IASB is governed by a group of independent Trustees of diverse geographic and functional backgrounds. 5. According to IAS 2 requirements, costs that could not be reasonably allocated to the cost of inventory should be appear in: (1.5 Points) O Income statement as a part of cost of goods sold. Balance sheet as a part of supplies costs. It will not appear in any statements but it will disclosed on Notes only. Balance sheet as a part of ending Inventory costs. Income statement as a part of operating expenses