Asked by duoduo Aguimarti on Jul 04, 2024
Verified
Describe the differences in the application of lower of the cost or market consideration between U.S.GAAP and IFRS.
GAAP
A set of rules and standards designed to improve and standardize accounting practices, making financial statements comparable across companies.
IFRS
International Financial Reporting Standards, which are a set of accounting standards developed by the International Accounting Standards Board (IASB) for global use.
Lower Of Cost Or Market
A method that values inventory at the lower of its historical cost or its current market price.
- Distinguish between Inventory valuation under IFRS and GAAP, and comprehend the consequences associated with each.
Verified Answer
Learning Objectives
- Distinguish between Inventory valuation under IFRS and GAAP, and comprehend the consequences associated with each.
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