During 20X2. Darden Furniture Company changed to the LIFO method of accounting for inventory. Suppose that during

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During 20X2. Darden Furniture Company changed to the LIFO method of accounting for inventory. Suppose that during 20X3. Darden changes back to the FIFO method and the fol- lowing year switches back to LIFO again. Required 1. What would you think of a company's ethics if it changes accounting methods every year?

2. What accounting principle would changing methods every year violate? 3. Who can be harmed when a company changes its accounting methods too often? How?

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Accounting

ISBN: 9780130906991

5th Edition

Authors: Charles T. Horngren, Walter T. Harrison, Linda S. Bamber, Betsy Willis, Becky Jones

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