Introduction to Inventory
Significance of Inventory Valuation
Valuation of Inventory
Components of Cost
Exclusion from Cost
Net Realisable Value
Techniques for Inventory Valuation
Specific Identification Method
FIFO Method of Valuation
LIFO Method of Valuation
Case Study for FIFO Method
Simple Average Price Method
Weighted Average Price Method
Case Study on Simple Average and Weighted Average Method
Retail or Adjusted Selling Price Method
Case Study on Retail or Adjusted Selling Price Method
Welcome to this course on Accounting Inventory Valuation
Every business involved in manufacture/trade of products will carry some inventories regularly. Inventory may be in the form of goods held for sale in the ordinary course of Business or inventory may be in the process of production for such sale, or It may be in the form or materials or supplies to be consumed in the production process or in the rending of services. It becomes essential to value to these inventories to know the following.
The other questions that arises are How to Value the Inventory? Should it be valued at Cost or Market Price or Net Realizable Value? To answer all these, Knowledge on Inventory Valuation is essential for Entrepreneurs, Accountants / Finance Managers, Auditors, etc.
Inventory Valuation plays significant role in presenting Financial Statements in a True and Fair Form.
By taking this course, you will be learning
Simple English and casual presentation has been used for this course. Few case studies were also discussed to appreciate the theory concepts.
Take this course to gain clarity on the basics of Inventory, Inventory Valuation and Techniques of Inventory Valuation.