Analyst 1: Under US GAAP, companies that use the LIFO method must disclose in their financial notes the amount if LIFO reserve.

Analyst 2: LIFO reserve can be used to adjust reported LIFO inventory and cost of goods sold balances to the FIFO method for comparison purposes.

Select one:

A. Both analysts are wrong.

B. Both analysts are correct.

C. Analyst 1 is correct.

D. Analyst 2 is correct.