inventory in temporal method method

noel

for the evenly bought and sold inventory we will use weighted average cost of inventory

But am i correct in saying tht for FIFO we would use historical rate for COGS and current for inventory? And opposite for LIFO?

Thanks

neil1234

Im sure about the historical rate for COGS for FIFO and weighted average cost for evenly bought and sold; however I'm not sure about LIFO...

We'd appreciate anyone's help..

Thanks for the question sumz

busterbluth

thx bilal.

anyone else?

smuggycfa

never saw current for inventory under temporal.

random_walker47

Inventory, non-monetary asset, would be remeasured at the historical rate under all scenarios regardless of inventory accounting correct?

neil1234

Thats my understanding Chuckrox8 but wording may indicate that the correct historical rate is the avg rate.

busterbluth

stingreye Wrote:
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> Thats my understanding Chuckrox8 but wording may
> indicate that the correct historical rate is the
> avg rate.

Very true. I remember screwing up a vignette because I didn't read to use the Avg rate. The average rate makes much more since for Inv and COGS in my opinion. Nothing surprises me about IFRS anymore, it's all backwards.



Edited 1 time(s). Last edit at Tuesday, May 31, 2011 at 07:23PM by Chuckrox8.

BelalM

I would use the same exchange rate for COGS and inventory: historical rate for temporal, average rate for current. Same logic applies to depreciation and PPE.

luda002

madamesoleil Wrote:
-------------------------------------------------------
> I would use the same exchange rate for COGS and
> inventory: historical rate for temporal, average
> rate for current. Same logic applies to
> depreciation and PPE.


Not quite ...All B/S items under current use current rate, except common stock.

zephyranalyst

Temporal:
COGS/Inventory - historical

Current:
COGS - Average
Inventory - Current