Which of the Following Steps Are Required to Adjust LIFO

question 65

Multiple Choice

Which of the following steps are required to adjust LIFO to FIFO?

• A) Inventory needs to be calculated as reported LIFO inventory plus LIFO reserve.
• B) Increase deferred tax payable by LIFO reserve times Tax rate.
• C) Retained earnings need to be calculated as reported retained earnings plus LIFO reserve times (1 - Tax rate).
• D) All of the above.

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Definitions:

Toilet Training

The process of teaching a young child to use the toilet for urination and defecation independently.

Readiness

The state of being prepared or in a suitable condition to undertake a specific task or to embrace a particular set of circumstances.

Ignorance

The lack of knowledge, understanding, or awareness about a particular subject.

Cultural Pluralism

The coexistence of various cultural groups within a society, appreciating and respecting their diversity.