Which method of accounting for inflation is used under U.S.GAAP?
A)Current Replacement Cost method
B)General Purchasing Power method
C)Both Current Replacement Cost and General Purchasing Power methods must be used
D)Inflation accounting is not required under U.S.GAAP.

Question

Quizplus · Accepted Answer

Inflation accounting is not required under U.S. GAAP. U.S. GAAP assumes that the dollar is a stable currency and does not require any adjustments for inflation in financial statements.

Which Method of Accounting for Inflation Is Used Under U