Accountants believe that the write-down from cost to LCNRV should not be made in the period in which the price decline occurs.

Question

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Accountants believe that the write-down from cost to LCNRV should be made in the period in which the price decline occurs. This is in line with the principle of conservatism which states that losses should be recognized when they are probable and gains should only be recognized when they are realized.

Accountants Believe That the Write-Down from Cost to LCNRV Should