Question

fybcom account what method is recognized by AS 2
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Answer 1

Valuation of Inventories

This Standard should be applied in accounting for all inventories except the following :

(a) work in progress in the construction business, including directly related service contracts

(b) work in progress of service business (consulting, banking etc)

(c) shares, debentures and other financial instruments held as stock in trade

(d) Inventories like livestock, agricultural and forest products, mineral oils etc These inventories are valued at net realizable value