Tag: methods of valuation of closing stock
Questions Related to methods of valuation of closing stock
Net realizable value is ____________________.
FIFO is advisable in case of _____________.
The success of perpetual inventory system depends upon ______________.
Which one of the following statements are correct?
(i) Inventory includes raw materials, finished goods and goods in process
(ii) Inventory is a part of the working capital
(iii) Inventory includes goods likely to be purchased in the coming months
Select the correct answer using the codes given below.
Goods withdrawn by the proprietor for his personal use are_________.
Which of the following is not classified as inventory in the financial statements?
Rs. $1,250$ paid for the residential telephone bill of the proprietor which of these accounts will be debited _________________.
State with reasons whether the following statement is true or false:
Inventory by-product should be valued at net realisable value where cost of by product can be separately determined.
State with reasons whether the following statement is true or false:
Damaged inventory should be valued at cost or market price; whichever is lower.
State with reasons whether the following statement is true or false:
The inventory under AS-2 is valued on the basis of cost price or current replacement cost, which ever is less.