The LIFO conformity rule:

A. Is only applicable to the automotive industry.
B. Requires that all companies in the same industry use the same accounting methods of inventory valuation.
C. Requires a company to use one method of inventory valuation exclusively.
D. Requires when LIFO is used for tax reporting, it is also used for financial reporting.
E. Is also called the taxation principle.


Answer: D

Business

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