IFRS Prohibits the Use of the ________ Method of Inventory

question 85

Multiple Choice

IFRS prohibits the use of the ________ method of inventory valuation.

• A)FIFO
• B)weighted-average
• C)moving average
• D)specific identification
• E)LIFO

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Definitions:

Elasticity of Demand

Elasticity of Demand measures how much the quantity demanded of a good responds to a change in the price of that good, indicating how sensitive consumers are to price changes.

Necessity

An essential requirement or need for something.

Luxury Good

A good for which demand increases more than proportionally as income rises, often seen as non-essential but desirable.

Price Elasticity Coefficient

A measure that quantifies the responsiveness of the quantity demanded of a good to a change in its price.