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"Service item which is used against warranty claim" - Is it Inventory Item?

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Question added by Mohammad Shamsuzzaman Shamo , Senior Manager , BRAC
Date Posted: 2014/04/05
Mohammad Shamsuzzaman Shamo
by Mohammad Shamsuzzaman Shamo , Senior Manager , BRAC

"Business product which is not yet sold"- it is called inventory. Service item is not for sale but only use for customer against his warranty claim and must back to company when customer item will return after service. It may be recorded as Assets or Expenditure in accounts as per business policy but not as Inventory.   

 

 

 

Manoharan Vallamunji Kasinathan Vallamunji
by Manoharan Vallamunji Kasinathan Vallamunji , Purchase Engineer (Supply Chain Management) , ITR MIDDLE EAST

As per our company polices we will consider for inventory count

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