Lower-of-cost-or-market write-downs of inventories must be provided for interim accounting periods unless the interim date market declines in inventories are considered to be temporary.

Question

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Lower-of-cost-or-market write-downs are required for interim periods unless the decline is deemed temporary, as per accounting standards, to ensure accurate financial reporting.

Lower-Of-Cost-Or-Market Write-Downs of Inventories Must Be Provided for Interim Accounting