[nib]

Please help me with below question.I am not understanding meaning of both question and answer.

1)what is specific price changes

2) what is the meaning of “Current cost/constant dollar “

3) explanation is also too short to understand for me .

Question #: 1606 Category: 3I Fair Value Measurements, Disclosures, and Reporting

QUE =Financial statements prepared under which of the following methods include adjustments for both specific price changes and general price-level changes?

ANS=

Current cost/constant dollar

Explanation =

These statements include adjustments for both specific price changes and general price-level changes.

A method of accounting based on measures of current cost or lower recoverable amounts in units of currency, each of which has the same general purchasing power.