Question 7 Compared to International Financial Reporting Standards (IFRS), U.S. GAAP a. is more prone to legal difficulty because U.S. GAAP is principles-based, while IFRS is rules based b. is less prone to legal difficulty because U.S. GAAP is principles-based, while IFRS is rule-based c. is less prone to legal difficulty because U.S. GAAP is rules-based, while IFRS is principles-based d. is more prone to legal difficulty because U.S. GAAP is rules-based, while IFRS is principles based