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In what circumstances do we use "Lower of Cost or Net Realizable Value" method of Inventory Valuation ?

Accounting Cost Accounting Financial Reporting Financial Accounting Financial Management
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Question added by Deleted user
Date Posted: 2014/09/10
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Hujat Ullah Khan
by Hujat Ullah Khan , Group Financial Controller , SAED Alraeda Group

When we are reporting closing inventory in the Financial statment then according to IAS2 inventory should be valued at lower of:

1. Cost

or 

2. Net realisable value. (NRV)

Mohammed Mohammed
by Mohammed Mohammed , Senior SAP Consultant , Abyat Mega Store

As per IAS2 Inventory should be valued at lower of cost or NRV while reporting

georgei assi
by georgei assi , مدير حسابات , المجموعة السورية

Agreed with the answers to colleagues

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