Revaluation of inventories

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 March 2013 Dear Members,

A Company with the objectives of Construction activity holds land stock as an inventory or stock in trade to be used for the purpose of undertaking project.
Now the company wants to revalue its land stock as per the current market price.
Please guide about the process of revaluation and other compliance requirements for the same.

Thanks & Regards

Querist : Anonymous

Querist : Anonymous (Querist)

12 March 2013 Here the market price is much higher than the cost of acquisition, hence i have the opinion that revaluation at current price is not as per the AS2.
Wish to know whether company can increase the value of its stock by revaluation at current market price.

Thanks