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Which is the best principal of finished goods stock valuation?

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تم إضافة السؤال من قبل G M Masudur Rahman , Manager Accounts & Finance , Noman Group of Industries
تاريخ النشر: 2015/07/05
Darren Jae Arios
من قبل Darren Jae Arios , Front Desk agent and Call Center Agent , Gaylord Palms Resorts and Convention Center

FIFO= first in first out,, that is the best principal

 

G M Masudur Rahman
من قبل G M Masudur Rahman , Manager Accounts & Finance , Noman Group of Industries

FIFO, LIFO, W(AVG) these all are the method of maintaining stock. But asking here about valuation of stock goods. It should be calculated on cost of goods sold per unit basis. 

Samik Dutta
من قبل Samik Dutta , Business Manager , Pulsar Muhendislik Turkey

FIFO. Not only finished goods stocks can be evaluated, but also the finished goods that arrived first.

 

Muhammad Adeel
من قبل Muhammad Adeel , Sales And Marketing Executive , TANZEEM HEAVY EQUIPMENT RENTAL LLC

There are a number of ways of determining the cost of a stock item depends on nature & type of stock.

Stock may be valued on a 'first-in first-out' or average cost basis or a reasonable approximation of these.

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