Summary of ias 2, Auditing

Summary of IAS 2

Inventories are measured at the lower of cost and net realizable value. Entire realizable price is the calculated selling price in the regular course of business less the estimated price of completion and the estimated price essential to make the sale.

Cost includes all costs of purchase, prices of conversion and another costs incurred in starting the inventories to their present position and condition. The cost of inventories, another than those for that particular identification of costs are suitable, is assigned through requiring the first-in than first-out (FIFO) or weighted average price formula.

Whenever inventories are sold, the carrying amount of those inventories is identified as an expense in the same period as the revenue. The amount of any write-down of inventories to net realizable value is identified as an expense in the duration the loss occurs or write-down. The total amount of several reversal of a write-down of inventories is identified as a reduction in the amount about the inventories identified as an expense in the period whether the reversal happens.

Posted Date: 1/25/2013 2:56:06 AM | Location : United States







Related Discussions:- Summary of ias 2, Assignment Help, Ask Question on Summary of ias 2, Get Answer, Expert's Help, Summary of ias 2 Discussions

Write discussion on Summary of ias 2
Your posts are moderated
Related Questions
Non-Adjusting Events - Audit Process Non-adjusting events are those that are indicative of conditions such arose than the balance sheet date as a decline in the market price o

Valuation of Debtors Debtors are valued simple like other assets at the lower of cost and total realisable value. Valuation of debtors is actually a consideration of where the

Building Societies - Specialized Audit Situation Building Societies are organisations that exist to offer a savings and investment intermediate to the public and to lend to pe

Fleet Bhd operates a chain of high street retail outlets selling clothing and household items. In 1995, this company was heading for a financial loss and was deemed to have lost st

Ask You are the senior auditor assigned to the team performing an audit for Restorative Pharmaceutical Corporation (RPC), a 10-year-old publicly held corporation listed on the New

Statistical techniques Factors to be taken into consideration before adopting statistical techniques: a) The number of clients to whom it is appropriate because set up costs a

what are the things we need to check in statutory audit of bank?

project report on absorption of overhead and its different method

Describe the management system within your case study business. Assess the risk of fraud in this business, and suggest methods for detection Management system in this ca

Question: Explain the type of audit conducted by the sponsor when he suspects or comes to know that the site will be audited by FDA. A Mention type of audit conducted by the