The convergence issue that will be most difficult to resolve in the area of inventory accounting is:

Question

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LIFO (Last In, First Out) is the most difficult convergence issue in inventory accounting because it is not allowed under International Financial Reporting Standards (IFRS), while it is permissible under U.S. Generally Accepted Accounting Principles (GAAP). This difference creates significant challenges in achieving convergence between these two major accounting standards.

The Convergence Issue That Will Be Most Difficult to Resolve