IAS 2 - Inventory Flashcards
1
Q
what is inventory
A
assets that are held for sale in the ordinary course of business
assets that are used in the production for such sales
assets which are consumed in the produciton process
2
Q
what does inventory exclude
A
work in progress under construction contracts
financial instruments
biological assets
3
Q
at what value are inventory held at
A
lower of cost and net realiable valye
4
Q
what is the net realiable value of inventory
A
estimated selling price of the inventory in the ordinary course of business less selling costs
5
Q
which is allowed under IAS 2
FIFO
LIFO
A
FIFO
