Lower of cost or market
id:
lower-of-cost-or-market-195-589256
title:
Lower of cost or market
text:
In accounting, lower of cost or market is a conservative approach to valuing and reporting inventory. Normally, ending inventory is stated at historical cost. However, there are times when the original cost of the ending inventory is greater than the net realizable value, and thus the inventory has lost value. If the inventory has decreased in value below historical cost, then its carrying value is reduced and reported on the balance sheet. The criterion for reporting this is the current market
brand slug:
wiki
category slug:
encyclopedia
description:
Method of valuing inventory in accounting
original url:
https://en.wikipedia.org/wiki/Lower_of_cost_or_market
date created:
date modified:
2023-08-28T05:19:26Z
main entity:
{"identifier":"Q6693955","url":"https://www.wikidata.org/entity/Q6693955"}
image:
fields total:
13
integrity:
14