Page 233 - F1 Integrated Workbook STUDENT 2018

IAS 2, 8, 10, 34 and IFRS 8

1.2 Disclosure

The main disclosure requirements of IAS 2 Inventories are:

 Accounting policy adopted, including the cost formula used.

 Total carrying amount, classified as follows:

$
Raw materials X
Work in progress X
Finished goods X
––
X
This would be disclosed in a note to the financial statements. The total amount of
closing inventory will be shown as a current asset on the statement of financial
position and a reduction to the cost of sales in the statement of profit or loss.

 Amount of inventories carried at NRV.

 Amount of inventories recognised as an expense during the period.

 Details of circumstances that have led to the write-down of inventories to their
NRV.

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