Which statement accurately describes the treatment of market value under GAAP and IFRS?

• A. GAAP uses replacement cost, while IFRS uses net realizable value.
• B. Both GAAP and IFRS use net realizable value.
• C. Both GAAP and IFRS use replacement cost.
• D. GAAP uses net realizable value, while IFRS uses replacement cost.

Answer: (A)