For Interim Financial Reporting, an Inventory Loss from a Temporary

Multiple Choice

For interim financial reporting, an inventory loss from a temporary market decline in the first quarter which can reasonably be expected to be restored in the fourth quarter

A) Should be recognized as a loss proportionately in each of the first, second, third, and fourth quarters
B) Should be recognized as a loss proportionately in each of the first, second, and third quarters
C) Need not be recognized as a loss in the first quarter
D) Should be recognized as a loss in the first quarter