With respect to accounting for inventories which of the foll

With respect to accounting for inventories, which of the following is a difference that exists for IFRS, as opposed to U.S. GAAP? There is required recognition of certain development costs. The FIFO method of inventories is prohibited. The specific identification method of inventories is only allowed when goods are interchangeable. The weighted average method of inventories is prohibited

Solution

There is required recognition of certain development costs under IFRS. IFRS requires recognition of qualified development costs in inventories Option 1 is correct