12-04-2011, 07:05 PM
Dear All,
Can any one explain that what should we hv to do in respect of following query.
During Inventory valuation at raw material stage we analysis as per market condition that Market price of raw material fall down from cost and as per IAS # 02 (Inventory should be measured at cost or NRV which ever is lower.)
As per IAS # 02 should we write down the value of our stock to NRV??
How ever such material will use in production of final product which market value will be simultaneously increases as per market condition.
I am confused that at RM stage where market value of our RM has been decreased weather we write down our stock to NRV or not because the market value of final product from such stock will be increased simultaneously.
regards
Umar[)]
Can any one explain that what should we hv to do in respect of following query.
During Inventory valuation at raw material stage we analysis as per market condition that Market price of raw material fall down from cost and as per IAS # 02 (Inventory should be measured at cost or NRV which ever is lower.)
As per IAS # 02 should we write down the value of our stock to NRV??
How ever such material will use in production of final product which market value will be simultaneously increases as per market condition.
I am confused that at RM stage where market value of our RM has been decreased weather we write down our stock to NRV or not because the market value of final product from such stock will be increased simultaneously.
regards
Umar[)]
