Companies in the same industry are not required to use the same methods to value inventory and to depreciate similar assets.

Question

Quizplus · Accepted Answer

Companies are free to use different methods to value their inventory and assets, as long as the methods are consistent with generally accepted accounting principles (GAAP) and accurately reflect the company's financial position. Different companies may have different methods based on their specific circumstances and the nature of their business operations.

Companies in the Same Industry Are Not Required to Use