Question: IFRS does not allow the LIFO inventory method because ________. of the increased taxes owed under the LIFO method the majority of companies do not

IFRS does not allow the LIFO inventory method because ________.

  1. of the increased taxes owed under the LIFO method
  2. the majority of companies do not actually sell the oldest items first
  3. it is viewed as unrealistic and lacks representational faithfulness of inventory flows
  4. the FIFO method more accurately reflects the cost of inventory

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