Non-GAAP measures can be helpful:
A) When a company has large equipment needs.
B) When a company switched inventory evaluation methods.
C) When a company has changed accounting practices.
D) All of the above

Question

Quizplus · Accepted Answer

Non-GAAP measures can be helpful in all of the scenarios mentioned - when a company has large equipment needs (such as capital expenditures), when a company switches inventory evaluation methods (such as moving from LIFO to FIFO), and when a company has changed accounting practices (such as adopting a new revenue recognition standard). Non-GAAP measures allow for adjustments to be made to financial statements in order to provide a clearer picture of a company's financial performance and operations.

Non-GAAP Measures Can Be Helpful