Discuss whether or not you support the GAAP or IFRS approach
Not what you're looking for?
Discuss whether or not you support the GAAP or IFRS approach to inventory. If you could propose a third alternative to reporting inventory, what would it be?
Purchase this Solution
Solution Summary
Your tutorial is 258 words summarizing the major differences and then discussing the questions posed. Three references are provided. I have also attached a slide show by Ernst and Young about GAAP and IFRS inventory which goes into more details.
Solution Preview
Discuss whether or not you support the GAAP or IFRS approach to inventory.
Summar of the major differences:
1. IFRS does not permit the LIFO method of costing inventory, unlike US GAAP.
2. IFRS reports inventory at the lower of cost or net realizable value (LCNRV). US GAAP reports inventory at the lower of cost or market (LCM), where market is defined as a replacement cost with a floor (NRV less normal profit margin) and a ceiling (NRV).
3. IFRS allows reversals of prior ...
Education
- BSc, University of Virginia
- MSc, University of Virginia
- PhD, Georgia State University
Recent Feedback
- "hey just wanted to know if you used 0% for the risk free rate and if you didn't if you could adjust it please and thank you "
- "Thank, this is more clear to me now."
- "Awesome job! "
- "ty"
- "Great Analysis, thank you so much"
Purchase this Solution
Free BrainMass Quizzes
Team Development Strategies
This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.
Transformational Leadership
This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.
Marketing Management Philosophies Quiz
A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.
Organizational Behavior (OB)
The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.
Change and Resistance within Organizations
This quiz intended to help students understand change and resistance in organizations