Applying the lower-of-cost-or-market rule follows which of the following accounting conventions?
A)Full disclosure
B)Matching
C)Materiality
D)Conservatism

Question

Quizplus · Accepted Answer

The lower-of-cost-or-market rule follows the accounting convention of conservatism, which requires that losses should be recognized as soon as they are known, but potential gains should not be recognized until they are realized.

Applying the Lower-Of-Cost-Or-Market Rule Follows Which of the Following Accounting