12 November 2008
While valuing stock as per AS 2 if NRV is less than cost , NRV is considered as the stock value. Here how the stock value is reduced by entries(how to provide such loss).
12 November 2008
Its ok. But the same invetory has to be effected in B/S. Then how it will be.? Is the consumption (ie debit in above) is deducted from inventory in B/s.
13 November 2008
Its ok. Suppose there are no transactions in the later year. But stock cost is less than the NRV, then we have to raise the stock value to cost(ie since earlier it is less than the cost). Then what are the entries to be passed to make the stock to such value.
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