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#1 amrdowidar

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Posted 02 March 2014 - 06:43 PM

hello everyone,

i just need for clarification for the deffirence between valuation of inventory and costing of inventory .



#2 bella.dreamer

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Posted 18 April 2014 - 10:00 PM

You need to restate your question. I am not sure what you mean by costing, but i assume you are trying to ask the difference between cost of inventory & valuation of inventory. Cost is the price the company paid to purchase the inventory and revalue means companies holding inventory at year end need to determine the value of inventory on hand and report at lower of cost of market value. 

Hope this helps.



#3 pattersonsteve3

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Posted 28 April 2014 - 05:36 AM

Difference between Inventry valuation and inventory costing:

 

An inventory valuation allows a company to provide a monetory value for items that make up their inventory Inventories are usually the largest current asset of a business, and proper measurement of them is necessary to assure accurate financial statements. If inventory is not properly measured,expences and revenues cannot be properly matched and a company could make poor business decisions.

 

Small business accountants can use one of four distinct inventory costing methods to account for the cost of goods sold. Different inventory costing methods are best suited to different situations and financial goals, and no single method is inherently better than any other. Small business owners should understand the different types of inventory costing methods and the advantages of each to select the best method for their accounting system.

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#4 Kundan Lal Rana

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Posted 22 July 2014 - 09:29 AM

Inventory valuation allows a company to provide a monetary value for the items that make up their inventory on the other hand

costing of inventory includes methods for inventory valuation  such as first-in first-out (FIFO), last-in first-out (LIFO) and average cost or weighted average cost.

Working with Ace Cloud Hosting as a Finance and Accounting Consultant. I love to explore the world of technology to make sure best uses of applied science based practices. 

 


#5 Chuck

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Posted 01 August 2014 - 02:36 AM

Hi everyone, 

 

Now I am using 2013 becker CPA software to prepare FAR. Does the 2013 edition software have any big difference change compared to the one of 2014 edtion software? 

 

Thank you in advance



#6 Alex034

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Posted 04 March 2015 - 01:22 PM

You have to be aware of the changes for defined benefit pension plans. 

 

You can use the older software but in 2014 there were changes for deferred outflows/inflows, fiduciary net position etc. 

 

For this section of the exam, you want to make sure you have new material. 



#7 kxmcpa

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Posted 12 April 2015 - 10:57 AM

Valuation of inventory need to consider the provision for inventory  devaluation  at year end . Cost is the price the company paid to purchase the inventory.