问题
单项选择题
A financial analyst could correct the current ratio in which a company uses the LIFO inventory valuation method to the FIFO method by:()
A. adding the LIFO reserve to the current liabilities.
B. adding the LIFO reserve to the current assets.
C. deducting the LIFO reserve from the current asset.
答案
参考答案:B
解析:
The LIFO reserve increases the inventory value under FIFO and inventory is included in the numerator in the current ratio.