If a Company Is Utilizing LIFO Inventory Costing, What Might

Multiple Choice

If a company is utilizing LIFO inventory costing, what might be the effect on the calculation of Cost of Goods sold in an interim financial statement?

A) ​cost of goods sold is calculated on a historical cost basis only
B) ​the interim cost of goods sold includes the replacement cost of temporarily liquidated inventory
C) ​cost of goods sold is not adjusted for any changes due to liquidation of LIFO inventory
D) ​any of the effects of liquidation are deferred until year end