'Net realisable value' of inventories is defined in AASB 102 as the estimated selling price in the ordinary course of business:

A) in a forced sale.
B) plus the estimated costs necessary to make the sale.
C) less the estimated costs of completion and the costs necessary to make the sale.
D) plus the estimated costs of completion and the estimated costs necessary to make the sale.

Question

Zybrea Knight · Accepted Answer

Final Answer : C, Explanation :  Net realisable value is the estimated selling price in the ordinary course of business, less the estimated costs of completion and the estimated costs necessary to make the sale. It does not include costs in a forced sale or the estimated costs of completion.

Definitions

Learning Objectives

Learning Objectives

Related questions