Discover the key differences in inventory accounting between GAAP and IFRS, including valuation methods, write-down reversals ...

Small-business owners have several ways to calculate the value of their inventory at any given time. You can use the cost to produce your inventory or one of two selling prices, depending on your ...

Discover why IFRS prohibits LIFO accounting, including issues like distorted financials, outdated inventory values, and ...

Multiple methods are used to measure the current value of a business inventory, depending upon the kind of financial reporting you are doing. Inventory is measured in two values: the cost of goods in ...

Forbes contributors publish independent expert analyses and insights. I help you pay less tax . . . legally . . . in full view of the IRS. This article is more than 5 years old. In prior installments ...

Under FIFO, inventory would be valued at $1,600 (400 at $1.25 + 1,000 at $1.10). Cost of sales would be $1,750 ($0 + $3,350 – $1,600), and gross profit would be $1,290 ($3,040 – $1,750). Under LIFO, ...

Anticipating and incorporating demand, particularly for highly seasonal and weather-dependent items, is crucial to delivering an exceptional customer experience while maintaining accurate inventory ...