) Neither system defines operating income.
• B) U.S. GAAP offers little guidance about the presentation order of expenses.
• C) Accounting for basic inventory transactions is the same under the two systems.
• D) Neither system requires separate disclosure of items when their size, nature, or frequency are important.
• E) The closing process for merchandisers is the same under both systems.