Change in Stock Valuation method
Harsh Jain (27 Points)
11 March 2018In preceding financial year We Adopted fifo method .
Harsh Jain (27 Points)
11 March 2018
Prajjwal Kaushik
(Finance Professional)
(6216 Points)
Replied 12 March 2018
For the accounting purposes - AS 2 "Valuation of Inventory" will be applicable here. Under AS 2, it is clearly mentioned that stock valuation method can be changed in the comparison of previous year:
However, it should result in better presentation and adequate disclosure should be made in the financial statements for the same.