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Inventory Valuation Gaap Vs Ifrs There Is A Difference Between Gaap And Ifrs Re

“Inventory Valuation – GAAP vs. IFRS”

There is a difference between GAAP and IFRS relative to the LIFO cost assumption for valuing inventories. GAAP permits the use of LIFO and IFRS does not. Assume you are participating on an international panel to discuss the convergence of GAAP and IFRS inventory valuation. Select either the role of a US accountant who favors LIFO or an international accountant who believes LIFO should be removed as a costing method. State your position and provide a rationale to defend it.

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