USGAAP and IFRS Require Firms in Some Instances to Change

question 62

True/False

U.S.GAAP and IFRS require firms in some instances to change the carrying value of certain assets and liabilities.Both sets of accounting standards preclude the recognition of these changes in net income, and therefore in retained earnings.

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Definitions:

Bulimia

An eating disorder characterized by episodes of binge eating followed by compensatory behaviors such as vomiting, fasting, or excessive exercise.

Binge-eating Disorder

An eating disorder characterized by recurrent episodes of eating large quantities of food in a short period of time, often accompanied by feelings of loss of control and guilt.

Overweight

A condition where an individual has more body fat than is optimally healthy, often defined by a Body Mass Index (BMI) over 25.

Bulimia

An eating disorder characterized by binge eating followed by purging to prevent weight gain.