Question: The following statement is TRUE / FALSE (circle one): 1. Under Current (2019) US GAAP, when a firm makes a voluntary change in accounting method,

The following statement is TRUE / FALSE (circle one):

1. Under Current (2019) US GAAP, when a firm makes a voluntary change in accounting method, the firm is required to disclose why the new accounting method is preferable to the previously used accounting method.

2. Under Current (2019) US GAAP, a firm that uses the Retail Inventory Method will report the Retail Value (i.e. Selling Price) of their Inventory on the Balance Sheet, with the difference between the Retail Value and the acquisition cost being reported as Other Comprehensive Income.

3. Under Current (2019) U.S. GAAP, cryptocurrencies (e.g. Bitcoin) are considered Cash Equivalents.

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