Which of the following statements regarding the lower of cost and net realizable value and conservatism is not true? O Without the LCNRV rule, inventory balances can be understated in certain situations, which may result in inappropriate decisions. It is recognized in the income statement when it is realized (earned) in the future period. O When estimated future selling price is greater than cost, the expected profit is not recognized immediately. When estimated future selling price is less than cost, the expected loss is recognized immediately The lower of cost and net realizable value prevents the cost of inventories from being overstated based on the managers' optinatic estimation of the future O selling price