Which Inventory Cost Flow Assumption Is Allowed Under U

question 11

Multiple Choice

Which inventory cost flow assumption is allowed under U.S.GAAP but not under IFRS?

• A)Specific identification.
• B)FIFO.
• C)LIFO.
• D)Average cost.

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Definitions:

Sales Territories

Designated geographical areas or customer groups assigned to a salesperson or team for servicing and selling a company's products or services.

Market Coverage

The extent to which a company reaches its potential market through distribution channels, marketing activities, and geographic presence.

Sales Quota

A specific sales performance target set for a salesperson or team to achieve within a given timeframe.

Geographical Area

A specific physical region or territory within which activities associated with sales or marketing are conducted.