A significant difference in long-lived accounting between US GAAP and IFRS accounting is that in IFRS:
A)Management has the option of periodically revaluing property, plant and equipment to market value
B)Management is mandated to revaluing property, plant and equipment to market value
C)Management may use hypothetical future value in depreciating assets
D)There are no differences in long-lived asset accounting between US GAAP and IFRS

Question

Quizplus · Accepted Answer

Under IFRS accounting, management has the option of periodically revaluing property, plant and equipment to market value. This is not a requirement, but rather a choice available to management. In contrast, under US GAAP accounting, revaluation is generally not allowed and assets are typically carried at historical cost less accumulated depreciation.

A Significant Difference in Long-Lived Accounting Between US GAAP and IFRS