Expired medicines in pharmaceuticles

This query is : Resolved

Vijay (Querist)
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06 October 2014 Hi all,

I wanted to know the procedure for the evaluation of expired medicines is it on the purchase value or on the MRP?

CA Kapil Verma

CA Kapil Verma (Expert)
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06 October 2014 If medicines has been expired ,then it does not have any market value.so the value is Zero

Vijay

Vijay (Querist)
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06 October 2014 Sir how do you show the loss

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CA Kapil Verma

CA Kapil Verma (Expert)
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06 October 2014 Hit the P&L account with the parchase value of Expired medicine.

you can use head :

Cost of Medicine Expired
or
Loss by stock Expired

Rupesh Jain

Rupesh Jain (Expert)
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07 October 2014 you have to make the list of medicine with bath number and party from you received then you can show as loss on cost of your production of that medicine.