问题
单项选择题
Given the following data during periods of rising prices and stable or increasing inventory quantities : LIFO Inventory = $ 80000 FIFO Inventory = $ 90000 Retained Earnings = $125000 When adjusting the balance sheet from (LIFO) to (FIFO), approximately what is the percent-age change in retained earnings
A．
| A. 8.00%. |
B．
| B. -12.50%. |
C．
| C. 12.50%. |
答案
参考答案：A
解析：The difference between the two inventory methods results in a cost of goods sold of $10000 less using FIFO since the cost of the inventory sold is cheaper than using LIFO during rising prices. The percentage change in retained earnings = (10000/125000) × 100 = 8.00%.