IAS 2 Inventories Question Answers

IAS 2 Inventories Question Answers

IAS 2 is the International Accounting Standard 2.
It is a standard issued by the International Accounting Standards Board (IASB). This standard deals with the accounting treatment of inventories with disclosure requirements. This standard guide us to value inventories at the lower of cost or net realizable value. We have to includes all costs incurred to bring the inventories to their present location and condition. The standard also recommend methods of Inventory valuation such as specific identification, first-in, first-out (FIFO), and weighted average cost. IAS 2 also requires disclosure of the accounting policies adopted for inventories and the carrying amount of inventories in the financial statements