Inventory Turnover Distortion Under LIFO Inventory Costing May Be Adjusted

Multiple Choice

Inventory turnover distortion under LIFO inventory costing may be adjusted by

A) adding the LIFO reserve amounts to cost of goods sold and adjusting beginning and ending inventory for LIFO liquidation profits whenever LIFO liquidation occurs.
B) subtracting the LIFO reserve amounts from cost of goods sold and adjusting beginning and ending inventory for LIFO liquidation profits whenever LIFO liquidation occurs.
C) adding the LIFO reserve amounts to beginning and ending inventory and adjusting cost of goods sold for LIFO liquidation profits whenever LIFO liquidation occurs.
D) subtracting the LIFO reserve amounts from beginning and ending inventory and adjusting cost of goods sold for LIFO liquidation profits whenever LIFO liquidation occurs.