Expired/damaged inventory
Atharv Sankliya (1323 Points)
21 June 2023
what is the accounting treatment of expired/damaged inventory?
Atharv Sankliya (1323 Points)
21 June 2023
CA Altamush Zafar
(GST Consultant)
(15961 Points)
Replied 21 June 2023
Yasaswi Gomes new
(Finance )
(4492 Points)
Replied 21 June 2023
I think last time I gave you that treatment. It's taken to costing profit and loss account.
Sanjana Mohanty
(100 Points)
Replied 24 June 2023
Expired Inventory: Write off as an expense, debiting the expense account and crediting the inventory account.
Damaged Inventory: Record at net realizable value, reduce cost, and separate recovery/salvage value. Debit loss account, credit inventory account.
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